3 Benefits of Export Credit Insurance

Export Credit Insurance protects against international customer non-payment

By protecting exporters’ accounts receivable, the Export-Import Bank (EXIM) Express Insurance is a product that provides significant benefits with little hassle. Express Insurance empowers exporters to overcome obstacles in the way of increasing international market share.

Use Express Insurance to:

• Insure against nonpayment by international customers.
• Cover both commercial (e.g., bankruptcy) and political (e.g., war or the inconvertibility of currency) risks.
• Arrange financing through a lender by using insured receivables as additional collateral.

Benefits of Express Insurance:

• Risk reduction: safeguard against catastrophic losses from buyer nonpayment.
• Increased competitiveness: unlock the ability to offer buyers the credit necessary to expand into new markets and boost sales with existing customers.
• Improved liquidity: accelerate cash flow by borrowing against foreign receivables.

If you answer YES to the following criteria, EXIM Express Insurance may be a financial option:

Are you small business?

A small business is determined by the Small Business Administration Size Standards.

Have you been in business for 3 years with 1 year of exporting experience?

EXIM credit insurance is suitable for companies that have experience selling on credit terms both domestically and internationally.

Is your business profitable?

Your business must show that it has a positive net worth.

Are you exporting products that meet our U.S. content requirements?

Your export products/services must have more than 50% U.S. content.

Are you exporting military products?

EXIM cannot support the export of military/defense-related products or to military buyers.

Are you shipping from a U.S. port?

EXIM can only support goods shipped from U.S. ports.

What is your company’s experience with financing export transactions?

About John

John Privette holds a M.S. degree in business with a specialization in marketing. His work experience includes corporate international marketing, offshore operations management and small business ownership. John is accredited as a NASBITE Certified Global Business Professional. If you have any questions about international trade, contact John via email at jprivett@uwyo.edu.