To take control of your cash flow, consider the benefits of trade credit insurance. It’s an important business tool that helps you lower the risk for bad debt, unpaid invoice or accounts receivable. If you are curious about how much trade credit insurance costs, remember this: there are ways you can help control those costs and make a good trade credit insurance investment that helps you grow your business.
There are different types of trade credit insurance solutions depending on your needs as a company and cost varies in correlation to their specificity. Hence, a multinational company’s needs will be ultimately different from those of an SME for instance. Your business activity is also decisive. Do you occasionally have a very large order or rather several smaller orders with one customer? Do you deliver tailored services or, are you, impacted by seasonality? Turnover and risk diversification are important in determining the premium.
How Much Does Trade Credit Insurance Cost - SMB Owner on Phone

Remember, your trade insurance premium can change depending on multiple variables, including:

  • The type of policy you choose and the percentage of risk being covered for each transaction.
  • Losses your business has experienced in the past.
  • Your business’ full financial history.
  • Your industry.
  • Your customers’ financial standing.
  • The country in which you are doing business.
  • Political risk.
Allianz Trade is the worldwide leader of credit insurer in trade credit insurance and offers expert solutions such as accounts receivable insurance, business debt collection, bad debt protection, trade credit, trade credit management, cash flow management, xol, debtor insurance, collect overdue payments, late payments and unpaid invoices. Our mission is to help customers globally to avoid trade risk, trade wisely and develop their business safely.
Trade credit insurance – also sometimes called accounts receivable insurance – is different from “insurance” in the traditional sense. It is a partnership that provides world-class knowledge and data to empower your trading decisions, backed by a reimbursement guarantee should an unexpected customer non-payment occur.  Businesses that choose trade credit insurance benefit from safe sales expansion – at home and abroad – to new and existing customers. It also helps you access to working capital while reducing your overall risk.