This type of policy is suitable for a company that has a large or excessive exposure to a single company or group of companies. Specific account cover is protection that looks after one-off larger contracts, or the debt owed by one of a company’s largest customers.
Often we find that specific account enquiries can be hard to place in isolation and insurers can sometimes be more open to extending cover by incorporating the buyer into a whole turnover or a catastrophe policy.
Because of the cherry picked nature of specific account policies, premium rates often range from 2% upwards based on credit limit size rather than total turnover. We can obtain lower rates if the risk is particularly strong. Currently the market dictates a minimum premium for this type of business of around 5,000 pounds.
The information required to obtain an indication of terms is straightforward. Insurers will require; your company details, information about the customer for which you require cover (your buyer), the anticipated turnover, the contract period, the credit limit requirement and the terms of payment.
We bring value by understanding the diversity of options available from today’s credit market whilst recognising that your business is unique. We understand that you will need cover correctly tailored to meet you individual needs.
We’ve all heard the old adage that a sale is not a sale until it’s paid for and of course we always expect to get paid for what we have sold but unfortunately this isn’t always the case. We look at why credit insurance could be an essential policy in the current economic climate.