Insurance Eligibility Checklist
1. Is your project in a country in which OPIC can do business?
OPIC programs are available in 160 developing countries and emerging markets. Please click this link to see the full list. From time to time, statutory and policy constraints may limit the availability of OPIC programs in certain countries, or countries where programs were previously unavailable may become eligible. If you have a question about a particular country, please contact OPIC directly for the most up-to-date information on the availability of OPIC political risk insurance products in that country.
2. Are you a U.S. citizen/business?
OPIC generally provides insurance to eligible owners/sponsors of a project located in an OPIC-eligible country. The following types of applicants would be eligible to apply for OPIC’s INSURANCE products:
- U.S. citizens;
- corporations, partnerships or other associations created under the laws of the United States, its states or territories, and more than 50% beneficially owned by U.S. citizens;
- foreign corporations that are more than 95 percent owned by one or more such U.S. entities or U.S. citizens; and
- other foreign entities that are 100 percent owned by one or more such U.S. entities or citizens.
3. Does your project include activities that OPIC is categorically prohibited from supporting?
OPIC is categorically prohibited from supporting activities that may have an irremediable impact on the environment, an adverse impact on the U.S. economy or employment, or an adverse impact on public health and safety. Before applying, please review the list of categorically prohibited sectors to ensure that OPIC would not be prohibited from supporting your project.
4. Have you already made an irrevocable commitment to invest?
OPIC recommends registering your project with OPIC before making an irrevocable commitment to invest in order to preserve your eligibility for coverage. Registering involves submitting OPIC Form 50, free of charge and opens a file at OPIC. You will receive a confirmation letter once you have registered your project. Registering does not commit you to purchase OPIC insurance, nor does it commit OPIC to provide it. Failing to register your project before you become irrevocably committed to invest may jeopardize your eligibility for coverage.
5. Is your project in a sector that has experienced significant U.S. job loss in the past decade or would it result in the closing of a U.S. operation or a reduction of your U.S. workforce?
As noted above, OPIC is categorically prohibited from supporting projects that could have an adverse impact on the U.S. economy or employment. If your project would not have such consequences, then you would be eligible to apply for OPIC support.
6. Will your project be managed in compliance with International Labor Organization worker rights standards?
OPIC has a statutory requirement to ensure that the projects it supports are established and maintained in compliance with internationally-recognized worker rights standards. Every project is reviewed for its compliance with the OPIC statutory worker rights requirements. Each review includes a country-level analysis with respect to labor laws and general country labor conditions, and a project-level analysis with respect to sector and specific project activities, location, size, number of workers, and the nature of work performed.
- Projects that involve conversion or degradation of Critical Forest Areas or related Critical Natural Habitats. "Critical Natural Habitats" means (1) existing internationally recognized protected areas, areas initially recognized as protected by traditional local communities (e.g., sacred groves), and sites that maintain conditions vital to the viability of protected areas (as determined by the environmental assessment procedure); and (2) sites identified on supplementary lists by authoritative sources identified by OPIC (such sites may include areas recognized by traditional local communities (e.g., sacred groves), areas with known high suitability for biodiversity conservation and sites that are critical for vulnerable, migratory or endangered species; listings are based on systematic evaluations of such factors as species richness, the degree of endemism, rarity, and vulnerability of component species, representativeness and the integrity of ecosystem processes). "Critical Forest Areas" means a type of natural forest that qualifies as Critical Natural Habitat.
- Projects involving the construction of "large dams" that significantly and irreversibly: (A) disrupt natural ecosystems upstream or downstream of the dam, or (B) alter natural hydrology, or (C) inundate large land areas, or (D) impact biodiversity, or (E) displace large numbers of inhabitants (5,000 persons or more) or (F) impact local inhabitants' ability to earn a livelihood.
- Projects involving the commercial manufacturing of ozone-depleting substances (ODS) or the production or use of persistent organic pollutants (POPS) that are banned or scheduled to be phased out of production and use by international agreement during the life of the project. A list of these substances and chemicals can be obtained from OPIC on request. The ODS list is defined by the Montreal Protocol as amended and US implementing regulations. The POPs prohibition refers to twelve products whose ban and phase out are provided for under the Rotterdam Convention of 2004. OPIC's prohibition is consistent with the position of the U.S. government in the negotiations that preceded such convention with respect to the various categories of POPs, which include pesticides, industrial chemicals and unintentional by-products.
- Projects that require resettlement of 5,000 or more persons.
- Projects in or impacting natural World Heritage Sites (areas of significant ecological value that have been internationally recognized as necessary for strict protection by members of the World Heritage Convention).
- Projects in or impacting areas on the United Nations List of National Parks and Protected Areas.
- Extraction or infrastructure projects in or impacting: protected area Categories I, II, III, and IV (Strict Nature Reserve/Wilderness Areas and National Parks; Natural Monuments and Habitat/Species Management Areas), as defined by the International Union for the Conservation of Nature. Projects in IUCN Categories V (Protected Landscape/Seascape) and VI (Managed Resource Protected Area) must be consistent with IUCN management objectives.
- Areas protected by the Ramsar Convention are considered within the appropriate IUCN Category to which they are assigned.
- Projects established as a result or in contemplation of reducing or terminating U.S. based operations. Such operations include "runaway plants" as well as outsourcing the provision of goods and services from the United States. Business process outsourcing (BPO), such as software design, customer service and accounting functions, is also included within this prohibition.
- Projects involving gambling; tobacco or related products; alcoholic beverages (if contrary to local religious or cultural norms); media communications of an adult or political nature; or military production or sales.
- Pharmaceuticals or medical equipment not approved for use by the U.S. Food and Drug Administration or by a public health authority from one of the countries listed under the Drug Export Act of 1986.