Guarantee Trade Credit Solutions

Credit Insurance:
Credit Insurance provides a complete array of protection against the direct financial loss from insolvency or non-payment from a customer/buyer for commercial trading terms up to 360 days.

What’s covered in a Credit policy?

  • Insolvency of a buyer.
  • Protracted default (the non-payment of an account after a specified period of time).
  • Many policies combine coverage for credit, political risks, and repudiation or buyer non-acceptance of the goods.

Benefits of credit insurance:

  • Protects balance sheet assets.
  • Propels revenue growth by mitigating the related customer non-payment risk.
  • Used as a financial tool, a Credit Insurance policy may unlock additional financial flexibility on a bank line and potentially support innovative working capital solutions.
  • Addresses risk mitigation and financial engineering goals.

Political Risk:
International presence exposes companies to financial and political risk, especially with increased awareness of political instability and global crises. Political Risk insurance complements Credit insurance in protecting businesses in overseas markets.

What’s covered in a Political Risk policy?

  • Expropriation, nationalization or discriminatory regulatory practices amounting to nationalization;
  • Inability to access an asset due to war, revolution or civil strife;
  • Cancellation or non-renewal of import or export licenses;
  • Embargo or other import/export restrictions not in place prior to investment or contract;
  • Confiscation, seizure or inability to re-export equipment or inventory;
  • Non-payment by a Sovereign buyer;
  • Failure to honour a Sovereign guarantee; and
  • Frustration of payment under Documentary Credits or resulting in the rightful call of a bond or guarantee due to political events.

The Guarantee Trade Credit Solutions team specializes in underwriting insurance policies that provide credit risk management, accounts receivable protection, and political risk management

Working exclusively with insurance brokers, we enhance a broker’s product portfolio by supporting accounts receivable protection for their clients. Our policy management system provides clients with easy access to policy documents and buyer coverage.

Let’s get started
Guarantee Trade Credit Solutions is offered through independent insurance brokers across Canada. We continue to work with our brokers to tailor coverage specifically for client needs. Find a broker in your area to start the process.