Aon Risk Solutions: Trade Credit Insurance
September 9 2015
The topic of trade credit is becoming increasingly important. Having the right payment terms with your customers is critical to your competitiveness and being able to grow your organisation with confidence. Ensuring that those terms of business are adhered to is not always in your control. Without protection that your invoices will be paid, your business decisions are based on faith and past experience alone, which may not be the best grounds for ensuring business profitability.
According to the latest Atradius survey results for B2B payment practices for Asia Pacific, respondents stated that 36.2 percent of invoices issued remained unpaid when due.
More worryingly perhaps for Asia Pacific businesses is that 50 percent of the value of their receivables are lost if they aren’t paid within 90 days of the due date.
This is where trade credit insurance and robust credit management policies can help. Trade credit insurance is as much about protection against bad debt as a facilitator for growth and maximising your profitability.
This short guide aims to help you understand how trade credit insurance can support your business, assess whether you really need it and give insight into why it is of growing importance.
-
QBE’s Hammond on transformation and growth
- July 2
The Asia chief executive discusses Covid-19, going digital and restructuring.
-
Swiss Re: Nat cats and man-made disasters in 2018
- April 10
Climate change, increased urbanisation and a growing concentration of assets were on the risk agenda for 2018.
-
Willis Towers Watson: 2019 Asia Market Report
- March 19
Economic uncertainty, more complex risks and tighter underwriting are all influencing Asia's markets.
-
Peak Re: Emerging Asia’s life and health opportunity
- March 11
Life and health premium growth is expected to outpace GDP gains in eight Asian markets.
-
Peak Re | From climate modelling to market opportunity: forging a new clarity on Southeast Asia’s climate risk
With the insurance industry facing an inflection point, the new imperative is seen as becoming active creators of risk intelligence.
-
BHSI WICare+ | Accelerating Payments, Empowering Recovery
Launched in cooperation with Steadfast’s Singapore network, WICare+ fills the gaps found in traditional coverage and keeps businesses and their workforce secure by covering up to SG$350,000 in medical expenses per claim.
-
BHSI | Managing non-Asian exposure in long-tail lines
While US-exposed business can look attractive to Asian carriers, managing the volatility around the long-term results and the ability to model those losses are crucial, say BHSI’s Marc Breuil and Marcus Portbury.
-
Allianz General | Allianz General combines innovative protection solutions while powering social good to lead Malaysian market
The insurer proactively addresses emerging risks and evolving customer protection needs while giving back to the community.