Is Credit Insurance expensive, or a cost effective tool?

This question was posed on a business forum recently. Here's our response;

Credit Insurance isn’t expensive if it saves a business from failure due to bad debt.

We spoke to a company recently who we had given a quote for cover to last year, but they decided not to proceed.

Construction Trade Sector News - UK declines for third month in a row

The UK construction sector declined for the third month in a row in March, according to official data, suggesting the sector will have weighed on economic growth in the first quarter.

The Markit/CIPS Construction Purchasing Managers' Index (PMI) inched up to 47.2 from 46.8 in February, holding below the 50 level that separates expansion from contraction and slightly undershooting forecasts for 47.5.

Markit, which compiles the survey, said unusually cold weather combined with sluggish underlying demand kept a lid on construction work in March.

Credit Insurance underwriter Atradius responds to the Budget

Marc Henstridge, Director of Risk for Atradius UK & Ireland, which underwrites tens of billions of pounds of in support of UK trade each year, said:

“Growth forecasts have been cut by 50%. This is a blow to a UK business community badly in need of a confidence boost in order to invest and expand their offerings.

Credit Insurance Sector Update - ICT

Credit Insurer Atradius have released an update on the UK ICT sector.

2012 showed modest recovery in the sector but the outlook is described as gloomy. Please phone or email us for a copy of the full report.