Sandbox: The Risk Console
Session 8: Validating 24 Hostile Scenarios
1. Sovereign Currency Freeze
The buyer's Central Bank bans outward USD wires.
2. ECA Project Financing
You want an ECA to guarantee a $10M deal in Africa.
3. Geopolitical Embargo
Your government slaps sudden sanctions on your buyer's country.
4. Naked Liquidation
You shipped Open Account. The buyer goes into Chapter 7.
5. RoT Limitations
You try to execute an RoT, but your copper was melted into wire.
6. Banking Capital Costs
You need a loan to fund the manufacturing for an export contract.
7. Reorganization (Chapter 11)
The buyer enters Chapter 11 to restructure debt.
8. Buyer Credit vs Supplier Credit
You are selling a $100M power plant to Kenya.
9. Trade Credit Insurance (TCI) Limits
The buyer's country erupts into civil war. You hold TCI.
10. The 15% Down Payment
Under OECD rules, you demand 15% down. The buyer balks.
11. Secured Creditor Status
How do you jump ahead of Open Account suppliers in bankruptcy?
12. Expropriation Threat
A hostile regime nationalizes the port, seizing your cargo.
13. The Jettison Sacrifice
The captain throws 100 containers overboard to save the ship. Yours survives.
14. Breaking the GA Lien
The shipping line demands $200k in GA to release your goods.
15. The CIF Incoterm Trap
You buy CIF. The ship hits a storm; saltwater ruins the goods.
16. Clause C vs Clause A
A forklift drops your container on the dock. Total loss.
17. Inherent Vice Exclusion
You ship grain. Moisture naturally evaporates, losing 2% weight.
18. Inadequacy of Packing
You pack glass in thin cardboard. It shatters in mild ocean swell.
19. The 110% CIF Valuation
Your $1M cargo sinks. You insured it at exactly $1M.
20. Independent Surveyors
A container arrives crushed. You take a photo with your iPhone to claim it.
21. Subrogation
The insurer pays you $1M because the shipping line crashed the ship.
22. War Risk Exclusions
Your ship enters the Red Sea and is struck by a missile.
23. Unbudgeted Premiums (AWRP)
War breaks out mid-voyage. The insurer demands an AWRP.
24. Proving General Average
A container falls off a ship due to a rusty crane. Is this GA?