Euler Hermes > Credit insurance > Our expertise > What is credit insurance?

What is credit insurance?

 

 

​​Credit insurance protects your business from non-payment of commercial debt. It makes sure that your invoices will be paid and allows you to​ reliably manage the commercial and political risks of trade.


Buyers all around the world demand looser credit terms. Saying yes to them can likely boost sales and keep customers happy.
  • 50% of buyers requested for more credit
  • 91% of exporters offer open account upon buyers' request
  • To increase trade sales (82% respondents) and customer loyalty (74%)

Yet buyers often pay late, sometimes even never.
  • 79% of exporters experience overdue payments
  • 70% of overdue payments came from existing buyers and 30% from new buyers
  • 53% suffered from bad debts in the past 3 years, an annual loss of HKD200,000

Source: Euler Hermes Hong Kong Market Survey 2014

Trade credit ​insurance can solve the dilemma. Exporters use trade credit insurance to:
  • Protects against buyers defaulting (27%)
  • Allows selling to new international buyers (17%)
  • Assists in expanding to risky or emerging markets (16%)

Watch the What is credit insurance video below to find out in just 2 minutes how it can help your business.

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CREDIT INSURANCE POLICIES  


Euler Hermes credit insurance policies suit ambition and trades of all sizes and sectors:

Multinational Companies

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Medium and Large Companies
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​Small Companies

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See h​ow our clients have benefited from Euler Hermes credit insurance​ protection.