Credit Insurance protects your accounts receivable from losses caused by customer insolvency or protracted default (i.e. slow pay).

The primary benefits are as follows:

• Protection from catastrophic credit losses
• Ability to grow your business by offering
  • Higher credit limits
  • Longer terms of sale
  • Open account sales to export markets
• To improve borrowing power where the lender is restricting availability due to:
  • customer concentrations
  • foreign receivables
  • extended terms of sale
• Credit insurance premiums are tax-deductible, reserves for bad-debt are not
• Credit insurance is less expensive than letters of credit

Policy types:

• "Whole Turnover" - insuring virtually all accounts
• "Key Account" - insuring only the largest customers
• "Single Customer" or "Selected Customer" - insuring only a single account. Smyth Trade Credit will help you determine strategy and evaluate products from all domestic and international carriers. We will demonstrate for you how these programs are often self-funding, while reducing overall bad debt expense, and increasing/protecting profits.