Business Credit Insurance

What is business credit insurance?

Business credit insurance is a specialized form of property and casualty insurance that offers companies protection against the financial consequences of customer bankruptcies, insolvencies or even slow-paying accounts. Export business credit insurance also provides political risk coverage.

Business credit insurance policies are individually tailored to meet the wants and needs of the policy holder. This is one reason why you should be sure the person(s) you are dealing with have a full understanding of where your business is and where it is going. Also, if you use a business credit insurance broker (recommended) , the broker should know which insurer will be best suited for your business. While there are only a few solid business credit insurance providers in the United States, there probably is one or two that are better suited to meet your business needs and/or size. Brokers know this stuff (the good ones do).

Accounts receivable can be a company's biggest, yet most vulnerable asset. Just as inventory and equipment are routinely insured, it makes good business sense to have coverage for this valuable resource. Your accounts receivable represent your inventory plus your profit.

Typically, the cost of a credit insurance policy is a small fraction of 1 percent of covered sales. When an insured sustains a covered loss, the insurance company reimburses the loss up to 100 percent above a pre-established deductible and/or coinsurance. The deductible reflects the expected loss ratio of a company of a certain type and size. The coinsurance encourages a partnership between the insured and the insurer.

Contact BCIB.US to see how it may work for your business.

Business Credit Insurance / Plano, Texas 75074 / 214-991-1950 / Email: info@business-credit-insurance.com