The benefits of credit insurance

In the face of the global recessionary climate, with a 3% increase in the number of insolvencies forecasted*, and the tightening of credit across the board, credit management is more vital than ever for the safest way towards business success. ​​​​

Having a business trade credit insurance policy allows you to sell with confidence, safeguarding your company against the consequences of domestic or overseas customer insolvency and non-payment.

  • Better credit control and protection against catastrophic bad-debt losses

  • Safely expand sales: The protection it provides allows a company to increase sales to grow their business. Insured companies can sell on open account terms which, for exporters especially, can be a major competitive advantage.

  • Secure better borrowing terms 

  • Better risk management through an early warning system bolstered by the Euler Hermes database

  • Better business planning through the elimination of unknown risks 

  • Improved working capital from your lender because you have enhanced the quality of your accounts receivable with trade credit insurance

  • Improved cash flow, because you receive payment for unpaid invoices that are insured. 

Trade credit insurance can also improve a company’s relationship with its lender. In some cases the bank actually requires trade credit insurance to qualify for a loan.