Euler Hermes Credit is a leading provider of trade credit insurance, offering businesses the confidence to trade globally. With over 100 years of experience, Euler Hermes has established itself as a trusted partner for companies looking to mitigate the risks associated with trade. The company's comprehensive range of products and services enables businesses to manage their trade credit risks, protecting them against non-payment by customers. This allows companies to focus on growth and expansion, rather than worrying about the potential risks of trading with new or existing customers.
Understanding Trade Credit Insurance
Trade credit insurance, also known as credit insurance, is a type of insurance that protects businesses against the risk of non-payment by their customers. This type of insurance is essential for companies that sell goods or services on credit, as it provides a safety net in case a customer fails to pay. Euler Hermes Credit offers a range of trade credit insurance products, including whole turnover policies, which cover all of a company’s trade transactions, and specific transaction policies, which cover individual transactions. By providing a comprehensive risk assessment and tailored policy solutions, Euler Hermes helps businesses to minimize their exposure to trade credit risks.
Benefits of Trade Credit Insurance
The benefits of trade credit insurance are numerous. For example, it allows businesses to increase their sales by offering credit terms to customers, while minimizing the risk of non-payment. It also enables companies to improve their cash flow by providing a guarantee of payment in case a customer fails to pay. Additionally, trade credit insurance can help businesses to reduce their bad debt provision, which can have a significant impact on their bottom line. Euler Hermes Credit’s trade credit insurance products also provide businesses with access to expert risk assessment and collections services, which can help to resolve disputes and recover debts.
| Product | Description | Benefits |
|---|---|---|
| Whole Turnover Policy | Covers all trade transactions | Comprehensive risk assessment, tailored policy solutions |
| Specific Transaction Policy | Covers individual transactions | Flexible policy options, reduced administrative burden |
| Single Buyer Policy | Covers trade with a single buyer | Cost-effective, easy to administer |
Euler Hermes Credit’s Services
In addition to its trade credit insurance products, Euler Hermes Credit offers a range of services designed to help businesses manage their trade credit risks. These services include risk assessment, which provides businesses with a detailed evaluation of their customers’ creditworthiness, and collections services, which help businesses to recover debts from customers who have failed to pay. Euler Hermes Credit also offers policy management services, which provide businesses with online access to their policy information and enable them to manage their policies more effectively. By providing these services, Euler Hermes helps businesses to streamline their trade credit management and reduce their administrative burden.
Expert Risk Assessment
Euler Hermes Credit’s expert risk assessment services are a key component of its trade credit insurance products. The company’s team of experienced underwriters and risk analysts use a range of data sources and analytical tools to evaluate the creditworthiness of businesses and provide a detailed risk assessment. This assessment is used to determine the level of risk associated with trading with a particular customer and to set the premium for the trade credit insurance policy. By providing a comprehensive risk assessment, Euler Hermes helps businesses to make informed decisions about their trade credit risks and to minimize their exposure to potential losses.
The risk assessment process involves a number of stages, including:
- Initial assessment: Euler Hermes Credit's underwriters and risk analysts review the customer's financial information and credit history to determine their creditworthiness.
- Data analysis: The company uses a range of data sources and analytical tools to evaluate the customer's creditworthiness and determine the level of risk associated with trading with them.
- Risk evaluation: The underwriters and risk analysts evaluate the results of the data analysis and determine the level of risk associated with trading with the customer.
- Policy issuance: The trade credit insurance policy is issued, and the premium is set based on the level of risk associated with trading with the customer.
What is trade credit insurance?
+Trade credit insurance, also known as credit insurance, is a type of insurance that protects businesses against the risk of non-payment by their customers.
How does trade credit insurance work?
+Trade credit insurance works by providing a guarantee of payment in case a customer fails to pay. The insurance policy is issued by a credit insurance company, such as Euler Hermes Credit, and the premium is set based on the level of risk associated with trading with the customer.
What are the benefits of trade credit insurance?
+The benefits of trade credit insurance include increased sales, improved cash flow, reduced bad debt provision, and access to expert risk assessment and collections services.
In conclusion, Euler Hermes Credit’s trade credit insurance products and services provide businesses with the confidence to trade globally. By offering a range of policy options, expert risk assessment services, and collections services, Euler Hermes helps companies to minimize their exposure to trade credit risks and maximize their sales potential. With its comprehensive range of products and services, Euler Hermes Credit is a trusted partner for businesses looking to manage their trade credit risks and achieve their growth objectives.
