Australian businesses are tapping into the emerging markets of South-east Asia and Africa. As a result there has been a surge in the need for political risk and trade credit insurance in these regions.

Washington DC-based MD of Zurich Emerging Market Solutions Dan Riordan told Sunrise Exchange News the mining boom in Australia has prompted many cashed-up companies to look elsewhere for investment opportunities.

Mr Riordan says Zurich has been advising and providing insurance options for Australian companies exporting or investing in emerging markets in countries where there are higher risks.

“The main thrust in Australia is the mining sector, in which commodity prices are stronger than ever,” he said. “Some of these countries are good for companies looking for natural resources, and we assist by mitigating exposures customers face when operating in emerging markets.”

He says Australian companies are interested in Papua New Guinea, Indonesia, Laos, the Philippines, and the Democratic Republic of Congo.

Mr Riordan says emerging markets often have difficult infrastructure, and part of the Zurich Emerging Market Solutions role is to engage with insureds and governments.