Credit Insurance

Sales Expansion
Whether you are expanding your customer base domestically or overseas, credit insurance gives you the comfort to grow your sales safely. With coverage in place, you can increase credit lines to existing customers, enter new markets and countries, and offer open account terms to foreign customers in lieu of letters of credit. It also allows a company to plan future sales volumes, helping to lower production costs.

Catastrophic Bad Debt Loss Prevention
If just one or two of your largest customers were to become insolvent, it can have a crippling effect on your cashflow, earnings, and capital. Even worse, it can literally put a company out of business. Bankruptcies can have a domino effect on the supply chain, but credit insurance keeps businesses stable and avoid collapse.

Enhanced Financing Terms
By protecting your accounts receivable with credit insurance, you can increase working capital and lower borrowing costs. Insuring your accounts receivable improves your borrowing power by increasing the advance rate, eliminating concentration issues, and including foreign sales in the borrowing base. Lower interest expense and fees can also be achieved.

A Stronger Credit Department
Our industry knowledge combined with the resources of our carrier partners help to enhance your credit department so that it can operate more efficiently. Online information systems, proprietary databases, and risk analysts provide you with additional tools and information to guard against unexpected credit losses.

Reduced Bad Debt Reserves
With credit insurance, you can free up cash. Insurance premiums are also tax-deductible, whereas bad debt reserves are not.