That's a question we get a lot.
Let's say you recently signed up for a Credit Insurance policy. For the sake of this conversation it doesn't matter if you went through a broker like us or directly to the carrier. That's because the steps you need to take next are the same..
When your business is covered by a Trade Credit Insurance Policy, there are a number of things that you will need to do throughout the year to insure that you are complying with all of the policy requirements.
Unlike most other insurance policies that sit in a drawer and/or filing cabinet after signing and basically just need to be renewed on a yearly basis, a Trade Credit Insurance Policy requires a little bit more. You will need to do the following things, or ask your broker to assist you with:
- Understanding the credit granting process. It's important to communicate with your agent or broker when you sign new contracts to ensure that your client is covered under the policy and that there will be no restrictions. Going through this process will also ensure the legal identity of the Client and how they may affect your relationship with the Client.
- Turnover declarations. Turnover declarations need to be completed so that the regular cash flow of your business is understood and any issues can be flagged.
- Overdue reporting. Overdue reporting means that you are regularly assessing your client base and their payment status. If and as soon as there are overdue payments, that may signify a problem that needs to be reported.
If you are new to Trade Credit Insurance you may be confused by some of the above info. Don't be! Answering all your questions and helping you through the process is part of your agent's or broker's job. That's especially true if TCI Advisors is your broker. Our expert staff will make sure that you fully understand your requirements and we will walk you through the steps that you need to undertake to insure that you are compliant. We offer a flexible complement of services to ensure that you get the full value from your Trade Credit Insurance Policy. TCI Advisors will help you comply with credit granting under the discretionary limit, turnover declarations and with overdue reporting as well as in the unlikely event of a claim.
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