As a credit management tool, trade credit insurance allows you to protect your accounts receivable and reduce credit risk for a low price. By insuring your invoices and credit portfolio with a policy from Niche Trade Credit, you can safeguard your cash flow up to a given credit limit. If your client fails to pay on the specified terms, you’ll be able to recover the money that you are owed, up to the limit specified by your policy.
Credit insurance is also sometimes called “debtor insurance,” and is a valuable tool when sending goods or services to international clients – especially when political events, insolvency, and other such issues could pose serious obstacles to your short term business prospects if a debtor is not able to pay.