The global trade credit insurance market reached a value of US$ 10.9 Billion in 2021. Looking forward, the publisher expects the market to reach US$ 18.1 Billion by 2027, exhibiting at a CAGR of 9.12% during 2022-2027. Keeping in mind the uncertainties of COVID-19, we are continuously tracking and evaluating the direct as well as the indirect influence of the pandemic on different end use industries. These insights are included in the report as a major market contributor.
Trade credit insurance (TCI), or credit insurance, refers to a risk management tool that covers the payment risk involved with the purchase and delivery of goods or services. It is purchased to safeguard or overcome the financial losses in case of unforeseen insolvency, bankruptcy or protracted default in payment. It protects manufacturers, traders and service providers against losses from non-payment of a commercial trade debt. The insurance is usually available to credit card users with a low percentage monthly premium on the unpaid balance of the card. TCI is also used for insuring both domestic and international trade activities and providing coverage for whole or single turnover. As a result, it is widely used across various industries, including food and beverage, information technology (IT), telecommunication, healthcare, energy and automotive.
Significant growth in the banking, financial services and insurance (BFSI) industry across the globe is one of the key factors creating a positive outlook for the market. Moreover, the increasing requirement for effective solutions to protect and mitigate the risks of non-payment across various goods and service industries is providing a thrust to the market growth. With the rising import and export activities, organizations are widely investing in various financial tools, such as TCI and letters of credit (LC), to safeguard themselves from financial losses. In line with this, the increasing number of small and medium-sized enterprises (SMEs) is also contributing to the growth of the market. Various technological advancements, such as the launch of artificial intelligence (AI) and the Internet of Things (IoT)-enabled insurance solutions, are acting as other growth-inducing factors. These technologies aid in running automated business rules, self-learning models, network analysis, predictive analytics and device identification, which are highly beneficial for predicting risks. Other factors, including rapid digitization of the insurance sector, along with the implementation of favorable government policies promoting fair trade practices, are anticipated to drive the market toward growth.
The publisher provides an analysis of the key trends in each sub-segment of the global trade credit insurance market, along with forecasts at the global, regional and country level from 2022-2027. Our report has categorized the market based on component, coverages, enterprises size, application and industry vertical.
The competitive landscape of the industry has also been examined along with the profiles of the key players being American International Group Inc., Aon plc, Axa S.A., China Export & Credit Insurance Corporation, Chubb Limited (ACE Limited), Coface, Euler Hermes (Allianz SE), Export Development Canada, Nexus Underwriting Management Ltd., QBE Insurance Group Limited, Willis Towers Watson Public Limited Company and Zurich Insurance Group Ltd.
Trade credit insurance (TCI), or credit insurance, refers to a risk management tool that covers the payment risk involved with the purchase and delivery of goods or services. It is purchased to safeguard or overcome the financial losses in case of unforeseen insolvency, bankruptcy or protracted default in payment. It protects manufacturers, traders and service providers against losses from non-payment of a commercial trade debt. The insurance is usually available to credit card users with a low percentage monthly premium on the unpaid balance of the card. TCI is also used for insuring both domestic and international trade activities and providing coverage for whole or single turnover. As a result, it is widely used across various industries, including food and beverage, information technology (IT), telecommunication, healthcare, energy and automotive.
Trade Credit Insurance Market Trends:
Significant growth in the banking, financial services and insurance (BFSI) industry across the globe is one of the key factors creating a positive outlook for the market. Moreover, the increasing requirement for effective solutions to protect and mitigate the risks of non-payment across various goods and service industries is providing a thrust to the market growth. With the rising import and export activities, organizations are widely investing in various financial tools, such as TCI and letters of credit (LC), to safeguard themselves from financial losses. In line with this, the increasing number of small and medium-sized enterprises (SMEs) is also contributing to the growth of the market. Various technological advancements, such as the launch of artificial intelligence (AI) and the Internet of Things (IoT)-enabled insurance solutions, are acting as other growth-inducing factors. These technologies aid in running automated business rules, self-learning models, network analysis, predictive analytics and device identification, which are highly beneficial for predicting risks. Other factors, including rapid digitization of the insurance sector, along with the implementation of favorable government policies promoting fair trade practices, are anticipated to drive the market toward growth.
Key Market Segmentation:
The publisher provides an analysis of the key trends in each sub-segment of the global trade credit insurance market, along with forecasts at the global, regional and country level from 2022-2027. Our report has categorized the market based on component, coverages, enterprises size, application and industry vertical.
Breakup by Component:
- Product
- Services
Breakup by Coverages:
- Whole Turnover Coverage
- Single Buyer Coverage
Breakup by Enterprises Size:
- Large Enterprises
- Medium Enterprises
- Small Enterprises
Breakup by Application:
- Domestic
- International
Breakup by Industry Vertical:
- Food and Beverages
- IT and Telecom
- Metals and Mining
- Healthcare
- Energy and Utilities
- Automotive
- Others
Breakup by Region:
- North America
- United States
- Canada
- Asia-Pacific
- China
- Japan
- India
- South Korea
- Australia
- Indonesia
- Others
- Europe
- Germany
- France
- United Kingdom
- Italy
- Spain
- Russia
- Others
- Latin America
- Brazil
- Mexico
- Others
- Middle East and Africa
Competitive Landscape:
The competitive landscape of the industry has also been examined along with the profiles of the key players being American International Group Inc., Aon plc, Axa S.A., China Export & Credit Insurance Corporation, Chubb Limited (ACE Limited), Coface, Euler Hermes (Allianz SE), Export Development Canada, Nexus Underwriting Management Ltd., QBE Insurance Group Limited, Willis Towers Watson Public Limited Company and Zurich Insurance Group Ltd.
Key Questions Answered in This Report:
- How has the global trade credit insurance market performed so far and how will it perform in the coming years?
- What has been the impact of COVID-19 on the global trade credit insurance market?
- What are the key regional markets?
- What is the breakup of the market based on the component?
- What is the breakup of the market based on the coverages?
- What is the breakup of the market based on the enterprises size?
- What is the breakup of the market based on the application?
- What is the breakup of the market based on the industry vertical?
- What are the various stages in the value chain of the industry?
- What are the key driving factors and challenges in the industry?
- What is the structure of the global trade credit insurance market and who are the key players?
- What is the degree of competition in the industry?
Frequently Asked Questions about the Global Trade Credit Insurance Market
What is the estimated value of the Global Trade Credit Insurance Market?
What is the growth rate of the Global Trade Credit Insurance Market?
What is the forecasted size of the Global Trade Credit Insurance Market?
Who are the key companies in the Global Trade Credit Insurance Market?
| Report Attribute | Details |
|---|---|
| No. of Pages | 147 |
| Published | March 2022 |
| Forecast Period | 2021 - 2027 |
| Estimated Market Value ( USD | $ 10.9 Billion |
| Forecasted Market Value ( USD | $ 18.1 Billion |
| Compound Annual Growth Rate | 8.8% |
| Regions Covered | Global |
| No. of Companies Mentioned | 12 |
Table of Contents
1 Preface3 Executive Summary13 Value Chain Analysis15 Price Analysis
2 Scope and Methodology
4 Introduction
5 Global Trade Credit Insurance Market
6 Market Breakup by Component
7 Market Breakup by Coverages
8 Market Breakup by Enterprises Size
9 Market Breakup by Application
10 Market Breakup by Industry Vertical
11 Market Breakup by Region
12 SWOT Analysis
14 Porters Five Forces Analysis
16 Competitive Landscape
List of Figures
List of Tables
Companies Mentioned
- American International Group Inc.
- Aon plc
- Axa S.A.
- China Export & Credit Insurance Corporation
- Chubb Limited (ACE Limited)
- Coface
- Euler Hermes (Allianz SE)
- Export Development Canada
- Nexus Underwriting Management Ltd.
- QBE Insurance Group Limited
- Willis Towers Watson Public Limited Company
- Zurich Insurance Group Ltd.
Methodology
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