A/R insurance protects your business’s
income statement, balance sheet, and cash flow.
Insolvency
Issues
Slow
Payment
Political &
Export Risks
Benefits to your business
Protect against
catastrophic losses &
disrupted cash flow
Protect one of your company’s largest assets from unexpected losses
Hedge against disruption to cashflow
Reduce the risk of key account concentration levels
Expand Sales
Expand sales into riskier or new markets with favorable terms
Grow with existing accounts and safely offer open terms to new accounts
Streamline
Credit Function
Provide a structure and discipline for credit decision making
Fast fact-based credit decisions on customer, prospects, industries and countries
Enhance
Banking Financing
Borrow against export receivables
More capital at reduced rates - take full advantage of A/R reduction in bad debt reserves
How much does accounts receivable
insurance cost?
The cost of accounts receivable insurance largely depends on your
business’s total sales.
Premiums can based on sales or total receivables. Sales-based
premiums often cost between $1 and $1.50 per $10,000 of sales.
Premiums based on receivables can range between one-quarter to
one-percent of total receivables.
Your accounts receivable insurance premium will depend a number of
factors, including:
The industry your business operates in
The number of employees you have
Your location
Your coverage limits
Your deductible
