hello@prizmsolutions.co.uk
01827 313 931
What is Credit Insurance?
Credit insurance is a type of insurance policy that provides cover for businesses should any customers who owe money for products or services not pay their debts, or pay them later than the payment terms dictate. It gives businesses the confidence to extend credit to new customers and improves access to funding, often at more competitive rates.
Does a credit insurance policy just pay the debt or does it do anything else?
As part of the policy, the trade credit insurer will monitor your customers, assigning each of them a credit limit, which is the maximum amount the insurer will pay if that customer defaults.
Can credit limits change?
Yes. Throughout the lifetime of the policy, the trade credit insurer will inform you of any changes that might impact the financial health of the customers and their ability to pay for goods or services delivered. They will then establish a plan with the policyholder to mitigate the risk.
The terms of cover may change over the lifetime of the policy to reflect the financial strength of any customer, and it is the responsibility of the insurer to proactively monitor your customers, to ensure their continued creditworthiness.
So how much does Credit Insurance cost?
Credit Insurance is linked to your turnover, terms of credit, profile of customers and the sector in which you operate.
It tends to be in the region of between 0.1% and just over 1.0% of your turnover.
How do I buy Credit Insurance?
You buy through us – simply ring up and ask for a quote.
We work with specialist Credit Insurance companies and brokers who have access to the entire market to get you the best cover at the best price.
Do you have any more information about credit insurance?
Click here to download this guide to Trade Credit Insurance from the British Insurance Broker Association (BIBA).
Have a question?
Our team is
here to help!
One of our team will talk to you about your current circumstances in order to advise the best way forward. If you’d prefer to visit us at our offices in Tamworth, feel free to pop in! Just check our office hours on Google to make sure we’re open.
No. This type of credit insurance policy is often purchased by SME businesses to protect cashflow and get valuable management information about prospective new customers.
Yes there are more benefits. Banks will often lend more money to businesses who hold Credit Insurance with a reputable provider. Credit insurance helps businesses to safely sell more to existing customers or expand to new customers which may otherwise have been deemed too risky, knowing they are insured should the customer not pay their debts. It also helps protect businesses against the risks of exporting overseas, reducing uncertainty for firms.
No. this type of insurance can cover transactions from across the world, subject to the insurer concerned having offices and access to data in the regions in which you want to trade.
In most cases there is no excess.
In most cases you will get payment within 30 days.
If you need to make a claim on your insurance, you need to call your insurance broker or insurance company straight away.
If you have a policy with Prizm Solutions, then you simply call us.
As your broker, we are here to help – and we will provide you with all the contact numbers you need to deal with a claim when you take out the policy.
Take a look at our real clients with honest reviews
View all reviews
Independent and friendly insurance brokers based in Tamworth and covering the UK
Let us help you find the right cover for you.
Prizm Solutions Limited
First Floor
The White House
16/20 Church Street
Tamworth
B79 7DH
Prizm Solutions Ltd are authorised and regulated by the Financial Conduct Authority.
Prizm Solutions Ltd are registered in England and Wales, Registration Number: 05936749, Registered Address: First Floor, The White House, 16/20 Church Street, Tamworth, B79 7DH.
TERMS & CONDITIONS | PRIVACY POLICY | © PRIZM SOLUTIONS LTD 2025. ALL RIGHTS RESERVED | DESIGN BY SWD
Connect with us
Fill in our enquiry form or pick up the phone and speak to one of our friendly, helpful team.
We’re here to assist you to put plans in place, to help provide you with some protection from those unexpected curveballs that can be a normal aspect of everyday life!
So, let us help you find the right cover for you.
01827 313 931
REQUEST A CALLBACK
hello@prizmsolutions.co.uk
