We know that maintaining cash flow so you can grow a business is always tricky, and even more so in today’s economy. After all, if you deliver goods or services on credit, just one bad debtor can cripple your entire supply chain. With Hollard Trade Credit cover, our expert underwriters can help you make good credit decisions, by working through the information on each debtor. Together with our industry understanding, this means we can provide the right credit management and risk transfer mechanisms to help guide your business when it comes to offering the right amount of credit to each client. With Hollard Trade Credit insurance, you can steadily grow your turnover by keeping a closer eye on your debtor’s book.
Complete this form if you’d like us to cover a comprehensive selection of your debtor’s book. Premiums here are calculated on turnover or outstanding balances.
Send us the credit application or complete this form if you’d like us to quote on a specific debtor. We need one form per debtor and will provide a quotation per debtor.
Keep your cash flowing. Keep your business growing.
Our understanding of trade credit helps you make better decisions and minimises your risk. By linking effective credit management and risk transfer, we perform a holistic credit check on your chosen debtors to ensure you have all the knowledge you need. Not only do our experts offer guidance but our unique, market-leading trade credit cover allows your business to buy insurance on a selected debtor basis – think of it as cover tailored to your bottom line. Acting as security, this policy also allows you to inject the cash flow you need when you need it.
We understand the rhythms of business and use this knowledge to manage your risk. Here’s why you need Hollard’s Trade Credit insurance:
Our selected debtor route means that we never decline any industries or sectors (we believe that there are good risks in all sectors).
Any debtor resulting from goods delivered or services rendered is eligible for our product. We don’t cover leases of property or assets, or any money lending transactions though.
Premiums are calculated either on the credit limits we’ve approved, or on a turnover or outstanding balances basis, depending on the structure of the policy. The rate is based on the outcome of the assessment of the underlying debtor or on a portfolio rating as you choose.
Once you give us all the information we need, we’ll take four working days to perform a comprehensive credit review on the debtor and provide a premium rate.
A credit limit is required to be in place for a minimum of 120 days. While you may increase a limit at any stage, the limit can’t be reduced for a period of 120 days. This is due to the anti-selective nature of the product and the fact that risks are covered on a goods delivered / services rendered basis. Reducing limits shortly after a transaction is concluded would expose us to the entire risk without commensurate premium income.
No risks are specifically excluded. We believe in making good credit decisions and will consider all of them and rate them individually on their own merits.
The real question here is: “Why am I considering selling on terms to this client in the first place?”. We’ll provide you with the reasons you need so you can understand why any particular debtor is declined (we’ll never decline without being able to substantiate why). Our advice would be to offer cash terms to these clients.
You may select any limit within the approved credit limit that you feel comfortable with. This is our way of managing large premiums. The only difference is that you would “reinsure yourself” for the loss over the insured limit. We’d recover the insured portion (in proportion to your excess) first, and then we’d continue to help you to recover the balance of the amount outstanding.