How can I maximise my claim pay out?

1. Always trade within your Maximum Extension Period (MEP)

Avoid continuing to supply a buyer that is overdue beyond MEP as this will jeopardise your claim.  Please refer to our Q&A titled What does MCT & MEP mean?

2. Don’t trade above your Credit Limit Decision

Your trade credit insurance policy covers you up to your approved credit limit.  Any deliveries above that will not be covered. For example if you have a £100K credit limit approved and trade at £120K, the additional £20K will not be covered and will be excluded from the claim calculation.

3. Do not offer payment terms to customers beyond the Maximum Credit Terms allowed in your policy

When you set up your trade credit insurance policy, we agree to Maximum Credit Terms. Payment terms agreed with your buyer must be within your Maximum Credit Terms. Exceeding these terms will jeopardise your claim and will result in Atradius having no liability.

4. Ensure you take action to minimise any loss and try to recover the debt as soon as you realise there is a payment problem

You need to demonstrate action taken to minimise your loss.  Evidence of this can include:

• Issuing a demand letter
• Appointing Atradius Collections to chase the debt on your behalf -  we can offer contribution to costs of collection
• Taking legal action

Pursue guarantees or any other security interest available.

5. Ensure you notify Atradius of any overdue or adverse information as soon as possible. 

(Usually your policy wording will state the deadline of when you have to report.  Typically this is 30 days after the maximum extension period.

The sooner Atradius is informed of an overdue amount or adverse information, we can start protecting you and your business.

Notify Atradius if:

• Your buyer becomes insolvent
• Your buyer has Cash flow issues
• Your buyer has offered to pay in instalments.  A repayment plan can be considered, however the repayment proposal must be approved by Atradius

You are aware of any reason that may prevent the buyer from paying you

Always know your buyer - Where possible get business card or email giving full contact details.

Read the conditions on your credit limits - Failure to comply might result in a restriction or decline of your claim.

6. Understand exactly what is required to be able to justify any “discretionary limit” Atradius grants you

Your policy spells out the justification criteria for you to establish a limit under your Discretionary Limit.  Ensure you fully understand that criteria.

7. Don’t jeopardise your cover by trading on cash terms with a buyer without our approval.

Your policy does not cover you for cash on delivery business, if approached by a buyer for cash trading contact Atradius immediately. Remember, any payments made in cash are allocated to the oldest outstanding receivable which may reduce any potential claim payment.