Contract ratification indemnity

{
  "id": "MLC-T-INS-000947",
  "term": "Contract ratification indemnity",
  "field": "Insurance and risk management",
  "definition": "A form of political risk insurance for contractors that pays part of the start-up costs they cannot recover when an overseas contract they have begun to perform is never finalized, for reasons outside their control. It matters where a contractor orders materials and mobilizes before the contract is formally ratified or becomes effective, for instance while the buyer's government approval is still pending.",
  "url": "https://mlchart.com/terminology/insurance/contract-ratification-indemnity/"
}