Credit insurance claims continue to soar
Trade credit insurance claims are continuing to rise, with insurer Atradius and brokers saying the economic downturn is biting hard.
Atradius Australia and NZ MD David Huey told insuranceNEWS.com.au the company has experienced a large rise in claims activity over the past six months.
Brokers National Credit Insurance (NCI) say claims doubled in the first three months of the year.
Marketing Manager Terry Duffy says the broker is handling claims from “a wide range of industries but especially construction, electrical, paper, printing, automotive and advertising industries”.
“Overall numbers of claims with insurers are double than this time last year,” he said. Claims handled by NCI were 67% higher to the end of March compared to an historical five-year average.
“The last quarter of 2008 saw our sharpest increase in claims received and it has levelled off through the first quarter of 2009,” he said. “The expectation is that we will continue to see these levels of claims until at least the third quarter.”
OAMPS Insurance Brokers National Manager Credit John Natsis says rates and claims “are beginning to increase off a relatively low base”, particularly within construction and mining due to the effect of economic downturn.
“Insurers are becoming more cautious about taking on risk and are insisting on more financial information, both from the client and their customers,” he said.
Atradius Australia and NZ MD David Huey told insuranceNEWS.com.au the company has experienced a large rise in claims activity over the past six months.
Brokers National Credit Insurance (NCI) say claims doubled in the first three months of the year.
Marketing Manager Terry Duffy says the broker is handling claims from “a wide range of industries but especially construction, electrical, paper, printing, automotive and advertising industries”.
“Overall numbers of claims with insurers are double than this time last year,” he said. Claims handled by NCI were 67% higher to the end of March compared to an historical five-year average.
“The last quarter of 2008 saw our sharpest increase in claims received and it has levelled off through the first quarter of 2009,” he said. “The expectation is that we will continue to see these levels of claims until at least the third quarter.”
OAMPS Insurance Brokers National Manager Credit John Natsis says rates and claims “are beginning to increase off a relatively low base”, particularly within construction and mining due to the effect of economic downturn.
“Insurers are becoming more cautious about taking on risk and are insisting on more financial information, both from the client and their customers,” he said.