Brief: trade credit insurance claims on the rise
Analysis of market activity by trade credit insurance broker NCI shows Australian businesses have increased the size and frequency of their claims by 25 per cent in the three months to March 2022, while collections are up by 30 per cent against the previous quarter. The bulk of claims made against trade credit insurance policies came from businesses in Victoria (31 per cent) and Qld (26 per cent). The NCI trade credit risk index score is based on an aggregate of claims data, collection activity, credit limit decisions and overdue accounts. This quarter also coincides with a rise in "serious overdues" being reported.