Policy covers large firms against exceptional trade credit losses
Euler Hermes has launched a new non-cancellable excess of loss (XoL) trade credit insurance product for big firms.
The policy is designed for large and multinational companies seeking protection from exceptional trade credit losses to their balance sheet and includes non-cancellable credit and country limits.
“The new XoL product complements and completes the span of products our clients require from their trade credit insurance partner,” said Euler Hermes World Agency chief executive Nicolas Delzant.
“While Euler Hermes is recognised as the established market leader in traditional short-term credit insurance, we understood our clients’ need for a pragmatic XoL product supported by the security of our AA- rating, market leadership, extensive global database and network of risk experts. XoL completes a structured services range that has been recently strengthened by our medium-term transactional cover for political risk and trade finance. We are therefore well positioned to become the market leader across the entire trade credit insurance services spectrum.
Euler Hermes head of XoL Mark Moran said: “An XoL policy can be an effective tool to help companies generate receivables-based financing.
“The certainty of non-cancellable cover during the life of the policy makes the trade credit product attractive to lenders seeking a risk mitigant. This certainty, coupled with the assurance of our AA- rating, increases banks confidence to lend, and companies are potentially able to secure better funding results.”