Currency Insurance can help give you peace of mind with the reassurance of knowing your agribusiness is protected from currency conversion loss.
How does Currency Insurance work?
You pay a premium for the cover you need. If the exchange rate is worse than your Currency Insurance, your agribusiness will be protected from a currency conversion loss.
If by the maturity date the exchange rate has moved to your advantage, the insurance doesn’t apply. You can then benefit from taking the current exchange rate.
When might you consider Currency Insurance?
You might consider taking Currency Insurance
to help manage the foreign exchange risk when you’re handling or transacting in foreign currency (e.g. when you’re purchasing equipment from overseas)
when your NZD income is affected by movements in the exchange rate (e.g. beef or dairy farmers).
More information on Currency Insurance
you can arrange Currency Insurance for a timeframe that matches your foreign currency exposure
Currency Insurance is available in NZD against the US, Australian, British, Japanese and Euro currencies
the minimum amount to be insured is NZD$50,000
Currency Insurance premiums are quoted depending on a number of factors, such as the amount of time until the option matures and the volatility of the currencies insured.
Applications for Currency Insurance are subject to Westpac approval. Full details of the terms, conditions, limits and exclusions for this insurance are contained in the policy wording which may be obtained from any Westpac branch. The availability of any insurance cover is subject to the acceptance and approval of a completed application.
The information on this page is presented subject to Westpac New Zealand Limited's ("Westpac's") legal page and any other terms and conditions that Westpac may impose from time to time. It is subject to change without notification.
