Trade Credit Insurance
What would be the consequences of one of your largest customers failing to pay?
The value of the debtors’ ledger (money owed) is one of the largest assets of a business and yet it is often not insured. The risk of customer insolvency is one of the most volatile exposures. The impact can put stress on cash flow and will damage a company’s bottom line
Benefits/Coverage
Policies contain a credit solution that works for you Including credit management tools and debtor alerts, both of which can help your business stay on track. It helps businesses of all sizes to:
- Preserve Profit
- Safeguard Cash Flow
- Have protection to Expand
- Strengthen Credit Management
- Use Insurance as Security for bank
How much does it cost?
Premium rates vary and depend on factors such as the type of policy chosen, the level of turnover insured, the level of deductibles, the credit terms extended, the spread of buyer and/or country risks, the quality of debtors and claims history. The cost is low, usually between 0.10% – 0.35% of a company’s insured annual sales turnover.