Credit insurance is a form of insurance coverage that is available to both individuals and businesses. The coverage given under credit insurance to protect against losses, is beneficial to both the debtor and the lender. For the debtor, it ensures peace of mind that any debts that are currently outstanding will be settled. At the same time, the lender is assured of receiving payment in full even if the debtor dies.
In business setting, accounts receivable is the major problem which certainly is a big pressure on the mind. In an event where client goes bankrupt, the insured party can claim if accounts receivable meet the criteria of credit insurance. Sigh! Relief isn’t it? Of course, the degree of protection varies and also there are limits attached to the amount of coverage.
Sounds interesting? Want to know more? Contact us and we will be more than happy to answer your queries.
