Trade Credit Insurance
Trade Credit Brokers Service Level Commitment
- We work entirely on your behalf and are totally client focussed.
- We have access to the entire credit insurance market and can therefore provide you with every option available.
- We will negotiate with the insurers on your behalf, on all aspects of your policy.
- We will provide you with expert advice and guidance on the day to day management of your policy.
- We have very experienced staff who will provide the highest level of commercial awareness, technical expertise and professionalism.
- Our totally unrivalled service is provided at no direct cost to you
What is Trade Credit Insurance?
...is a straightforward, cost-effective and flexible way for local companies who are trading on credit payment terms either domestically within the UK and Ireland or in export markets, to protect themselves against the potentially fatal financial impact of suffering a bad debt.
The risks covered include, insolvency of their buyer during the credit period, a buyers inability to discharge their debt to the policyholder within the agreed contractual terms of payment (protected default) or non-payment of an export debt caused by an event covered under "political risk". Companies using credit insurance can trade virtually risk-free with the peace of mind and confidence that should any of their buyers default in payment they themselves will not suffer financially.
Trade Credit Insurance compliments a companys own in-house credit control function by not only protecting them against financial loss but by also providing the policyholder with ongoing “market intelligence" on the financial viability of their buyers together with peculiar trading risks in countries they maybe exporting to.
There have been many innovations in the Trade Credit Insurance market in recent years which makes credit insurance a very viable and prudent risk-management tool for many local companies. One such innovation is the option that can be provided to exporters by UK Export Finance (UKEF). UKEF is the government department that works with companies to support UK Exports. They provide an insurance policy direct to exporters who can’t get what they need from the private market. UKEF have a particular interest in helping more SME’s and mid-sized companies from Northern Ireland to export. Further information can be found at corporateni/funding.
Main Benefits of Credit Insurance
- It provides cost effective protection against the risks of non-payment as a result of your customers' unforeseen insolvency or refusal/inability to pay under the terms of a contract. Political Risk cover for export markets can also be included, if required.
- It provides access to up-to-date detailed financial information and market intelligence on your debtors that may not be publicly available.
- It provides an early warning that a customer is in financial difficulty.
- It compliments your credit control procedures and encourages good credit management practices generally leading to improved cash flow.
- It gives you the confidence to grow your business with credit worthy customers.
- Prompt claims payments ensure the impact of a bad debt on cash flow is minimised.
- Many credit insurance policies now include an integrated debt collection service with the debt collection and legal fees often recoverable under the policy.
- Having a credit insurance policy can make an application for Trade Finance more attractive to a prospective funder.
Credit Insurance Underwriters.
Trade Credit Brokers Ltd have access to the entire credit insurance market, including UK Export Finance (UKEF) , to enable us provide a solution for all your credit insurance requirements.