Business Link extract regarding credit insuring your business.

Insurance for international trade

Insuring against non-payment

While most businesses insure their fixed assets, many overlook the risk of non-payment by the buyer. There may be buyer, country or political reasons for non-payment.

As an exporter, you can take out export credit insurance. This protects against non-payment and is an important tool in credit management. It means you can sell more goods or services on credit terms and increase your borrowing power. However, it should not replace good credit management practices.
Export insurance policy
An export insurance policy insures an exporter against the risk of not being paid under an export contract. It may also cover the risk of not being able to recover the costs of performing that contract because of specified reasons. Typically, such policies cover up to 95 per cent of the value of the contract and each policy will set out the risks it covers. You can purchase an export insurance policy from a private export credit insurer.

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