Protecting the Uncertainties of Trade Credit Transactions

By Clayton Smith


No doubt the future is unpredictable and nobody guarantees that all the promises made by a client would be fulfilled. At the same time, there is no situation where you could avoid credit transactions. In order to protect the businessmen from such vagaries of credit transactions, you have the trade credit insurance. The Atradius trade Credit has been in the market for over a century and the experience of IMC Newbury is about 25 years in dealing such transactions.

The trade credit insurance policy obtained from a dependable company ensures that your worries are minimized and you can lead a peaceful life. Very few clients default on their payments only for the sake of avoiding the payment. Sometimes, the circumstances beyond the expected levels resort to such breach of contract. The general reasons we find is the scarcity of raw material, the modifications made by the regulatory authorities, financial crisis of the client or the disasters caused by nature.

The trade credit insurance policy ensures that there are no uncertainties against the default of the client. The substantially larger amount of transactions can be shielded with the premium of the insurance policy. You will be able to augment the credit worthiness in the society with minimum amount of outstanding payments.

The operations of the IMC Newbury credit insurance extend to many countries with the database they had built during the course of their business. One of the clients could recover about $ 1 million of credit defaulted in stock dealings in Australia with their client because of the trade credit insurance policy. The insurance policy of IMC Newbury could ensure substantial financial stability of the company which otherwise could have doomed. It would be a nightmare even to imagine the situation if such a transaction is not covered under an insurance policy.

The reputation of over a century in the market has bestowed the Atradius trade credit insurance the due reliability and hallmark status. The information collected by the company could be retrieved and combined with that provided by the client. The customized insurance policy could cover only the clauses the client chooses or the entire all inclusive package insurance of the company.

No one would be ready to take such a high risk for a substantially higher value of the transaction. In fact, you are buying peace of mind when you buy an insurance policy. If destiny protects you, at least the insurance company would protect you from the financial loss.




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