Imagine this: you’ve invested in top-notch printers, a warehouse full of blank t-shirts & hoodies and your team is working hard to fulfill thousands of orders every day. But your biggest & most valuable client pays usually by invoice, and you’re still waiting for payment weeks after delivery. What happens if they suddenly can’t pay? It could put your whole business in jeopardy and effect not only your employees, your suppliers but also other large partners who depend on your services.
How can you maintain healthy cashflow even in time of disruption ?
Trade credit insurance is like a safety net for your cash flow. If a client doesn’t pay, the insurer steps in—so you can keep your business running smoothly. By insuring receivables, POD companies can safeguard their operations against client insolvency or delayed payments and this way they keep the cashflow healthy.
We at Valadio, understand how important it is to maintain cashflow healthy as it provide additional protection not only for us, but also for our suppliers and high volume clients.
The Value of Credit Insurance for Print on Demand companies
- Risk transfer: Protects you, your employees and your suppliers against losses from unpaid invoices.
- Financial stability: Helps maintain supplier relationships and payroll during disruptions.
- Business confidence: Encourages growth without excessive risk.
- Your clients protections: Gives additional guarantees to your high-volume clients from a sudden disruption of your operations
We have put together list of insurance products, which you can use for insurance of your receivables. The actual rate and conditions allways depend on your credit score of your partners, and you can choose to cover just high risc partners.
| Company | Product Name | Typical Cost |
|---|---|---|
| Allianz Trade | CAP / CAP+ | 2%–6% of insured value |
| Coface | TopLiner | Risk-adjusted |
| Atradius | Whole Turnover Excess | 0.1%–0.5% of insured turnover |
| Euler Hermes | Single Invoice Cover | Pay-per-use |
| Credendo | Emerging Markets Cover | Case-by-case |
| Chubb | Credit Complete | Portfolio-based |
| Zurich | Trade Credit Hub | Not publicly disclosed |
| Liberty Mutual | Non-Cancellable Cover | Industry-specific |
| AIG | Excess of Loss | 0.3%–1.2% of exposure |
| Tokio Marine | Niche Top-Up | 1.5%–4% annually |
| Swiss Re | Surety-Backed Cover | 0.25%–0.75% of facility size |
| Sinosure | Export Credit Insurance | 0.5%–1.5% per invoice |
| Markel | Syndicated Co-Insurance | Lloyd’s market rates |
| QBE | TradeLiner | Fixed commission + risk fee |
| Beazley | Political Risk Cover | 0.8%–2.5% of insured value |
| Garant | Shared Excess Cover | Risk pool participation fee |
| Nexus | Flexible Limit Insurance | 0.9%–3% + admin fees |
| HDI Group | Dynamic Credit Shield | 0.4%–1.8% of receivables |
| SCOR | Catastrophic Default | Negotiated annually |
| Achmea | SME Protection | 0.7%–1.5% + deductible |
| Euler Hermes | Simplicity | Flat rate, small businesses |
| Coface | EasyLiner | Flat rate, SMEs |
| Atradius | Modula | Custom, modular pricing |