Trade Credit Insurance
The sales of goods and services are exposed to a significant number of risks, many of which are not within the control of the supplier. The highest of these risks and one that can have a catastrophic impact on the viability of a supplier, is the fa...
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| Format: | Report |
| Language: | English en_US |
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World Bank, Washington, DC
2017
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/951681468164986978/Trade-credit-insurance http://hdl.handle.net/10986/27726 |
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okr-10986-27726 |
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| recordtype |
oai_dc |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
INSURANCE ACCOUNT RECEIVABLE ACCOUNTS RECEIVABLE ACCOUNTS RECEIVABLE FINANCING ACCOUNTS RECEIVABLES ACCRUAL ACCOUNTING ADVERSE SELECTION AGRICULTURAL INSURANCE AMOUNT DUES ASSET STRUCTURES ASSETS AUCTION BAD DEBT BAD DEBT LOSSES BAD DEBTS BALANCE SHEET BANK GUARANTEE BANKRUPT BANKRUPTCY BANKRUPTCY PROTECTION BANKS BORROWING CAPACITY BROKERS BUSINESS CREDIT BUSINESS FAILURES BUSINESS INSURANCE CAPITAL MARKET CAPITAL MARKET INVESTORS CAPITAL MARKETS CAPITAL MARKETS DEVELOPMENT CASH FLOW CASUALTY INSURANCE CLAIM COLLATERAL COLLECTION PROCEDURE COLLECTION PROCEDURES COLLECTION SERVICES COMMERCIAL BANK COMMERCIAL INSURANCE COMMERCIAL PAPER CONSUMER PROTECTION CONTRACTUAL RIGHT CORPORATE INSOLVENCY COVERAGE CREDIT AGENCIES CREDIT BUYER CREDIT DECISIONS CREDIT DEFAULT CREDIT DEFAULT SWAPS CREDIT INFORMATION CREDIT INSURANCE CREDIT LINE CREDIT LINES CREDIT LOSSES CREDIT RISK CREDIT RISKS CREDIT TERMS CREDIT WORTHINESS CREDIT-WORTHINESS CURRENCY CUSTOMER BASE DEBT COLLECTION DEBT COLLECTIONS DEBT DEFAULT DEBTORS DEBTS DEFAULT RATES DELIVERY OF GOODS DEVELOPING MARKETS DOMESTIC CREDIT ECONOMIC STABILITY EMPLOYMENT EQUITY INVESTMENT EVENT OF INSOLVENCY EXPORT CREDIT EXPORT CREDIT INSURANCE EXPORT SECTOR EXPROPRIATION FACE VALUE FACTORING FINANCIAL CRISIS FINANCIAL DIFFICULTIES FINANCIAL DIFFICULTY FINANCIAL HEALTH FINANCIAL INSTITUTIONS FINANCIAL INSTRUMENTS FINANCIAL SECTOR FINANCIAL SERVICES FINANCIAL SITUATION FINANCIAL STATEMENTS FINANCIAL STRENGTH FOREIGN BUYERS FOREIGN GOVERNMENT GLOBAL CAPITAL GLOBAL CAPITAL MARKETS GLOBAL MARKET GLOBAL TRADE GROSS PROFIT HOUSING HOUSING FINANCE INCOME INDEMNIFICATION INDEMNITY INDEMNITY INSURANCE INFORMATION SYSTEMS INSOLVENCIES INSOLVENCY INSOLVENT INSPECTIONS INSURANCE CLAIMS INSURANCE COMPANIES INSURANCE COMPANY INSURANCE CONTRACTS INSURANCE COVERAGE INSURANCE INDUSTRY INSURANCE MARKET INSURANCE POLICIES INSURANCE POLICY INSURANCE PREMIUMS INSURANCE PRODUCT INSURANCE PRODUCTS INSURANCE PROGRAM INSURER INTERNATIONAL BANK INTERNATIONAL CREDIT INTERNATIONAL TRADE INVESTING JUDGEMENT JURISDICTION JURISDICTIONS LATE PAYMENT LATE PAYMENTS LAWS LEGAL ACTION LENDER LENDING INSTITUTIONS LETTER OF CREDIT LETTERS OF CREDIT LIABILITY LIFE INSURERS LIQUIDATOR LIQUIDITY LOAN LOCAL CURRENCY LOSS RATIO MACROECONOMIC LEVEL MAJORITY SHAREHOLDER MARKET SHARE MERGER MICROINSURANCE NATIONAL INVESTMENT NON-LIFE INSURANCE NONPAYMENT OUTSOURCING OUTSTANDING AMOUNT OUTSTANDING DEBT PAYMENT IN ADVANCE PAYMENT TERMS PENSION POLITICAL RISK POLITICAL RISK INSURANCE POLITICAL RISKS PORTFOLIO PORTFOLIOS PRIVATE INSURANCE PRIVATE INSURANCE COMPANIES PRIVATE SECTOR DEVELOPMENT PROFITABILITY PROPORTIONAL REINSURANCE PROTECTION INSURANCE PUBLIC RECORDS RATES RECEIVABLES RECEIVABLES FINANCING RECEIVER REINSURANCE REINSURANCE TREATY REINSURERS REPUTATION RESULT OF INSOLVENCY RIGHT OF SUBROGATION RISK ASSESSMENT RISK EXPOSURE RISK EXPOSURES RISK INSURANCE RISK MANAGEMENT RISK MANAGEMENT TOOL RISK OF DEFAULT RISK SHARING RISK UNDERWRITING RISKY ASSET SAVINGS SHAREHOLDER SUBSIDIARIES SURETY TERMS OF CREDIT TRADE CREDIT TRADE DEBT TRADE FLOWS TRADE SECTOR TRADES TRADING TRANSACTION TREATIES TURNOVER UNDERWRITER VALID CLAIM VOLATILITY WORKING CAPITAL |
| spellingShingle |
INSURANCE ACCOUNT RECEIVABLE ACCOUNTS RECEIVABLE ACCOUNTS RECEIVABLE FINANCING ACCOUNTS RECEIVABLES ACCRUAL ACCOUNTING ADVERSE SELECTION AGRICULTURAL INSURANCE AMOUNT DUES ASSET STRUCTURES ASSETS AUCTION BAD DEBT BAD DEBT LOSSES BAD DEBTS BALANCE SHEET BANK GUARANTEE BANKRUPT BANKRUPTCY BANKRUPTCY PROTECTION BANKS BORROWING CAPACITY BROKERS BUSINESS CREDIT BUSINESS FAILURES BUSINESS INSURANCE CAPITAL MARKET CAPITAL MARKET INVESTORS CAPITAL MARKETS CAPITAL MARKETS DEVELOPMENT CASH FLOW CASUALTY INSURANCE CLAIM COLLATERAL COLLECTION PROCEDURE COLLECTION PROCEDURES COLLECTION SERVICES COMMERCIAL BANK COMMERCIAL INSURANCE COMMERCIAL PAPER CONSUMER PROTECTION CONTRACTUAL RIGHT CORPORATE INSOLVENCY COVERAGE CREDIT AGENCIES CREDIT BUYER CREDIT DECISIONS CREDIT DEFAULT CREDIT DEFAULT SWAPS CREDIT INFORMATION CREDIT INSURANCE CREDIT LINE CREDIT LINES CREDIT LOSSES CREDIT RISK CREDIT RISKS CREDIT TERMS CREDIT WORTHINESS CREDIT-WORTHINESS CURRENCY CUSTOMER BASE DEBT COLLECTION DEBT COLLECTIONS DEBT DEFAULT DEBTORS DEBTS DEFAULT RATES DELIVERY OF GOODS DEVELOPING MARKETS DOMESTIC CREDIT ECONOMIC STABILITY EMPLOYMENT EQUITY INVESTMENT EVENT OF INSOLVENCY EXPORT CREDIT EXPORT CREDIT INSURANCE EXPORT SECTOR EXPROPRIATION FACE VALUE FACTORING FINANCIAL CRISIS FINANCIAL DIFFICULTIES FINANCIAL DIFFICULTY FINANCIAL HEALTH FINANCIAL INSTITUTIONS FINANCIAL INSTRUMENTS FINANCIAL SECTOR FINANCIAL SERVICES FINANCIAL SITUATION FINANCIAL STATEMENTS FINANCIAL STRENGTH FOREIGN BUYERS FOREIGN GOVERNMENT GLOBAL CAPITAL GLOBAL CAPITAL MARKETS GLOBAL MARKET GLOBAL TRADE GROSS PROFIT HOUSING HOUSING FINANCE INCOME INDEMNIFICATION INDEMNITY INDEMNITY INSURANCE INFORMATION SYSTEMS INSOLVENCIES INSOLVENCY INSOLVENT INSPECTIONS INSURANCE CLAIMS INSURANCE COMPANIES INSURANCE COMPANY INSURANCE CONTRACTS INSURANCE COVERAGE INSURANCE INDUSTRY INSURANCE MARKET INSURANCE POLICIES INSURANCE POLICY INSURANCE PREMIUMS INSURANCE PRODUCT INSURANCE PRODUCTS INSURANCE PROGRAM INSURER INTERNATIONAL BANK INTERNATIONAL CREDIT INTERNATIONAL TRADE INVESTING JUDGEMENT JURISDICTION JURISDICTIONS LATE PAYMENT LATE PAYMENTS LAWS LEGAL ACTION LENDER LENDING INSTITUTIONS LETTER OF CREDIT LETTERS OF CREDIT LIABILITY LIFE INSURERS LIQUIDATOR LIQUIDITY LOAN LOCAL CURRENCY LOSS RATIO MACROECONOMIC LEVEL MAJORITY SHAREHOLDER MARKET SHARE MERGER MICROINSURANCE NATIONAL INVESTMENT NON-LIFE INSURANCE NONPAYMENT OUTSOURCING OUTSTANDING AMOUNT OUTSTANDING DEBT PAYMENT IN ADVANCE PAYMENT TERMS PENSION POLITICAL RISK POLITICAL RISK INSURANCE POLITICAL RISKS PORTFOLIO PORTFOLIOS PRIVATE INSURANCE PRIVATE INSURANCE COMPANIES PRIVATE SECTOR DEVELOPMENT PROFITABILITY PROPORTIONAL REINSURANCE PROTECTION INSURANCE PUBLIC RECORDS RATES RECEIVABLES RECEIVABLES FINANCING RECEIVER REINSURANCE REINSURANCE TREATY REINSURERS REPUTATION RESULT OF INSOLVENCY RIGHT OF SUBROGATION RISK ASSESSMENT RISK EXPOSURE RISK EXPOSURES RISK INSURANCE RISK MANAGEMENT RISK MANAGEMENT TOOL RISK OF DEFAULT RISK SHARING RISK UNDERWRITING RISKY ASSET SAVINGS SHAREHOLDER SUBSIDIARIES SURETY TERMS OF CREDIT TRADE CREDIT TRADE DEBT TRADE FLOWS TRADE SECTOR TRADES TRADING TRANSACTION TREATIES TURNOVER UNDERWRITER VALID CLAIM VOLATILITY WORKING CAPITAL Jones, Peter M. Trade Credit Insurance |
| relation |
Primer Series on Insurance;Issue 15 |
| description |
The sales of goods and services are
exposed to a significant number of risks, many of which are
not within the control of the supplier. The highest of these
risks and one that can have a catastrophic impact on the
viability of a supplier, is the failure of a buyer to pay
for the goods or services it has purchased. In today's
challenged domestic and global economic climate, recognizing
and managing future risks has become a priority for
businesses. Losses attributed to non-payment of a trade debt
or bankruptcy can and do occur regularly. Default rates vary
by industry and country from year-to-year, and no industry
or company is immune from trade credit risk. The essential
value of trade credit insurance is that it provides not only
peace of mind to the supplier, who can be assured that their
trade is protected, but also valuable market intelligence on
the financial viability of the supplier's customers,
and, in the case of buyers in foreign countries, on any
trading risks peculiar to those countries. As well as
providing an insurance policy that matches the client's
patterns of business, trade credit insurers will establish
the level of cover that can reasonably be provided to the
supplier for trade with each individual buyer, by analyzing
the buyer's financial status, profitability, liquidity,
size, sector, payment behavior and location. |
| format |
Report |
| author |
Jones, Peter M. |
| author_facet |
Jones, Peter M. |
| author_sort |
Jones, Peter M. |
| title |
Trade Credit Insurance |
| title_short |
Trade Credit Insurance |
| title_full |
Trade Credit Insurance |
| title_fullStr |
Trade Credit Insurance |
| title_full_unstemmed |
Trade Credit Insurance |
| title_sort |
trade credit insurance |
| publisher |
World Bank, Washington, DC |
| publishDate |
2017 |
| url |
http://documents.worldbank.org/curated/en/951681468164986978/Trade-credit-insurance http://hdl.handle.net/10986/27726 |
| _version_ |
1764464470827991040 |
| spelling |
okr-10986-277262021-04-23T14:04:42Z Trade Credit Insurance Jones, Peter M. INSURANCE ACCOUNT RECEIVABLE ACCOUNTS RECEIVABLE ACCOUNTS RECEIVABLE FINANCING ACCOUNTS RECEIVABLES ACCRUAL ACCOUNTING ADVERSE SELECTION AGRICULTURAL INSURANCE AMOUNT DUES ASSET STRUCTURES ASSETS AUCTION BAD DEBT BAD DEBT LOSSES BAD DEBTS BALANCE SHEET BANK GUARANTEE BANKRUPT BANKRUPTCY BANKRUPTCY PROTECTION BANKS BORROWING CAPACITY BROKERS BUSINESS CREDIT BUSINESS FAILURES BUSINESS INSURANCE CAPITAL MARKET CAPITAL MARKET INVESTORS CAPITAL MARKETS CAPITAL MARKETS DEVELOPMENT CASH FLOW CASUALTY INSURANCE CLAIM COLLATERAL COLLECTION PROCEDURE COLLECTION PROCEDURES COLLECTION SERVICES COMMERCIAL BANK COMMERCIAL INSURANCE COMMERCIAL PAPER CONSUMER PROTECTION CONTRACTUAL RIGHT CORPORATE INSOLVENCY COVERAGE CREDIT AGENCIES CREDIT BUYER CREDIT DECISIONS CREDIT DEFAULT CREDIT DEFAULT SWAPS CREDIT INFORMATION CREDIT INSURANCE CREDIT LINE CREDIT LINES CREDIT LOSSES CREDIT RISK CREDIT RISKS CREDIT TERMS CREDIT WORTHINESS CREDIT-WORTHINESS CURRENCY CUSTOMER BASE DEBT COLLECTION DEBT COLLECTIONS DEBT DEFAULT DEBTORS DEBTS DEFAULT RATES DELIVERY OF GOODS DEVELOPING MARKETS DOMESTIC CREDIT ECONOMIC STABILITY EMPLOYMENT EQUITY INVESTMENT EVENT OF INSOLVENCY EXPORT CREDIT EXPORT CREDIT INSURANCE EXPORT SECTOR EXPROPRIATION FACE VALUE FACTORING FINANCIAL CRISIS FINANCIAL DIFFICULTIES FINANCIAL DIFFICULTY FINANCIAL HEALTH FINANCIAL INSTITUTIONS FINANCIAL INSTRUMENTS FINANCIAL SECTOR FINANCIAL SERVICES FINANCIAL SITUATION FINANCIAL STATEMENTS FINANCIAL STRENGTH FOREIGN BUYERS FOREIGN GOVERNMENT GLOBAL CAPITAL GLOBAL CAPITAL MARKETS GLOBAL MARKET GLOBAL TRADE GROSS PROFIT HOUSING HOUSING FINANCE INCOME INDEMNIFICATION INDEMNITY INDEMNITY INSURANCE INFORMATION SYSTEMS INSOLVENCIES INSOLVENCY INSOLVENT INSPECTIONS INSURANCE CLAIMS INSURANCE COMPANIES INSURANCE COMPANY INSURANCE CONTRACTS INSURANCE COVERAGE INSURANCE INDUSTRY INSURANCE MARKET INSURANCE POLICIES INSURANCE POLICY INSURANCE PREMIUMS INSURANCE PRODUCT INSURANCE PRODUCTS INSURANCE PROGRAM INSURER INTERNATIONAL BANK INTERNATIONAL CREDIT INTERNATIONAL TRADE INVESTING JUDGEMENT JURISDICTION JURISDICTIONS LATE PAYMENT LATE PAYMENTS LAWS LEGAL ACTION LENDER LENDING INSTITUTIONS LETTER OF CREDIT LETTERS OF CREDIT LIABILITY LIFE INSURERS LIQUIDATOR LIQUIDITY LOAN LOCAL CURRENCY LOSS RATIO MACROECONOMIC LEVEL MAJORITY SHAREHOLDER MARKET SHARE MERGER MICROINSURANCE NATIONAL INVESTMENT NON-LIFE INSURANCE NONPAYMENT OUTSOURCING OUTSTANDING AMOUNT OUTSTANDING DEBT PAYMENT IN ADVANCE PAYMENT TERMS PENSION POLITICAL RISK POLITICAL RISK INSURANCE POLITICAL RISKS PORTFOLIO PORTFOLIOS PRIVATE INSURANCE PRIVATE INSURANCE COMPANIES PRIVATE SECTOR DEVELOPMENT PROFITABILITY PROPORTIONAL REINSURANCE PROTECTION INSURANCE PUBLIC RECORDS RATES RECEIVABLES RECEIVABLES FINANCING RECEIVER REINSURANCE REINSURANCE TREATY REINSURERS REPUTATION RESULT OF INSOLVENCY RIGHT OF SUBROGATION RISK ASSESSMENT RISK EXPOSURE RISK EXPOSURES RISK INSURANCE RISK MANAGEMENT RISK MANAGEMENT TOOL RISK OF DEFAULT RISK SHARING RISK UNDERWRITING RISKY ASSET SAVINGS SHAREHOLDER SUBSIDIARIES SURETY TERMS OF CREDIT TRADE CREDIT TRADE DEBT TRADE FLOWS TRADE SECTOR TRADES TRADING TRANSACTION TREATIES TURNOVER UNDERWRITER VALID CLAIM VOLATILITY WORKING CAPITAL The sales of goods and services are exposed to a significant number of risks, many of which are not within the control of the supplier. The highest of these risks and one that can have a catastrophic impact on the viability of a supplier, is the failure of a buyer to pay for the goods or services it has purchased. In today's challenged domestic and global economic climate, recognizing and managing future risks has become a priority for businesses. Losses attributed to non-payment of a trade debt or bankruptcy can and do occur regularly. Default rates vary by industry and country from year-to-year, and no industry or company is immune from trade credit risk. The essential value of trade credit insurance is that it provides not only peace of mind to the supplier, who can be assured that their trade is protected, but also valuable market intelligence on the financial viability of the supplier's customers, and, in the case of buyers in foreign countries, on any trading risks peculiar to those countries. As well as providing an insurance policy that matches the client's patterns of business, trade credit insurers will establish the level of cover that can reasonably be provided to the supplier for trade with each individual buyer, by analyzing the buyer's financial status, profitability, liquidity, size, sector, payment behavior and location. 2017-08-10T20:56:19Z 2017-08-10T20:56:19Z 2010-02 Report http://documents.worldbank.org/curated/en/951681468164986978/Trade-credit-insurance http://hdl.handle.net/10986/27726 English en_US Primer Series on Insurance;Issue 15 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Economic & Sector Work :: Other Financial Sector Study Economic & Sector Work |