Trade credit insurance has one simple aim: to support your business when a customer fails to pay a trade debt. That situation may occur when a customer becomes insolvent or does not pay within the contracted terms (a protracted default). The insurance indemnifies a proportion (up to 95%) of the debt owed to you. You must have traded within the limit we give you for that customer.
Credit Insurance provides your business with protection against the failure of a customer to pay their trade credit debts. This can arise as a result of your customer becoming insolvent or because your customer fails to pay within the agreed credit period. These risks are referred to as ‘commercial risks’. The protection covers as standard goods or services sold and delivered, but can be tailored to cover many other risks such as work in progress and binding contracts.