Trade credit insurance: Secure your account receivables

Minimize the risk of unpaid debts with trade credit insurance

Tailored credit insurance solutionsdesigned to meet the unique needs of your business

Regardless of your company's size or market, whether operating domestically or engaged in exports, safeguarding B2B transactions against unpaid debts is imperative. Discover further insights into our adaptable business credit insurance solutions crafted to cater to your individual requirements.

How does credit insurance work?

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The role of the trade credit insurer is to keep you up-to-date. The risk experts will continuously analyze each of your customers to ensure their reliability. This guarantees you safe commercial development, and help you to work with the right partners. 

Risk Experts will analyze the creditworthiness and financial stability of your  insurable customers,and assign them a specific credit limit, which is the amount trade credit insurer will indemnify if that customer fails to pay.


How does credit insurance work?


When signs indicate a company is experiencing financial difficulty, you will be notified of the increased risk of selling to that debtor. An action plan will be established  to mitigate and avoid loss.

If an unforeseeable loss should occur, the Trade Credit Insurer would pay you the claim benefit up to the amount defined in your policy terms.

What is credit insurance?

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Credit insurance allows companies to grant payment periods to their customers domestically and internationally with confidence.

Trade credit insurance protects your invoices against excessive late payment or – in the worst-case scenario – default by your customers.

It compensates for your loss by indemnifying you upto 90% .  A range of options are available so you can adjust your coverage to meet specific risks (such as political or manufacturing risks, litigation, etc.).

COFACE Group, through its insurance company partners in Hong Kong, offers simple and flexible credit insurance products that are tailored to fit your size, sector and business ambitions.

What is credit insurance?


With trade credit insurance, your customers’ financial health is monitored, helping you make the right business decisions. And our business credit insurance means you have easier access to financing.

In short, when you insure your sales in Hong Kong and / or for export, you protect your cash flow and preserve your margins. You also optimise the management of your accounts receivable and safeguard your growth.


Benefits of Trade Credit Insurance

Trade credit insurance offers four unique services to help you mitigate the risk of customer non-payment.

  • Enhance receivables management

    Utilize business credit insurance as a resource to streamline your accounts receivables. This tool enables you to pinpoint dependable customers and establish practical credit limits. Moreover, entrusting your trade receivables to a reputable third party can enhance your collection rate.

  • Facilitate financing

    Credit insurance ensures optimized cash flow, enabling you to address one-time requirements with ease. It serves as a symbol of confidence, reassuring your financial partners and enhancing your ability to secure future financing.

  • Foster your company's growth

    Trade credit insurance aids in evaluating risks and determining which customers and partners are suitable for collaboration.

  • Cahflow Relief

    One out of every four companies faces closure due to customer non-payment. Safeguarding your business from unpaid invoices is vital for preserving cash flow and fostering turnover growth worry-free. Business credit insurance stands as the sole tool defending the economy from bankruptcy chains and the resultant job losses.

Contact our Credit Management Experts To learn more:

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Innovative solutions for better risk management

Credit management platform

Our secure online platform means it’s easy to manage your policy from A to Z. With CofaNet Essentials, you:


• Access information about your business partners

• Manage your client portfolio

• Manage your guarantee requests

• Report your unpaid debts

• Keep track of your claims


CofaNet also performs debtor risk evaluations and offers export features with the potential for more in-depth research.


And with the CofaMove mobile app, you can access CofaNet Essentials wherever you are and whenever you want.

Coface API portal

Discover a game-changing asset for more efficient credit management.
Coface API portal opens doors to seamless integration of Coface's powerful API solutions into your existing applications. 

  • Elevate risk management, enhance credit decisions, and fortify financial strategies effortlessly. 

  • Maximize efficiency, minimize risk: Coface API Portal is your strategic ally for a robust, data-driven approach to credit management. 

  • Revolutionize your processes today for a more secure and prosperous financial future.


> Visit Coface API Portal

Coface Dashboard

Coface Dashboard is our business intelligence tool that provides you with interactive reports to facilitate:


• Reporting and performance tracking

• Producing analyses ranging from macro trends to individual changes

• Identifying consolidated risks for groups of buyers

• Managing your programme, in particular by supporting your decisions, and customising the features of the tool and the risk transfer parameters

• The credit risk governance in your group

How much does credit insurance cost?

In general , Trade credit insurance premium  is calculated based on your turnover (the net sales figure you pull in as a company). Your past transaction history and the debtors with which you are trading are also taken into account.

When you apply for a quote, a two-part process will follow. First, the insurance company will assess the type of trade you are involved in and your overall business profile to determine a policy rate and terms. Then, the trade credit insurer will analyze your trading partners and their financial strength to determine the credit limit coverage that will be available to you.

For  example ; if  a company has a t/o of over  HKD 80 million ,the cost equates to a premium rate that varies on average between 0.1 and 1% of turnover.  This figure is based on the volume of insurable business, the profile of your company – in particular its area of activity and history of claims – and your requirements (the type of coverage, specific options, etc.).

Grow your business with a risk management expert


200countries covered

685billion € exposure

AM Best logoAStable outlook

Moody's logoA1Stable outlook

AA-Stable outlook

What does failure really cost you?



The extra turnover needed to make up for loss

The simulation above shows the additional turnover that your company must achieve to compensate for the loss due to a non-payment.

Get a free analysis of your client portfolio


Mark Harsent, UK Risk Manager, Denmaur Independent Papers Ltd

Having used credit insurance for many years, I’d recommend Coface because their response times on limits are exceptionally good compared with other providers, their underwriters know what they are doing and they are always happy to discuss any issues.


Our regular interactions with the teams at Coface help us analyse, evaluate and prevent our risks.

Frequently asked questions

Contact our Credit Management Experts To learn more:

Call me


Coface Group, through its subsidiaries/affiliates or insurance partners, offers a comprehensive range of trade credit insurance, business information and debt collection services in approximately 100 countries. 

In China, trade credit insurance and all related services are provided by Coface's insurance partners i.e. insurance companies duly licensed and regulated by the National Financial Regulatory Administration (NFRA), namely, China Taiping Property Insurance Co. Ltd and China Ping An Property Insurance Co. Ltd.