If a registered business is selling its goods and services on credit terms (eg offering 30 days to pay) then it is vulnerable to bad debts and should consider the protection of trade credit insurance.
The non-payment of trade debts following insolvency (eg receivership, liquidation, and bankruptcy) and protracted default. If the trade debt is from an export transaction, the additional events of contract repudiation and various political risks can be included.
Yes, QBE Trade Credit policies are designed to complement and support good credit management and help businesses trade with confidence. We respond promptly to increases in credit limits and can assist if a customer slows in paying an account.
Debtor Insure can help you find a range of products that can be tailored to suit each business. For details of our products in each market, please get in touch via our contact details below.
No, trade credit insurance is for business to business transactions such as manufacturers selling to wholesalers, wholesalers to retailers or contractors to builders.
Premiums can be calculated as a percentage of turnover or on a fixed fee basis and are reflective of industry, debtors’ quality and whether customers are local or international. We can generally tailor our products to meet both the businesses risk coverage requirements and budget.
We’ll ask for information about the industry and location of the larger debtors, the length of the terms of payment, history of bad debts and the credit control processes.
Claims are payable 30 days from our receipt of the Confirmation of Debt from the insolvency practitioner in charge of the failed debtor. Protracted default claims have a waiting period and require evidence of action taken to receive the amounts owed.
Yes, we work with selected collection agencies.
Yes, working across Australia, New Zealnd, and North America, we’re able to offer policies on a local, regional or global basis.