Protection against loss of receivablesNearly all companies have at some point experienced loss of receivables. To compensate loss of receivables of EUR 50,000, you must realize approximately EUR 850,000 more, with 6% yield on sales before taxes. With export trade, even securities such as Title Retention clauses or liens are not enforceable because of varying legal situations.
Credit or Trade Indemnity Insurance includes:
- loss prevention (by assuming credit check and credit control assignments as well as the solvency ratios of the approved clients),
- loss reduction (by assuming debt collections and enforcement proceedings) and
- loss compensation in the case of a claim.