DOMESTIC CREDIT INSURANCE

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• Accounts Receivables are often one of the largest assets on a company's balance sheet.
• Financial turmoil in the U.S. and problems in other countries that impact the U.S. make it hard to predict conditions that could lead to your U.S. customers defaulting on payment obligations. 
• Insurance on domestic accounts receivable protects against the risk of default. 

If the insurer approves the requested coverage on your customers it is an indication of the credit quality of the company, but is more than just an opinion, as the insurer stands behind this with coverage provided in the event of default by your customer. If a request for coverage is denied the insurer will often provide information as to reasons for the denial, which should provide valuable information to you as to how to proceed.