Man run in a thousand difficulties.jpg

AR INSURANCE PITFALLS BANKERS NEED TO KNOW

Coverage: Are all your client's key buyers covered? Are other coverage options available?
Bank Beneficiary/ Direction to Pay: Is your bank named on the client's policy to allow you to increase your lending facilities, and protect your margining agreement?
Discretionary Credit Limits: Included in margining? Many of your client's policies have a discretionary credit limit which allows them to provide coverage that isn't named on buyer lists. Is your client up to date with DCL compliancy?
Compliancy: Is your client following the requirements of the policy? Are they: Filing past due reports?; Shipping on overdue accounts?; Paying their premium?