Document Trade Credit Insurance (TCI) or Askredag ~ Academy of Insurance

Trade Credit Insurance (TCI) or Trade Credit Insurance (Askredag) is insurance that provides protection for Account Receivables (trade receivables) from non-collectible risks (non-payment) caused by commercial risk or political risk.

The following are some of the documents required for insurance to process TCI or askredag closure requests:

Application Form

Each insurance has its own application form. In general, this application form contains questions regarding:

Amount of Insurable Turnover (sales by open account / credit) for the last three years, not Gross Turnover (Overall sales: cash payment, LC)
Bad Debt experience for the last 3 years
10 Buyer names both export and domestic or export only,
Complete company name (PT/CV), complete address and details including PO Box and contact number
TOP (Payment Term) given to each buyer
Open account sales for each buyer for 1 year
Credit Limit proposed for each buyer is in accordance with the TOP/Payment Term

Payment History

Minimum 6 months to the last 12 for each buyer to be insured. Usually insurance has a limit to do research on all buyers. Well, on average, you are only able to analyze the 10 biggest buyers.

Aging Reports from each proposed buyer must also be sent. You need to request a Payment history and aging report form to the insurance you want.

Below are the New Business Prospect Criteria as a basis for proper identification and also comply with the Commercial Underwriting and Risk Parameters of most insurances: