BALTIMORE, Md. – OCTOBER 1, 2013 – Euler Hermes, the world’s leading provider of trade credit insurance, today launched CAP, an innovative product that offers policyholders additional coverage for specific or short-term transactions whose size and risk require additional levels of support.
CAP is a second layer of insurance protection – or “top-up coverage” – allowing businesses to purchase up to $1.5 million of coverage above their previously approved limits. The product is specifically designed for Euler Hermes’ U.S. and Canadian customers of all sizes and sectors, particularly those trading with more difficult risks and markets.
“We created CAP in direct response to our customers’ requests as they seek to make the most of every sales opportunity,” said Jochen Duemler, CEO and head of Euler Hermes Americas Region. “While we continue to offer the most coverage possible under our customers’ existing policies, situations can arise where they would benefit from increased coverage on higher-risk buyers. This is where CAP is most effective.”
CAP provides coverage on trade credit receivables in both domestic and export markets, and is most beneficial to customers who need more coverage on partially approved or declined limits, have accounts receivable exposure above their approved limit, or have peak season, one-off or special sales opportunities. Euler Hermes CAP solutions are well-established in several countries, including Belgium, the Czech Republic, Germany, Finland, France, Italy, the Netherlands, Norway, Poland, Slovakia, Sweden and the UK.
In recent months, Euler Hermes also expanded its U.S. services with the addition of specialist Excess of Loss (XoL) and political risk insurance teams, both based in New York. The XoL solution offers large and multinational companies protection from exceptional trade credit losses through non-cancellable coverage, group buyer limits, full credit limit service, and local policies for foreign subsidiaries. Political risk insurance protects the foreign assets of large and multinational businesses against the risks of confiscation, expropriation and nationalization.
“Our focus at Euler Hermes is to help our customers make strategic trading decisions while also maintaining sound financial management,” said Duemler. “The addition of CAP continues our program to extend our innovative and well-rounded set of credit insurance services.”