What are the benefits of a trade credit insurance?

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A trade credit insurance gives your business the space to grow safely. You can prosper, your staff remains motivated and you have more confidence in the future. But growth also carries risks. Like the risk that your customers might not honor their bills. A credit insurance helps in ensuring that this risk does not threaten your business.
Default is a risk, businesses, large and small and in all sectors might come to face. A long lasting customer relationship is no guarantee that the payment behavior of your customers won’t change, even during stable economic times. Default can have many causes and the future is not always predictable.
  1. A better relationship with your customer because your credit insurance allows you to create more customer-friendly payment agreements, thanks to guarantee covers.
  2. Additional financial space because your debtor risk and depreciation decreases.
  3. Access to more knowledge and information about the creditworthiness of your customers and prospects.
  4. Better banking conditions (often at more favorable rates), because insured claims, are translated into a secure collateral for banks and contribute to a higher level of funding.
  5. Competitive conditions, due to a longer delay in payments, also abroad, so that you can trade (more) on foreign markets.
  6. Safe business abroad with less red tape and at lower costs.
  7. Additional growth amongst key clients with maximum-backed delivery, thanks to a simple approval process for credit limits.
  8. Effective and efficient worldwide debt collection and therefore a good night's sleep knowing that your risks are insured and your payments guaranteed.
  9. Improved payment behavior because customers pay an average of 5 days faster if they know you have credit insurance. Hence, impacting positively your liquidity.
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Why choose Euler Hermes?

Experience

55,000+

clients worldwide
Knowledge

83 million

businesses monitored
Confidence

AA rating 

by Standard & Poor’s 
The risk of non-payment exists even when your customers are established businesses. Trade credit insurance covers the commercial and political risks that prevent payment of monies owed to you. Use our policies to reduce the impact of customer insolvency and mitigate non-payment risks . We monitor your customers’ financial health and grade them with our scoring system. You set trading limits to control the size and frequency of orders you will accept from new or existing customers. We monitor the grades constantly and inform you of changes based on the financial challenges your customers are facing. You can adjust your trading limits to manage the credit risk. Our debt collection services support your own processes and optimise payment rates. Your banking and commercial relationships can improve when you have trade credit insurance.