Credit Protection Insurance

Having a credit protection insurance in place for your business can assist you in the collection of your business’ overdue accounts and therefore improve the speed and success with which you collect money owed to your business. Furthermore, should the worst happen and one of your buyers becomes insolvent, your policy with us will provide a prompt settlement of your claim, safeguarding your cash flow to ensure that you do not lose out on any owed money.

As Euler Hermes are part of the world’s leading credit insurance group, they monitor over 40 million buyers. Through their credit limits and opinions service, clients can take advantage of their trade sector, country, and buyer knowledge when purchasing a credit protection policy. If you decide to trade on the basis of their credit limit decision and your buyer refuses to pay or becomes insolvent you will be entitled to make a claim on your credit insurance policy.

Banks and trade financiers are often more willing to provide trade finance or may be prepared to offer more favourable lending terms to businesses with a credit protection insurance policy.

Euler Hermes unique proprietary information obtained by visiting companies and received through their clients, coupled with their detailed knowledge of businesses and trade sectors enables their Risk Analysts to set appropriate credit limits. By following their advice, clients can review existing trading relationships and so reduce their exposure to potential bad debt.

You may be able to negotiate more favourable terms with your suppliers since they know the business they are trading with has taken steps to protect its assets and balance sheet by acquiring a credit insurance cover.

Using their credit protection insurance policy enables clients to reassess their internal credit management procedures. Banks and trade financiers often take the existence of a credit insurance policy from Euler Hermes as an indicator that the business takes a serious and structured approach to its credit control procedures.

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Peace of mind through risk transfer Credit insurance is a simple way to protect your business against the effects of bad debt. Policyholders have the reassurance of knowing that if one of the buyers covered under their policy can’t or won’t pay, then in accordance with the policy Euler Hermes will.