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Businesses operating in foreign countries face the risk of political upheaval, including war, revolution, or confiscation of property. This risk can have a significant impact on their operations and financial stability. To mitigate this risk, businesses can obtain coverage known as political risk insurance. This type of insurance provides protection against financial losses resulting from political events that may disrupt business operations. It is an important risk management tool for businesses operating abroad, providing them with peace of mind and financial security in the face of potential political turmoil.
