Accounts Receivable (Trade Credit) insurance protects an organization’s receivables from non-payment due to bankruptcy, slow payment and political risks.
Credit insurance can also go under the name of trade credit insurance, accounts receivable insurance, export credit insurance and receivables insurance. Credit insurance also affords political risk coverage on export receivables which is the inability to convert currency in a foreign country.
Credit insurance can afford a company the opportunity to increase sales by simply expanding credit lines to existing clients and/or adding clients that would not normally have been added. Receivable insurance can assist in accounts receivable financing with the lender named as beneficiary under the contract. ARI will custom tailor its credit insurance solution to meet the client’s needs. This is where a broker such as ARI can mitigate this process.
As an accounts receivable broker, ARI is hired by the client but paid by the insurance company. ARI has vast experience and a successful track record in dealing with a number of carriers and numerous contracts. ARI will ensure that the client is placed with the best carrier and with the best contract, tailored to their unique business requirements.
The contracts have various structures, payment options, and custom endorsement to meet the client's particular needs. Generally, larger companies with an established credit department with policies, practices, and procedures, have more sophisticated needs. ARI will therefore customize a contract to complement their existing credit process by empowering the credit department to make nearly all the credit decisions internally.
For smaller companies who would prefer a second opinion or outsource the credit making decision to the carrier, ARI will customize the contract to meet that need. Since ARI is a broker representing the client's needs, and is not confined to one carrier, ARI will align the client with the appropriate carrier at the best cost.
Credit insurance will benefit an organisation if answering ‘yes’ to any of these five questions:
Would the organisation be adversely affected by the non-performance of one or more of its large customers? Does the company extend credit terms of 90 days or less for goods or services sold to commercial entities? Does the company sell or plan to sell in foreign markets?
In addition, do 30% or less of the clients’ receivables represent 70% or more of total accounts receivable, and does the company's borrowing base currently exclude foreign sales and/or receivable concentrations?
Accounts Receivable Insurance has offices located throughout the United States with affiliates in Europe, Asia, Canada, and Latin America.
Media Contact
Company Name: Accounts Receivable Insurance
Contact Person: Parker Freedman
Email: Send Email
Phone: 813-288-8680
Address:ARI Global Home Office 412 E. Madison Street, Suite 1000
City: Tampa
State: FL 33602
Country: United States
Website: https://www.accountsreceivableinsurance.net
