TRADE CREDIT INSURANCE

If you are selling to your customers on unsecured trade credit terms, your biggest fear will be the client to paying you. Non-payment can be due to various reasons and trade credit insurance serves to protect your company from the non-payment by your clients. The policy is suitable for companies with domestic sales or export business.

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For domestic sales, trade credit insurance would cover for risk involving insolvency of clients and default of payment. If you are also exporting to overseas, your other concerns which trade credit insurance can address are public buyer risk, payment transfer risk, import restrictions risk, political risk, war and unrest risk etc.

With the trade credit insurance in place, your debtors listing will be managed with the insurer professional credit control team. You will no longer have to worry for payment default of your customers. This will serve to protect your balance and company profit from bad debts.