credit insurance

Dedicated Credit Insurance for Small Business

Business owners struggling to afford credit insurance could benefit from low–cost cover dedicated to small firms, following the launch of a new ‘self–policing’ insurance scheme. Towergate Risk Solutions offers insurance against non-paying customers that they claim is half the price of typical products. Annual premiums average £1,870 and excess charges around £250 under the scheme. Unlike most cover, the insurance doesn’t require businesses to provide details about their customers’ trading histories up front. Instead, businesses monitor or ‘self–police’ their customers, and cover is only withdrawn if there is direct evidence that a customer has paid later than 30 days beyond contract terms in the past six months. “We give the responsibility for the credit ratin... »

Government Extends Trade Credit Insurance Scheme

Government Extends Trade Credit Insurance Scheme

Small businesses are set to benefit from changes to the Government’s £5 billion trade credit insurance top-up scheme, which aims to help firms protect themselves against defaulted payments during the recession. Launched in May this year, the top-up scheme is designed to counteract the effect of insurers reducing or withdrawing credit insurance from small suppliers during the recession. The initiative enables businesses to buy government-backed top-up insurance. Firms can either restore cover to the original level or increase the amount they are able to obtain from the private sector. Four credit insurers – Euler Hermes, Atradius, Coface and HCC– are offering the scheme to eligible businesses. Following Government changes to the scheme, the £20,000 lower limit ... »

Budget 2009 and the Credit Insurance implications

> Following the Budget announcement yesterday afternoon, Edward Rimmer, chief executive of Bibby Financial Services in the UK & Ireland, has issued the following statement: "The measures announced in today’s Budget should go some way to giving small and medium-sized businesses in the UK financial respite during what Darling has described as ‘the most serious global economic turmoil for over 60 years’. "While Darling’s measures seek to ease the burden of ongoing cashflow problems for the UK business community – something we know to be a primary concern from our own market research – the issue of late payment was not addressed and remains a major concern for struggling businesses across the country. "The existing credit insurance scheme ... »