Credit Insurance
Credit Insurance is a simple way to protect your business against the effects of bad debt.
Many businesses, focusing upon growth and profit targets overlook the need to build safeguards around their sales ledger.
Key Benefits
- A guarantee pay out on insolvency claims within 28 days
- Up to 12 months binding contract cover included as standard (once you start a contract you will always get paid)
- Work done on site before the first/next valuation
- Work certified and not paid
- Variations properly instructed
- Day works property authorised
- Unfixed materials and goods on site
- Retentions and/or final account balances certified in the policy period
- Unfixed materials and goods off site
- Design fees rightfully incurred
- Final account balances
- Sums falling due under an adjudicator’s binding decision
- Related and claimable statutory interest
Credit Insurance normally covers the entire turnover of your business however there are also some policies that will only cover key accounts that you can select. Running your own business sometimes involves taking risks and one major risk is allowing customers to take goods or services on credit.
This is however standard trading practice within the construction industry and Credit Insurance can protect your business if a customer is unable to pay their account. You cannot predict what is going to happen to your customers or expect to know how close a customer is to collapse.
With Credit Insurance you can gain automatic online decisions for credit limit applications and have access to market leading commercial collection agencies who will pursue a bad debt on your behalf.
How it works
The insurance company will guide you to those contractors that can pay for your work, and if they get it wrong and the contractor goes bust, they will pay you instead.
Why waste your time, effort and hard earned cash working for contractors who aren’t going to pay you?