Credit insurer Atradius has hit back at reports that credit insurers are axing cover in favour of engaging in individual risk analysis, saying the “vast majority” of customers remain unaffected.

Last week insuranceNEWS.com.au cited UK media reports that claimed credit loss ratios had climbed to more than 70%, a figure dismissed as inaccurate by Atradius. The insurer was unable to supply figures specific to Australia.

An Atradius spokesman told insuranceNEWS.com.au while the firm anticipates premium increases to reflect a “surge in insolvencies”, Australia does not face the problems of the US and UK where reports outline difficulty in sourcing credit insurance.

But she says some Australia industry sectors are in decline and more insolvencies are likely. “We are placing more emphasis on these sectors in our reviews,” she said. “Our aim is always to keep trade going for as long as possible, not to prevent it.”

She says Atradius analyses worldwide risk to determine “where we deem it unviable to continue cover, and we then withdraw from it”.

“But to give a sense of perspective, it represents a tiny percentage of our overall book.”