Welcome to the December 2021 issue of Credit Insurance News Digest. This issue is sponsored by Tinubu Square.

Index
 
Credit Management News Digest
PLUS:  What are the New Challenges for Export Credit Agencies?  
A panel of international experts discussed the vital role Export Credit Agencies play in supporting trade and development, and how they must transform in response to evolving complexities.
Credit Insurance News
An upsurge in demand for trade credit insurance is matched by strong risk appetite among underwriters. The Berne Union's latest Business Confidence Survey for Q4 2021 suggests that despite pressure from supply chain complications, the re-intensification of COVID-19 levels in some larger economies and increasing inflation, short-term (ST) export credit insurance business continues to see strong growth in demand. In addition, the Berne Union notes that trade credit insurers' risk appetite has been broadly increasing during the second half of 2021, and underwriters appear "quite bullish" with respect to ST business. That said, trade credit insurers noted a slight uptick in emerging claims for ST business in Q3 2021, and for Q4 there are some indications of a more widespread increase. However, taken in the context of record low ST claims paid during the pandemic, the Berne Union comments that this could "perhaps be a sign of a smooth normalisation rather than the start of an avalanche." To read the Berne Union's report go to https://www.berneunion.org/Articles/Details/625/Business-Confidence-Index-Q4-21-Published.
56% of businesses in the UK plan to use credit insurance in 2022 — 17% more than a year ago. Atradius' latest Payment Practices Barometer survey has found that over the past year, 44% of the total value of B2B sales in the UK were reported overdue, and 8% were written off. Although the percentage of overdue invoices has dropped slightly from 2020's figure of 47%, this figure was significantly higher than 2019's figure of 26%. However, the number of businesses that plan to use trade credit insurance in 2022 has risen sharply — by 17%, to 56% of UK businesses. Atradius' research also found that businesses across the UK transacted 53% of their B2B sales on credit over the past year, with credit most frequently offered to stimulate sales growth — especially repeat businesses with existing customers. When credit was refused, this was most often because of a higher risk of payment default. To read Atradius' news release, with a link to the full report, go to https://atradius.co.uk/reports/payment-practices-barometer-united-kingdom-2021-growth-outlook-despite-increasing-risks.html.
Xenia acquires Peter Hill Credit & Financial Risks Reinsurance News has reported that Xenia has bought Peter Hill Credit & Financial Risks, a specialist trade credit insurance and surety broker with a particular focus on the construction sector. The transaction was completed on 30 November and marks Xenia's seventh acquisition in two and half years. The Peter Hill team led by Mark Davison will continue to run the business from their current offices. Tim Coles, CEO of Xenia. "The union underlines our strategy to combine with similar independent firms who share our vision to create a driving force for the development and growth of the trade credit and surety markets . . . We aim to establish Xenia as a leading independent credit, surety and financial risk broker internationally for which it is important that we continue to attract specialist teams and businesses such as Peter Hill that share our ambition and ethos and who want to align with an independent and entrepreneurial broking group." To read Reinsurance News' article go to https://www.reinsurancene.ws/xenia-acquires-peter-hill-credit-financial-risks/.
Podcast: Trade credit insurance and its bounce back from the pandemic. Trade Finance Global (TFG) has published a podcast in which Richard Wulff, Executive Director of the International Credit Insurance & Surety Association (ICISA), describes how trade credit insurance has emerged from the pandemic stronger than before. Looking back on the pandemic, Richard says that the experience of trade credit insurance could be described as a U-shaped recovery, with no change in appetite from market participants once conditions were more certain. While he spoke highly of government interventions during the pandemic, he suggested for next time — if necessary — that interventions in trade credit insurance be shorter and more targeted, noting that although actions by the governments covered sectors that did need stimulus — such as hospitality and travel, they also targeted those which did not need support — such as e-commerce. To listen to the podcast and read TFG's associated article go to https://www.tradefinanceglobal.com/posts/podcast-s1-e75-u-shaped-recovery-icisas-richard-wulff-on-trade-credit-insurance-its-bounce-back-from-the-pandemic/.
The trade credit insurance market is already seeing an increase in claims and is expecting elevated activity in the coming months. Global Trade Review (GTR) has published an Editor's letter that reports that this time last year, the trade credit and political risk insurance community was preparing for increases in COVID-related claims. The anticipated winding down of government-led assistance schemes was expected to place a strain on businesses that had been reliant on that support, leading to financial pressure and even company collapse. Instead, what happened was quite the opposite: global insolvencies declined by 14% in 2020 and are expected to decrease by 1% in 2021, according to Atradius’ October insolvency forecast. However, those initial fears have not yet been allayed. To read GTR's article go to https://www.gtreview.com/supplements/gtr-credit-political-risk-insurance-2021/editors-letter-2/.
Aon analyses trade credit insurance placements, claims, trends and market performance. Aon Credit Solutions has published its Q3 2021 Market Insights report, which analyses the trade credit insurance environment, claims, trends and market performance. The report notes that as a result of the artificial economic environment created over the past 18 months and in the absence of significant large loss incidents or high-frequency claims, trade credit insurers have experienced loss ratios about 50% below anticipated levels. Even though Aon expects future "normalisation" as insolvencies inevitably return, it suggests that carrier results are unlikely to be impacted until 2022 at the earliest. In the meantime, credit insurers have continued to adopt a much more pragmatic position on both their risk and commercial strategies whilst seeking high levels of client retention and profitable growth. Credit limit appetite and overall coverage amounts are currently on track to exceed pre-COVID levels by the end of 2021. Approval rates across certain sectors are also now stronger than pre-pandemic. To read Aon's report go to https://insights.aon.com/aons-credit-solutions-q3-2021-insights/contents/.
Western Europe is bracing for heightened insolvency risk. Atradius' latest Payment Practices Barometer for Western Europe warns that delayed insolvencies from 2020 and 2021, along with new ones, are expected to drive a heightened insolvency risk environment with rising payment defaults in most observed markets and a 33% predicted increase in global insolvencies in 2022. All major regions should be affected. In response to a deteriorating insolvency risk environment, 56% of businesses indicated surveyed by Atradius reported an appetite for strategic credit management by outsourcing credit risks through the increased use of trade credit insurance. Atradius Barometer also found that 53% of the total value of all B2B invoices in Western Europe were reported overdue this year, an increase on last year’s 47%, and write-offs increased from 7% to 10% of the total value of invoices in the region. To read Atradius' news release, with a link to the full report, go to https://atradius.co.uk/reports/payment-practices-barometer-western-europe-2021-bracing-for-heightened-insolvency-risk.html.
Benefits of trade credit insurance for the UK construction sector. Gallagher UK has published an article that examines the ongoing impact and challenges that the current global climate continues to cause the UK economy and the construction industry and the benefits of trade credit insurance in the current environment. According to its research, Gallagher advises that 80% of building and construction companies have experienced supply chain issues in the last 12 months, and it is anticipated that unpaid construction invoices will reach £1.5 billion in 2022. Furthermore, the construction sector remains the most significant contributor to insolvency numbers in the UK and Northern Ireland — out of 1,971 insolvencies in October 2021, 328 were construction companies. More business failures are expected in the coming months, along with the subsequent non-payment of upcoming invoices. To read Gallagher's article go to https://www.ajg.com/uk/news-and-insights/2021/november/benefits-of-trade-credit-insurance/.
ESG, technology, Greensill and the evolving trade credit and political risk insurance landscape. This month, Global Trade Review (GTR) has published a number of articles that readers may find interesting.  
  • Sustainability and trade credit insurance. Olivier David, Director of Special Products at Atradius, and Jesse van Cleef, Regional Director of Special Products and ESG Product Team Leader at Atradius, discuss how trade credit insurers have unique insight into the impacts of climate change.
    https://www.gtreview.com/supplements/gtr-credit-political-risk-insurance-2021/sustainability-trade-credit-insurance/).
  • Uncovered: Greensill's insurance woes. Since Greensill's collapse, doubts have been raised over its dependence on risk mitigants, including trade credit insurance and export guarantees,  and in some cases, whether policies or guarantees were valid in the first place.
    https://www.gtreview.com/supplements/gtr-credit-political-risk-insurance-2021/uncovered-greensills-insurance-woes/.
  • LiquidX technology innovation rewrites the trade credit insurance story. Todd Lynady, Global Head of Insurance at LiquidX, outlines the ways in which fintech solutions are transforming trade credit insurance and changing how policies are purchased and managed. 
    https://www.gtreview.com/supplements/gtr-credit-political-risk-insurance-2021/liquidx-technology-innovation-rewrites-trade-credit-insurance-story/.
  • The evolving landscape of trade credit and political risk insurance. Chubb has been involved with the trade credit and political risk insurance market for the past 20 years. Julian Edwards, Head of Political Risk & Credit, and Julian Hudson, Head of Trade Credit, share their insights in a Q&A session. https://www.gtreview.com/supplements/gtr-credit-political-risk-insurance-2021/evolving-landscape-trade-credit-political-risk-insurance/. 
  • Future-proofing the insurance market. As the trade credit and political risk insurance market awaits the full financial impact of the pandemic, insurers and brokers alike are using the calm before the storm to create cost and agility advantages through digitalisation.
    https://www.gtreview.com/supplements/gtr-credit-political-risk-insurance-2021/future-proofing-insurance-market/.
The impact and challenges of e-commerce for grocers. Retail Gazette has warned that forecasts suggest that e-commerce "is a ticking time bomb"; Euler Hermes' analysis suggests that grocers could lose almost a quarter of a billion for every percentage point that e-commerce increases its share of the market. However, although "many believe the only salvation is automation," this throws up its own problems. Euler Hermes' Senior Sector Advisor for Technology and Retail, Aurélien Duthoit, comments that the pandemic meant grocers had to rapidly expand their online capabilities without considering their balance sheet. However, the picking, packing and dropping off groceries costs far more than customers wandering around a shop with a basket, and for those without automation to bring down the higher cost of making sales, the shift to online was not profitable. "You only need to look at a major supermarket's financials for last year: sales were high, but profits were down." To read Retail Gazette's article go to https://www.retailgazette.co.uk/blog/2021/12/ocado-robocop/.
Payment practices hold steady in Eastern Europe. Atradius has advised that its latest Payment Practices Barometer Survey results for Eastern Europe paint a promising picture of businesses that have maintained the status quo, despite the challenges faced during the pandemic. Atradius notes that key metrics, including the percentage of write-offs and total volume of overdue B2B invoices, show little year-on-year change. Write-offs averaged 5% of B2B invoices' total value this year, the same as last year. This contrasts with the survey results for Western Europe, where write-offs increased from 7% to 10% of B2B invoices' total value. Overall, business confidence in Eastern Europe is strong. 73% of the region anticipates growth next year, with stand-out results in Slovakia and the Czech Republic, where businesses predict growth of 87% and 84%, respectively. Atradius also found that the pandemic has resulted in many businesses adopting digitalisation (57% of the region reported this) and adapting to changes in customer demand and supply chains (39% of respondents). To read Atradius' news release, with a link to the full report, go to https://atradius.co.uk/reports/payment-practices-barometer-eastern-europe-2021-buoyant-business-mood-tempered-by-risk.html.
How Australian businesses can optimise their trade credit insurance. Dan Chapman, Director at Aon Credit Solutions, has published an article in the Australian Institute of Credit Management publication, Credit Management in Australia, that notes that shortfalls in limit coverage due to trade credit insurers risk appetite or capacity constraints is not a new phenomenon. However, contraction in insurers risk appetite over the last eighteen months has exacerbated the issue, and although the appetite of trade credit insurers is now starting to improve, many Australian businesses remain exposed to a level of credit risk "far outside their comfort zone." The article explores the importance of identifying limit shortfalls and the steps organisations can take to obtain the level of cover they require. Dan notes, for example, that brokers can use information (both proprietary and in the public domain) to produce a credit submission to trade credit insurers in support of cover, which can have a "serious impact on the success rate." To read the article go to https://aicm.com.au/news-resources/aicm-magazine/.
Credendo joins the digital CPRI platform, Dialogue Exchange. Credendo has announced that it is joining the credit and political risk insurance (CPRI) digital platform, Dialogue Exchange. The platform aims to simplify the underwriting journey for brokers and underwriters by streamlining "the cumbersome" back-and-forth communication between brokers and underwriters when buying and selling CPRI policies. "It is critical for us to support and work with an integrated-system solution that uses technology to enhance the underwriting process, while maintaining the specific features of the single risk market," commented Kerlijne Van Steen, Head of Single Risk at Credendo – Guarantees & Speciality Risks. "As the platform is tailored to the single risk market, we expect a number of benefits, such as greater efficiency, data collation and detailed business analytics." To read Credendo's news release go to https://credendo.com/en/knowledge-hub/credendo-joins-digital-tcpri-platform-dialogue-exchange.
The supply chain finance industry ramps up as the memory of Greensill fades. S&P Global Market Intelligence has advised that supply chain finance provider Greensill Capital (UK) Ltd's collapse in March has had little impact on the availability of this type of trade finance. According to Boston Consulting Group, due to the appeal of a system that lets suppliers get paid quickly while preserving buyers' cashflow, total industry revenues for supply chain finance will post a compound annual growth rate of 3.2% — reaching US$11 billion in 2030. The failure of Greensill may even have helped support the long-term growth of the sector by encouraging greater standards and fixing flaws in approvals processes, according to Scott Ettien, Global Head of Trade Credit at Willis Towers Watson. "Greensill is not a bad thing for the market . . . It's a really good thing because it teaches." To read S&P Global' article go to https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/supply-chain-finance-industry-ramps-up-as-greensill-memory-fades-67485996.
The credit risk situation of UK automotive suppliers is about to deteriorate. Atradius' latest Automotive Industry Trends report for the UK estimates that after contracting 25.6% in 2020, British automotive output is forecast to rebound by only 8.5% in 2021, as the current semiconductor shortage severely affects production. In addition, over the past couple of months, Atradius notes that businesses' profit margins have come under strain due to ongoing production cuts and higher prices for steel/metals and energy. Payments in the industry take 60 days on average but, for suppliers with low leverage, they can take 150–180 days. Both payment delays and insolvencies are expected to increase in the coming twelve months, with business failures potentially set to increase by more than 50% year-on-year. To read Atradius' news release go to https://group.atradius.com/publications/industry-trends/automotive-united-kingdom-2021.html.
The European Commission announces new rules to ensure that State support does not distort competition among private and public export credit insurers. The European Commission has announced that it has adopted a revised Communication on Short-term export credit insurance (STEC Communication). that lays down rules to ensure that State support does not distort competition among private and public (or publicly supported) export credit insurers. The revised STEC Communication will apply from 1 January 2022. This means that there should be sufficient capacity provided by private insurers, in principle, such risks should not be insured by the State or by State supported insurers." In other words, as private insurers offer that type of insurance, there is no need for the State to step in and offer a similar product." To read the European Commission's news release go to https://ec.europa.eu/commission/presscorner/detail/en/IP_21_6559.
Interviews from the Berne Union AGM: State of play in export credit with BU President Michal Ron. TXF recently conducted a series of interviews with Berne Union officials, discussing major trends driving the export credit insurance industry and the role the Berne Union is playing in responding to these. In the first interview of the series, Michal Ron (President of the Berne Union) talks about the positive indications for trade emerging from the latest BU data, and reflects on how the pandemic has accelerated existing trends towards increased domestic support from ECAs, as well as the digitalisation of the industry. To watch the full interview go to https://www.txfnews.com/News/Article/7287/BU-AGM-Interview-Series-Michal-Ron-President-Berne-Union.
STA International has a new address. STA International has announced that it has moved to a new, significantly larger workplace and head office in Maidstone, Kent, and is also currently seeking to double the space available at its Glasgow contact centre. Phone numbers and email addresses remain the same, as does STA International's website address. The new address is: The Drying Loft, 25/26 Turkey Court, Turkey Mill Business Park, Ashford Road, Maidstone, Kent ME14 5PP. For more information go to https://www.stainternational.com/news/our-new-workspace-at-turkey-mill/.
Atradius publishes its latest Risk Map for Q3 2021. Atradius' Economic Research team has published the latest Atradius Risk Map for Q3 2021. The map provides an at-a-glance overview of the level of risk associated with countries worldwide and uses a rating system for assessing country risk called the STAR rating system (STAR stands for Sovereign Transfer and Arbitrary Risk) as a summary measure of political risk. The STAR rating runs on a colour-coded scale from 1 to 10, where 1 (green) represents the lowest risk and 10 (red) the highest risk. This issue has specific insights on three potential risk areas: Colombia, Sri Lanka and Gabon. To view the Map copy go to https://atradius.co.uk/article/risk-map.html.
Trade credit webinar — what lies ahead for trading in the UK? Marsh has announced that it is holding a webinar (9 December, at 10 am GMT) to discuss the lessons learned from 2021, and how businesses can mitigate risk in 2022. Speaker will include: Alison Goldthorp, Partner at Norton Rose Fulbright; Ana Boata, Head of Macroeconomic and Sector Research at Euler Hermes; Chris Wilford, Director of Financial Services Policy at CBI (Confederation of British Industry); Ian Robert, Head of Business Recovery and Insolvency at Moore Kingston Smith; as well as Marsh's Ian Watts and Rob Butler. To register for the webinar go to https://mmc.zoom.us/webinar/register/WN_Wgq1FzITT0ao-MDDjPLxow?sf155326362=1.
Congratulations to 
Simon Philpin, who has been appointed as Chairman of the Trade Credit Committee by the Association of British Insurers. Simon is also Senior Underwriter & Head of Business Development Global – Trade Credit at Markel International.
Chubb is celebrating the 20th anniversary of its Political Risk & Credit team. Click here to watch a video in which Julian Edwards, Global Head of Political Risk & Credit, describes Chubb's background and growth since 2001.
W Denis Credit Risks, which become the UK member of Farosol in October. Farosol is an international network of specialist credit insurance brokers serving more than 20 countries around the world. Farosol provides a strategic range of tailored credit insurance products, as well as complementary services in the field of credit management.
Good luck to
Tokio Marine HCC who have launched their Christmas fundraising challenge, a virtual trek to the North Pole — 6292 kilometres in two weeks. This year, all funds raised will go to multiple local charities which support vulnerable children.
Attis Credit Solutions

New Appointments
Tokio Marine HCC (TMHCC) has announced that Gerard Gibney has joined as Senior Commercial Underwriter for its trade credit team in Europe. Gerard is an ACII Chartered Insurer with over 20 years commercial insurance experience. He most recently spent 5 years with Coface in trade credit where he was responsible for both brokered and direct new business along with servicing existing clients. He will be working out of TMHCC's Kill office in Ireland.
Markel International has appointed Robert O’Connor-Mitchell as a Senior Surety Underwriter. Robert joins from Euler Hermes, where he most recently worked as Senior Surety and Guarantees Underwriter. In his new role, Robert will report to Damian Manning, Markel International’s Head of Surety.
Atradius has promoted Oliver Ford to the role of Country Manager, heading up multinational business for the UK. Oliver joined Atradius in 2007 and has spent a decade serving in senior roles in both Hong Kong and London. He returns from Hong Kong to Atradius' UK headquarters in Cardiff.
Euler Hermes France has announced that Laurent Treilhes, previously a member of the Executive Committee of Euler Hermes France as Sales and Marketing Director, is appointed Chairman of the Executive Committee of Euler Hermes France. He replaces in these functions Eric Lenoir, who has left Euler Hermes France.
Coface has announced the appointment of Jean-Christophe Caffet as Chief Economist, reporting to Thibaut Surer, Coface's Director of Strategy and Business Development. Jean-Christophe was formerly employed as Chief Economist by the TotalEnergies Group.
Attis Credit Solutions has announced two new appointments: 
  • Craig Stone has joined then as a Client Director. Craig has over 30 years experience in the credit insurance market including roles in Aon. He also previously worked with the management team at Acumen. He will be based at Attis' Teesside office. 
  • Susan Coleman will become Head of Surety for Attis' new division Attis Surety Solutions. Susan joins us from Xenia/CRS and will be responsible for implementing the growth and development strategy of Attis Surety Solutions.
Euler Hermes North America has appointed Jason Prevette as Senior Underwriter - Transactional Cover Unit. Jason joins from Atradius where he was Team Leader - Special Products.
Euler Hermes has announced the appointment of James Musters as Managing Director of Excess of Loss (XoL) for Euler Hermes Americas Region. Previously, James was Regional Manager XoL underwriting for Euler Hermes' World Agency (the Americas).
Credendo has expanded its surety business with the deployment of local teams in countries where Credendo is already active. 
  • Zuzana Huszar, who joined the Vienna Branch in September as Surety Underwriter, is in charge of developing surety solutions in Austria. Zuzana has over 16 years of experience in the surety business.
  • In the Spanish Branch, the surety team, now led by Juan Bautista Román, has appointed Davide Puma and Beatriz Villalobos as Surety underwriters, supported by Raúl Martínez García, as underwriting assistant. 
  • In Ireland, David McGuire, who recently joined the Credendo Branch based in Cork, is bringing underwriting assistance to Stephen Comeford in a well-developing market.
Expert Opinions: Reflecting on 2021 and Anticipating 2022
Now that we are nearly at the end of 2021, Credit Insurance News asked some of the experts from our wonderful community of advertisers for their thoughts on this uniquely tumultuous year and their hopes for 2022. 
Here are their comments:
“Year 2021 is ending! What a strange year for the industry. Within the OECD zone, strong global government support and aid packages have diffused the threat of a 2021 forecasted chaos announced in March 2020. Government trade credit schemes, direct or managed through ECAs, have resulted in benefits, as a dramatic loss ratio did not occur this year thanks to side effects of global government actions. Nevertheless are we done with COVID and its economical negative side effects? The Omicron virus occurrence is provoking a sudden surge of fright, and the world is waiting for analysis outputs from the pharmaceutical laboratories to resume our new way of life with COVID. 2022 might bring us new surprises, and the industry should be on the watch, while being operational in the implementation of ESG rules.”
Marc Meyer, Senior Vice President and Subject Matter Expert Insurance at Tinubu Square.
"Our members have been accepting more risk and have total exposures above pre-pandemic levels. Together with a healthy competition, this proves the resilience of the trade credit insurance product in these times of COVID. This gives me confidence that the market will be served, and credit insurance companies are trustworthy partners for companies and economies to rely on our products."
Richard Wulff, Executive Director of International Credit Insurance & Surety Association (ICISA).
"As 2022 looms with hope, perhaps the long-overdue reform of Companies House will get legislative time and begin closing the loopholes allowing poor quality, and possibly fraudulent, information to appear on the Register. Trade credit will be vital to the UK's economic recovery, but granting this relies on confidence in source information. With insolvencies set to rise, increased confidence in the information about the companies you are doing business with will be more important than ever. We look forward to continuing to work with clients from across the insurance industry and in-house credit practitioners."
Jo Kettner, Chief Executive Officer of Company Watch.
"2021 saw another 116,130 unsuccessful CBILS/BBLS applicants bringing the total number of failed applicants to 676,014; companies that are now beginning to swell the 2021 insolvency numbers, which could end the year as high as 16,500, up from 14,000 in 2020, the first year of the pandemic, but still well below 18,000 in pre-pandemic 2019. A combination of light touch HMRC enforcement, low-cost loans, protections from landlords and the furlough scheme temporarily saved around 6,000 companies with a very high vulnerability to insolvency, and we are expecting to see these companies grow the insolvency number again in 2022, possibly reaching as high as 22,500 insolvencies."
Greg Connell, Managing Director of InfolinkGazette.
“Twenty twenty-one was what we expected . . . more enquiries and competition on price as insurers sought to recover lost premium from 2020, following the negative impact of COVID-19. The year threw up a couple of surprises with a number of participants stepping back from their trade credit operations, which can be seen as a positive if you are an underwriter with less competition, and negative if you are a broker with less routes to market. At Markel, we look forward to continued growth in our trade credit team and other areas of the business in 2022.”
Simon Philpin Senior Underwriter & Head of Business Development Global — Trade Credit, Markel International.
"The Government Scheme supporting underwriters expired in the Summer, and the much-predicted tsunami of insolvencies did not arrive. We arrived quickly thereafter as an industry at the counter-intuitive point of reducing premium rates and writing cover aggressively despite everyone agreeing that insolvency levels will increase significantly in the coming months. We'll see how that plays out in 2022 – I would hope for “normality" in insolvency levels and underwriter appetite to resume, and for us all to continue the challenge of growing our market. The period has seen a huge amount of credit experience retire from the industry, as well as a notable number of new starters join our fascinating and rewarding industry. It cannot have been easy to start a career while working from home — hopefully, 2022 can be a new start!"
From the team at TMHCC, we wish everyone a wonderful and safe festive season.
"2021 has been an odd year for the UK credit insurance market. We lurched from a hard market into a soft one, with surprising rapidity. We have witnessed the unedifying spectacle of insurers actually undercutting themselves, and established protocols between brokers and direct sales forces thrown out the window. There has been churn in the broker market, and less new business than we would like. 2022 promises more of the same, but with the long-forecast increase in claims just starting to appear, a potential reaction from insurers is all too predictable. Strap your boots on, the rollercoaster ride starts here."
John Cockshutt, Director of W Denis Credit Risks Ltd.
"2022 promises to be challenging for credit management professionals with cashflow pressures caused by supply chain issues and growing energy prices continuing unabated. Add to this the UK's sluggish export figures following Brexit, the labour and skills shortages, inflation and currency fluctuations, the challenge for cash heightens. Small wonder forecasters predict insolvencies to rise 33% over pre-pandemic levels. Businesses with robust and resourceful credit management processes can ride the storm, perhaps looking to credit insurance to protect them from protracted default, and ultimately, insolvencies. Conversely, less robust businesses may resort to asset-based lenders, invoice factors or discounters for their support."
Colin Thomas, Chairman at STA International Limited
‘As another year draws to a close we are starting to see a clearer picture of what a post-covid, post Brexit UK looks like. Although still no sign of the predicted insolvency ‘tsumani’, it is hard to downplay the speed of change across industry with firms adapting to supply-chain disruption and inflation, labour shortages, and new ways of working. If they weren’t already, environmental considerations have been pushed firmly up the agenda.
2022 is looking to be a continuation of these trends but, as the last couple of years have taught us, we should be ready for the unexpected."
Ian Selby Head of Trade Credit - UK
"Many are hoping for a fresh start in 2022 after a tumultuous year. However, uncertainty reigns due to the unpredictability of Covid-19 while the long-awaited spike in insolvencies is forecast to hit. To future proof, businesses must prepare for any eventuality, sourcing real-time intelligence on trading markets and their buyers alongside non-payment protection. As insurers, we must continue to work closely with businesses to mitigate risk and urge buyers to be open and transparent to facilitate informed credit decisions. By working in partnership with businesses and supporting them through this difficult time, we can demonstrate the value of credit insurance as indispensable now and for the future. It’s this approach which has enabled us to underwrite higher cover levels than prior to the pandemic and long may this continue."
James Burgess, Head of Commercial, Atradius UK.
"On the economic front, the global output is improving following the curve of vaccination while we continue to see short and sporadic seizures generated by the virus mutation process. Pandemic change is in an unmapped dynamic. The current supply chains crisis is among the most visible. We face increasingly interconnected risks showing strong interdependence between sanitary situation and geo-economic and political risks that call for deep analysis and greater protection for businesses."
Kerlijne Van Steen, Head of Single Risk, Credendo.
Events & Professional Development
TXF Americas 2022: Structured Trade & Export Finance 
 HYBRID EVENT: MIAMI & ONLINE (Conducted in English), 8-9 March 2022.   It's been away for far too long TXF Americas 2022: Structured Trade & Export Finance is back in-person and returns in all it's glory to sunny Miami for the first time in over 2 years on 8-9 March, and this time with a hybrid element.
We will continue to innovate in the virtual space, using the wonderful world of hybrid events to offer guests unlimited access to online content and networking. Deal makers from across the globe are already lining up to save their spot. 

Topics up for debate include:
  • ESGs and Energy transition - moving forward 
  • Evolution of ECA products in the region - increasing flexibility and innovation 
  • Identifying who's filling the finance gap (DFIs, ECAs, Alternative Financiers) - availability of new financing products 
  • Updates on recovery focused programmes in key LatAm Countries. 
Whilst we are so excited to return in person, the safety of our guests remains paramount. Please rest assured that we will monitor the global situation as it changes and respond with appropriate measures.

Two types of participation are available for TXF hybrid events:
1. Physical Event Ticket
  • Get your feet on the ground to come together with key clients, colleagues and industry experts. Your ticket will also include:
  • Additional networking features such as the poolside cocktail reception Access to the virtual event platform – reach out to virtual-only attendees and watch all sessions on-demand if you miss them 
  • Networking concierge service – allow us to do the leg work and introduce you to new potential clients 
2. Virtual Ticket/ On-Demand (Available TXF events 365 Members Only)
From the comfort of your desk watch all sessions live or on-demand as well as use our ‘Search the Guest List’ feature to reach out to other virtual attendees and those joining the physical event in-person. 
To find out more about joining virtually as part of a TXF Membership, please email membership@txfmedia.com.

About the Sponsor: Tinubu Square
Tinubu Square is the industry-leading SaaS platform vendor, enabling Credit Insurance & Surety digital transformation.
For 20 years, Tinubu Square has provided Credit & Surety insurers across the globe with software and services allowing them to offer best-in-class customer experience, as well as significantly reduce their exposure to risk and their financial, operational and technical costs.
Tinubu Square has an international footprint with customers in over 20 countries, including 30 of the top 60 worldwide Credit & Surety underwriters.
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