Consignment Exports Policy (Stockholding Agent) – (CSA)

A method increasingly adopted by Indian exporters is to have an agency agreement with independent and separate entities which receive and hold stocks ready for sale to overseas buyers as and when orders are received, finds buyers and sells to them in consideration of a commission on such sales. Thus, a separate credit insurance policy as CSA is introduced to cover exclusively shipments made by exporters on consignment basis to their agent

Period of Policy: 12 Months

Risks Covered:

  • Commercial Risk on Stockholding Agent and/or ultimate buyers
  • Political Risk

Percentage of Cover: 90% for Standard Policyholder and 80% for others.

Important Obligations of the Exporter:

  • Processing fee of Rs.4000/- (non-refundable) is payable.
  • Premium is payable on quarterly or monthly basis in advance before commencement of risks and sufficient premium deposit is also to be maintained in advance based on the turnover projection at all times during the policy.
  • Obtaining credit limit on ultimate buyers beyond the discretionary limit.
  • Submission of Monthly declaration of shipments by 15th of the subsequent month along with statement of the stock with the agent and details of sales effected to the ultimate buyers.
  • Filing of claim within 360 days from the due date of the export bill or 600 days from expiry date of the Policy Cover whichever is earlier.
  • Initiating recovery steps including legal action.
  • Sharing of recovery.


  • Covers only the exports effected under consignment sale.
  • Extended period for realization up to 360 days.
  • Automatic cover on ultimate buyers up to discretionary limits subject to buyers being in a country placed in Open Cover category and not in the list of buyers on whom the Corporation has adverse information referred to as Buyer Specific Approval List (BSAL)
  • Commercial risks on agents covered.
  • No Claim Bonus (NCB) of 5% subject to no claim, upto a maximum of 50%.

Do’s and Don’ts

Global Entity Stock Holding Agent

To download the proposal form for Consignment Exports Policy (Stockholding Agent)click here.

To download the proposal form for Consignment Exports Policyclick here.

Click here for list of Frequently Asked Questions on Consignment Exports Policy (Stockholding Agent and Global Entity)