The Scenario
We were asked by this business to secure limits on some challenging debtors for this out of home advertising agency.
The Challenge
- Tough Limits
- Concentration Issues
- Long Payment Terms
Our Response
- Full Market Review with a detailed proposal
- Introductions to key debtors to assist with up to date MI
The Result
Great risk appetite
Apart from one debtor who is still overdue filing their YE accounts at companies house, Allianz delivered 100% risk appetite on the clients key risks. They also included their specific Media Buyer wording to cover the many intricacies involved in the advertising sector.
New to Credit Insurance
Although the MD had experience of Credit Insurance in a previous role, they had not managed a policy before and we spent the required time making sure they were 100% comfortable prior to proceeding. We have also scheduled in time for a follow up call early in the policy period and to help them with some targeted prospecting.
Cost vs Cover – Which is more important?
Thankfully, in this scenario, we managed to obtain a fantastic level of cover whilst still keeping the costs manageable. With single figure margins, its imperative that even smaller clients’ risks are insured as the hole this leaves with non payment can still be large.
Conclusion
Our new client can continue to scale their media agency with more certainty. By ‘backing off’ the risk to a large global insurer and proactive independent credit insurance broker, they are able to run their day to day operations, with minimal intrusion, knowing that they are in safe hands.
