Wholeturnover insurance is of particular benefit for corporates looking to protect their accounts receivable from losses due to credit risks such as protracted default, insolvency or bankruptcy.
Trade Credit Insurance offers companies good Balance Sheet Protection as well improved Credit Management and effective Risk Transfer.
Tysers can arrange policies for:
- Key Account or selected buyers
- Excess of Loss
- Single Buyer
- Invoice Finance solutions for Banks and other funders
- Non-cancellable limits (both portfolio and single buyer)
The insurance will cover all eligible business transacted by a policyholder within an agreed period (usually 12 months). Underwriting oversight is exercised primarily through credit limits set for each counterparty (buyer) covered. For larger limits, the figure is set specifically by the underwriter via online links using their International databases of buyer information and payment patterns. Most companies see a marked improvement in the debt cycle in the first few years of buying this insurance as well as an improvement in the overall credit quality of their buyers
Policies can be based upon domestic or export trade, or a mixture of both, and export cover is usually extended to additionally cover Political Risks. Underwriting is assessed on the basis of previous loss records, future turnover and trade expectations, and the quality of counterparties (buyers). Policies can be used to enhance Bank and Invoice Finance facilities and the insurers we work with are high investment grade (S&P A- or better).
Tysers has a long experience in placing wholeturnover insurance for a diverse range of corporate buyers, whether trading domestically or internationally (cross-border).