What is credit insurance?

Credit insurance is an insurance product intended to protect businesses from losses due to non-receipt of a payment from customers in the local market or abroad, as a result of economic difficulties or political reasons outside of Israel.

In a constantly changing business enviorment, the most common payment method between companies is the open account method in which the supplier grants the customer credit days for payment after the goods or services have been supplied. However, there is no way to ensure that on the due date full payment will be received as agreed. Credit insurance assists in dealing with this uncertainty and ensures that the payment will be received, even if the customer reaches a state of insolvency, goes into cash flows difficulties or experiences a political event which does not enable him to transfer the money from his country.

In addition to the risk hedging benefits, credit insurance is also a service for managing credit risks. Our professional analysts will continuously examine and monitor your customer portfolio using in-depth information regarding the amount of credit recommended for every customer. This service assists in taking significant decisions in the sales process, expanding operations and penetrating new markets

Credit insurance with ICIC has many advantages: