When selling goods or services on credit terms there is always the risk of protracted default, insolvency or bankruptcy of the buyers. Economic uncertainty continues to make trade credit insurance essential for domestic and international suppliers to protect their accounts receivable.
Understanding the complex coverage issues that can exist under trade credit policies is essential. We have been involved in drafting policy wording and coverage for insurers and their insured businesses, negotiated insurance terms, coverage and credit limits.
Obtaining fast relief under trade credit insurance policies is essential for businesses and we work swiftly when there is a default to determine the cause and find the most way to achieve resolution. The cause of default can be triggered by a myriad of different circumstances, and often there are competing contractual, insurance and property claims at play.
We work with insurers and insured businesses to achieve mediated outcomes where at all possible but if this is not possible, have a formidable litigation team with an excellent track record of success. We have experience in negotiating terms and resolving disputes on single transactions and portfolios of goods. We have advised on trade credit policies from private insurance companies, government export credit agencies and reinsurers. We have also prosecuted substantial claims on behalf of insureds against trade credit insurers. When the initial claim is settled, we work with insurers on recovery actions.
We achieved a successful mediated outcome in a $3 million dispute between a petroleum company and a major trade credit insurer for damages for breach of contract in Queensland.
Advised various insurers on policy coverage concerning numerous claims made under trade credit policies arising out of the failure of SAMIR, a Moroccan based oil refiner that was placed into liquidation owing its creditors US$4.8 billion.