Companies often face the risk that one or more of their key customers will not be able to pay their trade debt. Bankruptcy as a business strategy, leveraged buyouts, fraud, civil unrest, domestic and international developments, natural disasters-- these are just some of the exposures that can impact a customer's ability to pay.

Trade credit insurance can help protect companies from the harmful effects of buyer insolvency or slow payment. Marsh's Trade Credit Practice specializes in developing solutions tailored to clients' specific credit exposures. We maintain an extensive international network of credit insurance offices, so clients have ready access to local experts. Our knowledge of international markets also enables us to advise on the source and type of cover most suitable for a particular situation. In addition, Marsh works extensively with underwriters to expand market capacity and develop improved trade credit products.

With trade credit insurance in place, companies can extend more credit to creditworthy customers while reducing the risk of nonpayment, thereby promoting safe sales expansion. Favorable bank financing can be more easily obtained, assigning the insured accounts receivable as collateral.