Welcome to the December 2022 issue of Credit Insurance News Digest.
Credit Insurance News
Trade credit insurance claims begin to return to 'normal' as short-term business booms. Global Trade Review (GTR) has reported that,
although data published by the Berne Union shows that claims paid by trade credit insurers partly stabilised in the first half of this year, the war in Ukraine is now expected to increase short-term claims.
During its annual general meeting, the Berne Union released a note which advised that: "Reports from some members of increasing payment delays in pre-claims situations may indicate a long-anticipated return to
'normal' [levels of claims] towards the end of this year." However, the wider trade credit insurance picture has been brighter, with short-term business rising 10% year-on-year during the period, fuelled almost entirely by growth
in the provision of private cover. This can be attributed to the higher commodity prices seen since Russia's invasion of Ukraine began, with underwriters also reporting high utilisation and bumping cover limits for existing clients.
To read GTR's article go to https://www.gtreview.com/news/global/claims-begin-to-stabilise-as-short-term-business-booms-trade-credit-data/.
Trade credit insurance claims start to return to pre-pandemic levels but are yet to impact carriers' results.
Aon's Q4 2022 Credit Solutions Market Insights Report reports that, although financial reporting at the end of Q3 2022 showed that trade credit insurers' loss ratios were still lower than their pre-pandemic levels,
they are now starting to trend upwards — though this may not impact carrier results until well into 2023. In the meantime, whilst these more favourable underwriting conditions exist, trade credit insurers have adopted
a pragmatic position on their risk and commercial strategies, attaining high levels of client portfolio retention. In addition, insurers' appetite and capacity have continued to increase to meet client needs in the
post-pandemic trading environment, and Aon anticipates that this trend may continue at a lower rate in the short-term — before plateauing at an all-time high during 2023.
At the same time, the market continues to innovate to provide capacity and solutions related to some of the more complex and larger risk exposures. To read Aon's report go to https://insights.aon.com/aons-credit-solutions-q4-2022-insights/market-overview.
Berne Union H1 2022 data shows overall positive growth for the industry. The Berne Union has reported that its
data in the first half of 2022 shows solid signs of continuing post-pandemic recovery for the trade credit insurance industry. Berne Union members say that the increasing value of trade and strong demand for
the product is resulting in year-on-year growth, with short term business seeing higher new commitments and lower claims. In addition, short term limits are now 13% higher than pre-pandemic levels, driven by a
strong increase in the value of underlying trade on the back of elevated prices across commodities. However, new business remains concentrated in upper and middle-income countries in Europe, Latin America and
North America, with emerging markets still not picking up as much since the pandemic.
To read the Berne Union's news release go to https://www.berneunion.org/Articles/Details/725/H1-2022-Data-released-from-BU-AGM-shows-overall-positive-growth-for-the-industry.
Allianz Trade and Atradius cut their exposure to Iceland.
The Grocer has reported that Atradius and Allianz Trade have recently cut their exposure to UK supermarket Iceland (which, The Grocer reports, has debts of about £750 million). The supermarket's founder, Malcolm Walker, commented:
"Only a very small proportion of our suppliers have credit insurance. Credit insurers regularly review cover upwards and downwards for all retailers in the UK; therefore this is 'business as usual' for us. We have a collaborative
and effective working relationship with all of our suppliers, and they have reported no issues to us to date." The Grocer notes that in August, Iceland's debt rating was downgraded by Moody's as accounts showed the supermarket fell to a
pre-tax loss of £4.1 million in the 12 months to 25 March from a profit of £73.1 million the previous year.
To read The Grocer's article go to https://www.thegrocer.co.uk/iceland/iceland-founder-malcolm-walker-rebuffs-takeover-suitors/673751.article.
Coface suggests that a recession seems inevitable in all major European economies this winter.
Coface has published an analysis
of its Q3 2022 Country and Sector Risk Barometer which examines the UK. Christophe Souquet, Underwriting Director for Coface UK and Ireland, describes how
business insolvencies continue to rise sharply in the UK (+18% vs September 2021, +84% vs September 2020 and +11% vs September 2019, source ONS).
All industries are contributing to the rise in insolvencies, though construction, retail and personal services (especially hospitality) are probably the most sensitive ones.
Coface is also seeing an increasing number of companies, not only SMEs, struggling at the moment.
He notes that Coface has significantly downgraded its growth forecasts for 2023 in all regions worldwide, but Europe is undoubtedly the one whose outlook has darkened the most.
A recession seems inevitable in all major European economies this winter, and most will even record negative growth for the year as a whole.
To read Coface's article go to https://cofaceitfirst.co.uk/uk-risk-underwriting-update-country-and-sector-analysis/.
The trade credit insurance market's quest for a digital value proposition.
Global Trade Review (GTR) has published an article which reports that although trade credit insurers are developing new digital tools and capabilities to keep pace with the rapidly digitising world around them,
it remains to be seen whether this will result in a commoditised market or simply a slightly more streamlined way of underwriting risks for individual providers.
The article notes that most activity so far seems to have concentrated on creating digital platforms and marketplaces for trade credit insurance that allow financiers and corporates to request insurance with multiple underwriters
through an online process. However, although these platforms solve an important pain point in the market, they only represent efficiency gains for some players.
For example, while the launch of the single risk credit insurance data standard in 2021 was a major step forward, it only covers single credit risk insurance.
To read GTR's article go to https://www.gtreview.com/supplements/gtr-insurance-2022/the-insurance-markets-quest-for-a-digital-value-proposition/.
Aon warns of rising insolvencies.
Aon's Q4 2022 Credit Solutions Market Insights Report reports that during the COVID-19 pandemic there was a strong decline in insolvencies (global insolvencies fell by a cumulative 29% in 2020-2021), mainly due to changes to
insolvency legislation and government economic and fiscal support for businesses. However, by Q3 2022, support programs had been phased out in most countries and the number of insolvencies had begun to increase. For the countries
with the highest increase in insolvency rates (Austria, UK, France, Australia, Canada, and Belgium), fiscal support was phased out in the first half of 2022. In contrast, insolvencies have substantially decreased in New Zealand
and Hong Kong, where fiscal support is set to extend until the end of 2022. A broad-based significant acceleration in business insolvencies is now to be expected globally, with current estimates anticipating an increase of 10% in
2022 and 19% in 2023. Trade credit insurers already report increased claims volumes,
although severity has yet to materialise.
To read Aon's report go to https://insights.aon.com/aons-credit-solutions-q4-2022-insights/trade-under-turbulence.
Xenia marks its tenth acquisition with Linda Scott Associates. Insurance Business America has reported that Xenia Broking Group
Limited is completing the acquisition of Linda Scott Associates (LSA) Limited's trade credit insurance business.
LSA is a Glasgow-based, independent credit insurance broker with clients across the UK. Its specialist brokers offer a service to businesses of all sizes across a wide range of trade sectors, including food production,
distribution, construction, and manufacturing.
Xenia is expected to complete the deal on 22 December and will finalise the integration of the business within its regulated entity Xenia Broking Limited.
The deal marks Xenia's tenth acquisition since its formation in 2019.
To read Insurance Business' article go to https://www.insurancebusinessmag.com/uk/news/ma/xenia-swoops-for-linda-scott-associates-429560.aspx.
Atradius warns that an unprecedented mix of challenges is bringing the global economy to the brink of recession.
As stagflation kicks in,
Atradius' latest Economic Outlook expects global GDP growth to decrease to 1.2% in 2023, down from 2.9% in 2022 and anticipates that several key advanced markets — the US, the UK and the eurozone — will fall into recession in 2023.
In the Eurozone, GDP growth is predicted to contract by 0.1% in 2023 after a 3.1% increase in 2022. The UK is expected to see a 0.7% economic contraction in 2023, followed by a modest 1.8% rebound in 2024.
In the US, after a 1.8% growth rate in 2022, Atradius expects a 0.4% contraction in 2023. However, Atradius also warns that further energy price shocks, next to a vicious wage-price spiral in advanced
economies, would lead to a deeper global recession. In such a scenario, Atradius expects global growth to halve in 2023 (to 0.6%) and warns that this
would shave 2.3% off GDP in the US and 1.5% in the eurozone in 2023.
To read Atradius Economic Outlook go to https://group.atradius.com/publications/economic-research/economic-outlook-december-2022.html.
Ensuring appropriate treatment of credit insurance as the Basel III framework is implemented around the world. The International Credit Insurance & Surety Association (ICISA) has stressed the importance of
ensuring that credit insurance
is accurately and appropriately reflected in the EU's Capital Requirements Directive and Capital Requirements Regulation rules framework — currently under periodic review.
The ICISA advises that it expects to see credit insurance recognised on the basis
of its key characteristics, notably that it is an insurance product offered by "robustly capitalised, highly secure credit insurers which are subject to stringent, risk-based capital regimes throughout the world,
including Solvency II within the EU." ICISA notes that the use of credit insurance in this way has grown substantially in recent years in Europe, with International Trade and Forfaiting Association
estimating that over EUR 600 billion of trade-related lending by banks is supported in the EU by trade credit insurance.
To read ICISA's news release go to https://icisa.org/news/key-decisions-loom-for-european-banking-rules-reform/.
Boohoo extends its payment terms. Drapers has reported that following Allianz Trade's action earlier this month to
reduce its cover for Boohoo Group's suppliers, Boohoo has changed its payment terms for suppliers from 30 days to 60 days (effective from 1 December). During November, manufacturers will be paid 30 days from
the invoice date, up from 14 days currently. A Boohoo spokeswoman said: "The Boohoo Group are proud to have been offering our UK manufacturers industry-leading 14-day payment terms since 2019. As of 1 December,
we are adjusting our payment terms to closer reflect those of other retailers,
albeit at 30 and 60 days, our terms remain swifter than most."
To read Drapers' article go to https://www.drapersonline.com/news/boohoo-doubles-payment-terms?tkn=1.
Atradius examines the potential impact of Black Friday in six major retail markets.
Atradius advises that retail sales are predicted to contract year-on-year in five of six important markets (US, UK, Germany, the Netherlands and Spain) this year, with only France seeing a slight increase. With the exception of Spain, sales are expected to deteriorate again in each of those markets in 2023. In the UK, the cost of living crisis means the upcoming Black Friday and Christmas season could be "make or break" for many retailers,
according to Owen Basset, Manager of Risk Services for Atradius UK. He warns the downturn will affect every area of the sector, while supply chain and logistical issues are adding to the sense of adversity.
Consequently, there has already been a sharp upswing in UK insolvencies and in 2023, "a double-digit year-on-year increase cannot be ruled out." To read Atradius' news release go to https://group.atradius.com/press/atradius-news/black-friday-2022.html.
The key risks facing the credit and political risk market going into 2023.
Global Trade Review (GTR) has published an article which notes that despite a challenging twelve months for the credit and political risk insurance sector, there is cause for optimism.
For example, a survey carried out by WTW shows that capacity has remained constant or increased thanks to an influx of new entrants and an increase in existing line sizes.
"Ever since 2008, the political risk market has expanded in size, capacity and breadth," commented James Wilson, Head of Credit and Political Risk (UK and continental Europe) at The Hartford.
He added that demand for political risk cover has increased in recent months but also noted that because
this risk is an optional purchase, "what we get is a lot of demand enquiry-wise, but that doesn't necessarily translate into lots of buyers."
To read GTR's article go to https://www.gtreview.com/supplements/gtr-insurance-2022/a-crisis-compounded-insurers-buyers-face-new-nexus-of-political-risks/.
New trends in country risks: AU G-Grade Q4 2022. AU Group has released its latest AU 'G-Grade' for Q4 2022.
The AU 'G-Grade' is based on the individual assessment of a country by each of the four largest credit insurers (Atradius, Coface, Credendo and Allianz Trade) and is calculated according to
the real risk taken by these major insurers collectively. Also, the IMF Statistics Department's seven key indicators give a view of the key trends and the level of risk per country.
This issue's most notable downgrade is for Egypt (downgraded from 6.5 to 7.5). Downgraded by two insurers, the G-Grade advises that Egypt's political and social climate remains very fragile, and the Ukrainian conflict
is causing a surge in cereal prices that is difficult for the Egyptian economy to absorb.
To see the latest G-Grade go to https://www.au-group.com/etudes/ggrade-q4-2022/.
Why credit insurers are the unsung heroes of the sector: a Q&A with Xenia's Account Manager David Price. Xenia Broking Group
has published a Q&A in which Xenia's Account Manager,
David Price, discusses the vital function of credit insurance, what he enjoys about working for Xenia and his "famous hungover dancing".
David recalls that when he first started his career, there was still a typing pool, letters were still being dictated, and faxes and the telex machine were still viable options.
For a young person who may want to get into insurance, David advises that entry-level trade credit insurance positions are well-paid compared to other industries, "and once people have gained experience there is always a demand for good staff,
so people who work hard can do well."
To read the Q&A go to https://xeniabroking.com/news-and-insights/why-credit-insurers-are-the-unsung-heroes-of-the-sector-a-q-a-with-account-manager-david-price.
How economic turmoil is impacting the trade credit insurance market.
The Channel Partnership has published an article which advises that inflationary pressures, increasing late payments and ongoing supply chain issues have led trade credit insurers to implement more rigid controls
as they become more cautious of the most impacted industries. As a result, the Channel Partnership expect an increase in premium rates for trade credit insurance policies next year, especially where policyholders have
had recent claims and losses. In the meantime, however, trade credit insurers remain keen to take on new business and retain existing clients.
For example, in a report published earlier this year, Atradius reported high customer retention rates of 92.9%.
To read The Channel Partnership's news release go to https://www.the-channel-partnership.co.uk/whats-new/will-companies-survive-the-economic-turmoil.
Atradius Payment Practices Barometer finds that businesses in Western Europe are "greatly enhancing" their management of credit risk.
Atradius has announced that it has published its 2022 edition of the Atradius Payment Practices Barometer survey findings for Western Europe.
Topics covered include: the impact of late or non-payment on the industries polled; the average time it takes to turn overdue B2B invoices into cash; how businesses manage payment default risks
related to selling on credit to B2B customers; expected challenges to profitability during the coming months. Atradius advises that this survey is a snapshot taken in a very volatile economic environment,
and notes that companies in the various industries polled in several markets in Western Europe addressed this worry by significantly enhancing their management of credit risk.
To read Atradius' news release go to https://group.atradius.com/publications/payment-practices-barometer/b2b-payment-practices-trends-western-europe-2022.html.
Berne Union's November BUlletin: Digitalisation as a business leadership imperative. The Berne Union has published the latest issue of its regular e-magazine. This issue focuses on the successes and challenges of technology
transformation across the export credit insurance industry, with additional examination of fraud, addressing climate impact, and the complimentary role of factoring and credit insurance. Articles include:
- Opinion: Takeaways on the impact of digitalisation on trade finance. Howard Spira, Chief Information Officer, US EXIM.
- What can insurers do in the fight against cybercrime? Dmitry Pikalov, Senior Specialist, IA Group.
- Opinion: Factoring as a complementary force for growth. Cagatay Baydar, Vice Chairman, FCI.
- Credit insurance claims for commodities financing: Investigation red flags. Baldev Bhinder, Managing Director, Blackstone & Gold, and Shane Sim, Associate Director, Blackstone & Gold.
Congratulations
SCHUMANN received the Best Partner Award at the 19th National Congress of the BvCM (Bundesverband Credit Management) in Düsseldorf. With this award, the association advised that it was honouring SCHUMANN's many years of support, including training specialists to become CCMs (Certified Credit Managers).
SCHUMANN received the Best Partner Award at the 19th National Congress of the BvCM (Bundesverband Credit Management) in Düsseldorf. With this award, the association advised that it was honouring SCHUMANN's many years of support, including training specialists to become CCMs (Certified Credit Managers).
This month, the following companies received ITFA Insurance Awards at the ceremony in Paris.
- Best Insurer: Non-Payment Insurance Insurer - AXAXL Political Risk, Credit and Bond team
- Best Insurer: Trade Credit Insurance Insurer - Allianz Trade
- Best Insurer: Surety Insurer - Allianz Trade
- Best Broker for Credit Insurance - BPL Global
Allianz Trade Australia took part in Movember and raised a total of AU$7,176 — decimating last year's effort of AU$3,735 and achieving well over their goal of AU$4,000. Mo Sista’s also joined in the Movember fun by running/walking
a total of 288 kilometres. To see some of the team's new facial hair take a look at our photo gallery.
Allianz Trade in UK & Ireland hosted the Annual Trade Credit & Political Risk Insurance Industry Dinner in November and raised an
incredible £29,000 for Mind, a charity which provides advice and support to empower anyone experiencing a mental health problem. To see some photos from the event take a look at our photo gallery.
New Appointments
Allianz Trade has appointed Domenico Lup as CEO, ASEAN. Before this appointment, Domenico was Commercial Director for Allianz Trade in the Middle East, a role he had held since 2018.
He joined Allianz Trade (formerly known as Euler Hermes) in 2013 as Marketing and Customer Services Director for Allianz Trade in Italy.
The Berne Union has announced that Maëlia Dufour will become its next President, taking over from Michal Ron.
Maëlia is currently Director of International Relations, Business Development, Rating, Environment and Climate at Bpifrance and, prior to her current position,
held various senior appointments at Coface.
Benjamin Mugisha becomes the Berne Union's new Vice President. Benjamin is also Chief Underwriting Officer at African Trade Insurance Agency.
Benjamin Mugisha becomes the Berne Union's new Vice President. Benjamin is also Chief Underwriting Officer at African Trade Insurance Agency.
WTW has announced the appointment of Evan Freely as its Global Head of Financial Solutions.
Evan has more than thirty years of experience in global credit and political risk insurance. Prior to joining WTW, he served as President and Director, Americas, at BPL Global. Evan is based in New York.
Company Watch has announced that, following the departure of Jo Kettner to pursue new opportunities, Craig Evans has become its new CEO. Craig joined Company Watch six months ago as Head of New Business Sales.
Prior to that, Craig was UK Country Director with Graydon UK.
Coface has announced the appointment of Craig Giles as its new Head of Coface Global Solutions in the UK and Ireland. Craig joined Coface in 2021 as CGS Retention Manager following fifteen years at Atradius.
Allianz Trade has appointed Curtis Evans as XoL Underwriter. Curtis joins Allianz Trade from Atradius, where he was Sales Manager - Global. Curtis is based in London.
The Bond & Credit Co. (Tokio Marine Group) has appointed Daniel Ryan as its Head of Commercial Department. Daniel joins from Allianz Trade in Asia Pacific, where he was Head Of Account Management, Oceania. Daniel is based in Melbourne, Australia.
Aon has appointed Jonathan Grant as
Client Director. Jonathan rejoins Aon from T L Dallas & Co Limited, where he was an
Account Executive. Before that, Jonathan worked for Aon for nearly nine years.
Prasidium Credit Insurance has appointed Lee Graham as Senior Account Executive. Lee joins from
Trade Credit Risk Pty Ltd, where he was a Commercial Insurance Broker. Prior to that, Lee had been with Euler Hermes UK for more than thirteen years. Lee is based in Melbourne, Australia.
Allianz Trade has promoted Florian Aferli as
Global Head of Digital Performance & Activation, based in Paris. Florien was formerly
Global Head of Marketing Automation & Analytics at Allianz Trade.
Expert Comments: Reviewing 2022 and looking forward to 2023
Now that we are nearly at the end of 2022, Credit Insurance News asked some of the experts from our community of advertisers for their thoughts on this tumultuous year (yet again) and their hopes for 2023.
Here are their comments:
Here are their comments:
"A Healthy & Happy Festival Period to All!
Just when it seemed that Covid had receded in the UK we are confronted with a cost-of-living crisis that we haven’t seen for some years. While we prepare for that as a credit underwriter and expect the number of insolvencies to rise further in 2023, from a relatively elevated position in 2022 already, our thoughts at this time are predominantly with friends and neighbours who may struggle to cope.
We wish everyone a happy and healthy Xmas and New Year, and hope our combined ongoing support to the UK economy will help mitigate those negative pressures in 2023."
Ray, Jane & all the team at TMHCC."
Just when it seemed that Covid had receded in the UK we are confronted with a cost-of-living crisis that we haven’t seen for some years. While we prepare for that as a credit underwriter and expect the number of insolvencies to rise further in 2023, from a relatively elevated position in 2022 already, our thoughts at this time are predominantly with friends and neighbours who may struggle to cope.
We wish everyone a happy and healthy Xmas and New Year, and hope our combined ongoing support to the UK economy will help mitigate those negative pressures in 2023."
Ray, Jane & all the team at TMHCC."
"Last year, 2022 was wished to be a rebound year after two dreadful years of the Global Pandemic. Inflation upon commodities following the exit of lockdowns was anticipated, and the general opinion was that it could be managed smoothly to
drive economies back to normal.
But a very "unexpected" event has jeopardized the World trade recovery. War in Europe with systemic effects: supply chain disruptions, energy supply shortages, inflation, geopolitical tensions. Experts are betting on the Ukrainian conflict duration. Bearing in mind, the situation we all know that 2023 will be tough for populations across the Globe. Inflation and recession are planned, and political upheavals are feared. Gloomy 2023!"
Marc MEYER, Tinubu’s Senior Vice President Subject Matter Expert Insurance.
But a very "unexpected" event has jeopardized the World trade recovery. War in Europe with systemic effects: supply chain disruptions, energy supply shortages, inflation, geopolitical tensions. Experts are betting on the Ukrainian conflict duration. Bearing in mind, the situation we all know that 2023 will be tough for populations across the Globe. Inflation and recession are planned, and political upheavals are feared. Gloomy 2023!"
Marc MEYER, Tinubu’s Senior Vice President Subject Matter Expert Insurance.
"Twenty twenty-two was a roller-coaster ride. The year started where we left 2021 with a consistent flow of enquiries, that was until Russia invaded Ukraine which had a real impact on many sectors.
Commodity related enquiries increased significantly, especially anything energy related, mostly due to exposure concerns which is based on the rise in energy costs prevalent across the globe.
Outlook for 2023 we are expecting a more turbulent time as we are forecasting seeing more insolvencies and defaults as the high inflationary pressures start to have a real impact on business liquidity.
At Markel, we look forward to continued growth in our trade credit team and other areas of the business in 2023."
Simon Philpin, Head of Trade Credit at Markel International.
Outlook for 2023 we are expecting a more turbulent time as we are forecasting seeing more insolvencies and defaults as the high inflationary pressures start to have a real impact on business liquidity.
At Markel, we look forward to continued growth in our trade credit team and other areas of the business in 2023."
Simon Philpin, Head of Trade Credit at Markel International.
"Many of us hoped for a fresh start this year, but 2022 was another tumultuous year, which increased the complexity and uncertainty in everyone's lives.
In the past 12 months we’ve seen an invasion of Ukraine by Russia, supply chain disruptions, sky-high inflation, an energy crisis and tensions between US and China. Despite the poor economic conditions, as insurers, we continue working closely with companies around the world to mitigate risk and support development in uncertain times.
While the previous events might seem close to catastrophic, we humans are a resourceful bunch. Life goes on and we make the best of it. Our industry proves that every day."
Richard Wulff, Executive Director at ICISA - International Credit Insurance & Surety Association.
In the past 12 months we’ve seen an invasion of Ukraine by Russia, supply chain disruptions, sky-high inflation, an energy crisis and tensions between US and China. Despite the poor economic conditions, as insurers, we continue working closely with companies around the world to mitigate risk and support development in uncertain times.
While the previous events might seem close to catastrophic, we humans are a resourceful bunch. Life goes on and we make the best of it. Our industry proves that every day."
Richard Wulff, Executive Director at ICISA - International Credit Insurance & Surety Association.
"Gross Written Premium in the Canadian market grew 58% over the ten years
ending December 2021 and by 11% during the Covid years 2020-2021. While still a
relatively immature market compared to Europe, there are nine insurers actively
underwriting Canadian companies and an increasing number of brokers engaging in the
credit insurance market. Continued strong growth is expected through 2022 and into
2023 as economies around the world flirt with recession.
Despite global headwinds
Canada continues to have one of the strongest economies in the G7 with five
consecutive quarters of GDP growth and moderating inflation."
Mark Attley, President of the Receivables Insurance Association of Canada.
"Strong growth has continued in the 2022 Australian and New Zealand economies. This has led to terrific TCI
growth, retention, and new business development in our markets.
Whilst insolvencies have increased during the year, credit insurance claims have remained relatively low, which has been excellent for both insureds and insurers.
The 2023 outlook remains positive, although the impact of rising interest rates and ongoing inflation concerns will have an impact on many industry sectors and lead to more collection actions and insolvencies. From Down Under we wish all our partner's and colleagues around the globe a very Merry Christmas and prosperous New Year."
Kirk Cheesman, Group Managing Director at National Credit Insurance (Brokers) Pty Ltd.
Whilst insolvencies have increased during the year, credit insurance claims have remained relatively low, which has been excellent for both insureds and insurers.
The 2023 outlook remains positive, although the impact of rising interest rates and ongoing inflation concerns will have an impact on many industry sectors and lead to more collection actions and insolvencies. From Down Under we wish all our partner's and colleagues around the globe a very Merry Christmas and prosperous New Year."
Kirk Cheesman, Group Managing Director at National Credit Insurance (Brokers) Pty Ltd.
"Looking ahead to 2023, I guess we are all looking for those shoots of recovery from the year we are leaving behind. Insolvency numbers will reach record levels this year, as will the number of distressed companies within our database.
However, with the announcement of EU inflation numbers starting to fall this week, there may be a glimmer of hope?
As always, Trade credit will play a vital part of any recovery in the UK. The need for information will be stronger than ever, as lending and insurance, grapple to find ways to manage their portfolios.
As with all situations, there is also opportunity for those that can quantify the risks. We look forward to working closer than ever with our clients in insurance and across the financial services sector."
Craig Evans, CEO of Company Watch.
Craig Evans, CEO of Company Watch.
"Last year I said that the CI industry should prepare for a difficult 2022. Actually capacity and terms
have been good all year, with the 'turn' only becoming evident in the final quarter. But what a year
it’s been.
War in Europe, inflation, interest rates up, lockdowns in China, and three changes of Government here. I can only hope that 2023 provides less of the same and something more boring. We can then spend 2023 dealing with the consequences of the current economic malaise – claims and a hard market.
I hope that that is as bad as it gets."
John Cockshutt, Director of W Denis Credit Risks Ltd
War in Europe, inflation, interest rates up, lockdowns in China, and three changes of Government here. I can only hope that 2023 provides less of the same and something more boring. We can then spend 2023 dealing with the consequences of the current economic malaise – claims and a hard market.
I hope that that is as bad as it gets."
John Cockshutt, Director of W Denis Credit Risks Ltd
"As we come to the end of the year it’s a time to reflect on the last 12 months and also plan ahead for next year. Whilst 2022 has been a year of uncertainty in regard to continued Covid disruption,
inflation, supply chain inconsistencies, geo-political uncertainties and more, the credit environment has remained relatively benign. 2023 is unlikely to be the same. So we must prepare well and support our teams, partners,
Brokers and Clients in whatever comes at us. Happy holidays!"
Gordon Cessford, President & Regional Director of Atradius, North America.
Gordon Cessford, President & Regional Director of Atradius, North America.
"Economic and geopolitical risks are becoming increasingly unpredictable and uncontrollable: Rising energy prices, inflation, the risk of increasing insolvencies
and the war in Ukraine are causing future expectations in various sectors to weaken, and in some cases there is even talk of long-term recession risks for the economy.
The use of highly specialized technology has therefore never been as indispensable as it is in these times. After all, the possibilities offered by digitization can make these risks more visible and manageable."
Lara Bierman, Business Expert Credit & Surety at SCHUMANN.
Lara Bierman, Business Expert Credit & Surety at SCHUMANN.
Career Opportunities
The vacancies below reflect Credit Insurance News Job Board on 14 December 2022. Click here to see Credit Insurance News' current Job Board.
CLIENT EXECUTIVE – RISK MANAGEMENT
Marsh Trade Credit, Manchester
Alternative Locations – Leeds or Birmingham areas
Marsh Trade Credit, Manchester
Alternative Locations – Leeds or Birmingham areas
Marsh Trade Credit’s Risk Management & Major Accounts team in Manchester provides
top class client service to our largest clients outside of London.
We work closely with the wider Marsh business to address the Risk Management needs of some of the top businesses in the UK and globally.
Due to continued growth, we have exciting new opportunities for an experienced Client Executive to join our existing Trade Credit team and contribute to our future success.
What we will rely on you to do:
About Marsh:
Marsh is the world’s leading insurance broker and risk adviser. With over 35,000 colleagues operating in more than 130 countries, Marsh serves commercial and individual clients with data driven risk solutions and advisory services. Marsh is a business of Marsh McLennan (NYSE: MMC), the leading global professional services firm in the areas of risk, strategy and people. With annual revenue approaching US $17 billion and 76,000 colleagues worldwide, MMC helps clients navigate an increasingly dynamic and complex environment through four market-leading businesses: Marsh, Guy Carpenter, Mercer, and Oliver Wyman. Follow Marsh on Twitter @MarshGlobal; LinkedIn; Facebook; and YouTube, or subscribe to BRINK.
Marsh McLennan is committed to embracing a diverse, inclusive and flexible work environment. We aim to attract and retain the best people regardless of their sex/gender, marital or parental status, ethnic origin, nationality, age, background, disability, religion, sexual orientation, gender identity or any other characteristic protected by applicable law.
We are an equal opportunities employer. We are committed to providing reasonable support to any candidate with a disability/health condition to allow them to fully participate in the recruitment process. We welcome candidates to contact us at TAUK@mmc.com to discuss any specific needs.
We work closely with the wider Marsh business to address the Risk Management needs of some of the top businesses in the UK and globally.
Due to continued growth, we have exciting new opportunities for an experienced Client Executive to join our existing Trade Credit team and contribute to our future success.
What we will rely on you to do:
- Seek and build strong client relationships at Executive and operational levels;
- Develop an understanding of clients’ business priorities, risk strategies and credit risk management needs and provide advice accordingly;
- Conduct Account Management Strategies, defining and working to your Account Management Plan;
- Agree renewal/placement strategies and execute in accordance with client instruction;
- Deliver high client retention rate;
- Adopt client book-growth initiatives, networking and seeking new & expansion opportunities.
- Credit Insurance market experience;
- Proven delivery of client retention/growth targets over a number of years;
- Strong business acumen and relationships with insurers;
- Effective negotiation, problem-solving and analytical skills;
- A full valid UK Driving Licence.
- Excellent performance in a B2B Client Relationship role;
- The Drive to deliver exceptional results.
- To become a senior member of an experienced and successful existing team;
- To contribute to and influence the team’s performance and delivery of the highest standards;
- The opportunity to work with and add value to high profile clients across a number of industry sectors;
- The opportunity to develop your knowledge, skills and career opportunities within a large and multinational business.
- Competitive Benefits Package including:
27 days annual leave, excellent pension contributions, private medical cover, life assurance, income protection, employee assistance program, plus a range of flexible benefits including the option to buy or sell up to 5 days holiday per year, cycle to work, dental insurance, health assessments plus many more.
Generous Family Leave including 6 months paid maternity leave, 4 months paid paternity leave, 6 months paid adoption leave plus shared parental leave options. To help ease the transition when you return to work you will be able to work 8 weeks at 80% of your normal work pattern and receive 100% of your normal salary.
About Marsh:
Marsh is the world’s leading insurance broker and risk adviser. With over 35,000 colleagues operating in more than 130 countries, Marsh serves commercial and individual clients with data driven risk solutions and advisory services. Marsh is a business of Marsh McLennan (NYSE: MMC), the leading global professional services firm in the areas of risk, strategy and people. With annual revenue approaching US $17 billion and 76,000 colleagues worldwide, MMC helps clients navigate an increasingly dynamic and complex environment through four market-leading businesses: Marsh, Guy Carpenter, Mercer, and Oliver Wyman. Follow Marsh on Twitter @MarshGlobal; LinkedIn; Facebook; and YouTube, or subscribe to BRINK.
Marsh McLennan is committed to embracing a diverse, inclusive and flexible work environment. We aim to attract and retain the best people regardless of their sex/gender, marital or parental status, ethnic origin, nationality, age, background, disability, religion, sexual orientation, gender identity or any other characteristic protected by applicable law.
We are an equal opportunities employer. We are committed to providing reasonable support to any candidate with a disability/health condition to allow them to fully participate in the recruitment process. We welcome candidates to contact us at TAUK@mmc.com to discuss any specific needs.
CLIENT ADVISOR – RISK MANAGEMENT
Marsh Trade Credit, Manchester
Alternative Locations – Leeds or Birmingham areas
Marsh Trade Credit, Manchester
Alternative Locations – Leeds or Birmingham areas
Marsh Trade Credit’s Risk Management & Major Accounts team in Manchester provides
top class client service to our largest clients outside of London.
We work closely with the wider Marsh business to address the Risk Management needs of some of the top businesses in the UK and globally.
Due to continued growth, we have exciting new opportunities for an experienced Client Advisor to join our existing Trade Credit team and contribute to our future success.
We will rely on you to:
We work closely with the wider Marsh business to address the Risk Management needs of some of the top businesses in the UK and globally.
Due to continued growth, we have exciting new opportunities for an experienced Client Advisor to join our existing Trade Credit team and contribute to our future success.
We will rely on you to:
- Provide daily service to our top clients and be involved with Client Executives in conducting and concluding the renewal process;
- As a key member of the client relationship team, carry out client meetings and calls to provide exceptional client service and build strong client relationships;
- Manage credit limit requirements via the various insurer on-line portals and by speaking/negotiating directly with the insurers;
- Provide our clients with support and guidance to ensure they adhere to their policy terms and conditions, e.g. reporting overdue invoices, making claims on time, etc.
- Prepare pre-renewal submission data, renewal reports & invoicing.
What you need to have:
- B2B Client Relationship experience;
- Excellent time management and organisational skills;
- Attention to detail;
- Able to perform well under pressure & using own initiative;
- Knowledge of insurance and or finance would be advantageous;
- Previous knowledge and experience of Credit Insurance would be ideal;
- A full valid UK Driving Licence.
- Excellent performance in a B2B Client Relationship role;
- Previous knowledge and experience of Credit Insurance, insurance or finance;
- The Drive to deliver exceptional results.
- To join an experienced and successful existing team.
- The opportunity to work with and add value to high profile clients across a number of industry sectors.
- The opportunity to develop your knowledge, skills and career opportunities within a large multinational business.
What you will be rewarded with:
- Competitive Benefits Package including:
27 days annual leave, excellent pension contributions, private medical cover, life assurance, income protection, employee assistance program, plus a range of flexible benefits including the option to buy or sell up to 5 days holiday per year, cycle to work, dental insurance, health assessments plus many more.
Generous Family Leave including 6 months paid maternity leave, 4 months paid paternity leave, 6 months paid adoption leave plus shared parental leave options. To help ease the transition when you return to work you will be able to work 8 weeks at 80% of your normal work pattern and receive 100% of your normal salary.
To apply for this position please email your CV to Danny Greechan at danny.greechan@marsh.com.
About Marsh:
Marsh is the world’s leading insurance broker and risk adviser. With over 35,000 colleagues operating in more than 130 countries, Marsh serves commercial and individual clients with data driven risk solutions and advisory services. Marsh is a business of Marsh McLennan (NYSE: MMC), the leading global professional services firm in the areas of risk, strategy and people. With annual revenue approaching US $17 billion and 76,000 colleagues worldwide, MMC helps clients navigate an increasingly dynamic and complex environment through four market-leading businesses: Marsh, Guy Carpenter, Mercer, and Oliver Wyman. Follow Marsh on Twitter @MarshGlobal; LinkedIn; Facebook; and YouTube, or subscribe to BRINK.
Marsh McLennan is committed to embracing a diverse, inclusive and flexible work environment. We aim to attract and retain the best people regardless of their sex/gender, marital or parental status, ethnic origin, nationality, age, background, disability, religion, sexual orientation, gender identity or any other characteristic protected by applicable law.
We are an equal opportunities employer. We are committed to providing reasonable support to any candidate with a disability/health condition to allow them to fully participate in the recruitment process. We welcome candidates to contact us at TAUK@mmc.com to discuss any specific needs.
About Marsh:
Marsh is the world’s leading insurance broker and risk adviser. With over 35,000 colleagues operating in more than 130 countries, Marsh serves commercial and individual clients with data driven risk solutions and advisory services. Marsh is a business of Marsh McLennan (NYSE: MMC), the leading global professional services firm in the areas of risk, strategy and people. With annual revenue approaching US $17 billion and 76,000 colleagues worldwide, MMC helps clients navigate an increasingly dynamic and complex environment through four market-leading businesses: Marsh, Guy Carpenter, Mercer, and Oliver Wyman. Follow Marsh on Twitter @MarshGlobal; LinkedIn; Facebook; and YouTube, or subscribe to BRINK.
Marsh McLennan is committed to embracing a diverse, inclusive and flexible work environment. We aim to attract and retain the best people regardless of their sex/gender, marital or parental status, ethnic origin, nationality, age, background, disability, religion, sexual orientation, gender identity or any other characteristic protected by applicable law.
We are an equal opportunities employer. We are committed to providing reasonable support to any candidate with a disability/health condition to allow them to fully participate in the recruitment process. We welcome candidates to contact us at TAUK@mmc.com to discuss any specific needs.
Events & Professional Development
9th Annual Supply Chain Finance Summit, 24-25 January 2023. Madrid.
Growth in supply chain finance has been ongoing for over a decade with the pace accelerating in the past two years and showing no sign of slowing. With ESG, digitalisation and blockchain, the industry is now ushering a new stage of development. These developments are poised to aid reduction of the USD1.7tn trade finance gap, now at an all-time high. In the coming years supply chain finance will be a focus of growth for not only major global banks but also for those in emerging markets.
We are delighted to join our media-partners @BCR and @FCI for the 9th Annual Supply Chain Finance Summit on 24-25th January in Madrid to hear from industry experts to discuss the challenges of creating resilient, sustainable and harmonised payables finance solutions, which form the basis of the future of supply chain financing.
To register for an Early Bird discount please follow: https://bcrpub.com/events/9th-annual-supply-chain-finance-summit.
Growth in supply chain finance has been ongoing for over a decade with the pace accelerating in the past two years and showing no sign of slowing. With ESG, digitalisation and blockchain, the industry is now ushering a new stage of development. These developments are poised to aid reduction of the USD1.7tn trade finance gap, now at an all-time high. In the coming years supply chain finance will be a focus of growth for not only major global banks but also for those in emerging markets.
We are delighted to join our media-partners @BCR and @FCI for the 9th Annual Supply Chain Finance Summit on 24-25th January in Madrid to hear from industry experts to discuss the challenges of creating resilient, sustainable and harmonised payables finance solutions, which form the basis of the future of supply chain financing.
To register for an Early Bird discount please follow: https://bcrpub.com/events/9th-annual-supply-chain-finance-summit.
Credit Insurance News readers can get 20% discount with code: MEDIA-20.
STECIS, the Trade Credit Insurance & Surety Academy endorsed by ICISA, offers a range of
webinars and classroom training courses.
The webinars on Trade Credit Insurance and Surety are organised multiple times per year.
The webinars on Trade Credit Insurance and Surety are organised multiple times per year.
For 2023 the new range of Classroom courses are planned as well:
The courses are hosted by seasoned expert from the industry and there is enough opportunity for posing questions, discussions and networking.
Also there is the possibility to arrange an inhouse training: then there will be created a tailor made outline for your staff on basis the training demand of your of your company. The training will be effected at your own offices or at a venue of choice.
Details information about the webinar and classroom training courses are available on the Stecis’ website: www.stecis.org also further information can be obtained by sending an e-mail to info@stecis.org.
- 14 & 15 February 2023: Trade Credit Insurance Foundation Course
- 16 & 17 February 2023: Trade Credit Insurance Advanced Course
- 14 & 15 February 2023: Surety Foundation Course
- 16 & 17 February 2023: Surety Advanced Course
The courses are hosted by seasoned expert from the industry and there is enough opportunity for posing questions, discussions and networking.
Also there is the possibility to arrange an inhouse training: then there will be created a tailor made outline for your staff on basis the training demand of your of your company. The training will be effected at your own offices or at a venue of choice.
Details information about the webinar and classroom training courses are available on the Stecis’ website: www.stecis.org also further information can be obtained by sending an e-mail to info@stecis.org.
About this month's sponsor: Farosol
Table Mountain, Cape Town. Farosol's international Annual Conference in 2022
Farosol, one of the leading international networks of specialist credit insurance brokers serving more than 20 countries around the world, recently held its first personal meeting in over 2 years. Cape Town was the postponed annual
conference venue and was expertly hosted by its South African member Debtsource, Africa’s leading credit management and insurance business.
The president of Farosol, Winfried Vogt and the CEO of Debtsource, Frank Knight welcomed old and new members, notably from Dedalo (Italy) and Hub Canada (Canada) to the conference. In addition, W. Denis of the UK confirmed their commitment to Farosol having recently acquired Trade Credit Global.
All the Farosol members who attended reaffirmed their momentum and commitment to work with cohesion as a global alliance which can clearly offer distinctive attractions for multinational clients. Indeed, the Farosol brand has such a growing presence in the international market place that several group members reported they had been approached by notable brokers in other countries wishing to join.
The conference was particularly successful, as after a long gap, the group came together with energy and enthusiasm to harness exciting plans for the future. It was very much the catalyst for redefining the strategic direction of the group with the appointment of Advisory Board directors to oversee sales, marketing, IT and new member recruitment developments. The objective is to differentiate Farosol from other networks whilst retaining the ‘thinking globally acting locally’ dynamic.
If you wish to know more do visit our website (www.farosol.com).
The president of Farosol, Winfried Vogt and the CEO of Debtsource, Frank Knight welcomed old and new members, notably from Dedalo (Italy) and Hub Canada (Canada) to the conference. In addition, W. Denis of the UK confirmed their commitment to Farosol having recently acquired Trade Credit Global.
All the Farosol members who attended reaffirmed their momentum and commitment to work with cohesion as a global alliance which can clearly offer distinctive attractions for multinational clients. Indeed, the Farosol brand has such a growing presence in the international market place that several group members reported they had been approached by notable brokers in other countries wishing to join.
The conference was particularly successful, as after a long gap, the group came together with energy and enthusiasm to harness exciting plans for the future. It was very much the catalyst for redefining the strategic direction of the group with the appointment of Advisory Board directors to oversee sales, marketing, IT and new member recruitment developments. The objective is to differentiate Farosol from other networks whilst retaining the ‘thinking globally acting locally’ dynamic.
If you wish to know more do visit our website (www.farosol.com).
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All news stories on Credit Insurance News' website are included with the prior permission of the copyright holder. Reproduction or redistribution in whole or in part, in any manner, without the express prior written consent of the copyright holder, is a violation of copyright law. If you, or your organisation wish to redistribute, republish or link-to all or any part of any Credit Insurance News Digest, you must first contact the copyright holder direct or email sally.brown@creditinsurancenews.co.uk for further information.
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