The South African credit insurance environment is undergoing significant positive changes with the introduction of new insurers and healthy competition, in the view of Kathleen Naidoo, head of credit at Eikos Risk Applications. Credit Insurance Solutions (part of the RMB stable), as well as Euler Hermes (the largest credit insurer in the world), are the two in question, says Naidoo. “In order to make credit insurance work for your company, it’s vital to know exactly what to look for in a credit insurance provider. It’s impossible to decide on a provider based solely on price. You need to look at which credit insurer will best complement a client’s internal credit process as well as the insurer’s ability to provide the debtor limits required,” says Eikos director Jason Freeman. Credit insurance is a credit risk management tool that covers a company’s debtor’s book or accounts receivables against non-payment for national and international business-to-business trade. “There are many benefits of taking out credit insurance,” says Freeman, “among these the fact that it provides access to expert assessment of payments relating to domestic and international debtors.”
