Sian Houwaart joined CreditDevice on June 1 as Sales Manager. He transferred from AON, where he was Trade Credit Consultant. “Thirty percent of all rejected claims are the result of collection files entered too late. There’s just a good chance that in the hustle and bustle of the day, you set other priorities.”
Why did you come to work at CreditDevice?
“Working with credit insurance is very diverse, which is probably why I’ve been working in this industry my whole career. Sometimes I sit with a CFO of a large construction company or a fruit grower, other times I sit at the kitchen table with a sole proprietor. Credit insurance is complex, intricate and requires your attention on a daily basis. All my clients asked: couldn’t it be easier? I saw a huge need for automation because that is golden for a company. That’s how I came across CreditDevice’s PolicyManager. At first I was skeptical: seeing is believing. And when I saw it, I immediately said: this is a no brainer for any credit insurer.
What are most questions from credit-insured customers about?
“Coverage. I think 60 to 70 percent is about that. Especially about credit limits, which is what a whole customer service team is set up to do. Can’t the coverage go up? And why not? Are there numbers for that and which ones?”
“You don’t put credit insurance in a drawer until you need it; it’s a living policy.”
Why is this coverage so important?
“As you start doing more business with a customer, you want higher coverage. Maintaining coverage is an ongoing process. In addition, the policy terms of credit insurance are often complex. You don’t put credit insurance in a drawer until you need it; it’s a living policy.”
What does a broker do?
“About 80 percent of credit insurance goes through a broker. Well-known names are Marsh, Finance & Insurance and Xolv. Brokers are generally available to their clients day and night and deal directly with the insurer. In addition, brokers come into the picture when renewing a contract to ensure the best terms. Brokers are also very happy with the PolicyManager.”
What is so unique about the PolisManager?
“The PolicyManager is the only tool of its kind that helps credit insureds meet their obligations. CreditDevice developed this product in conjunction with Atradius, Coface and Allianz Trade, formerly Euler Hermes.”
Is credit insurance so complicated that software is needed to manage it?
“That’s not so much the point. It is difficult for entrepreneurs to fully understand credit insurance and thus apply all the modules correctly. If you have to delve into that too on a busy day, chances are you’ll think: I’ll look into that tomorrow. Credit insurance has such specific timelines that you quickly run the risk that an insurer will not pay out. CreditDevice’s software ensures that these conditions are automatically monitored and adhered to.”
“I dare say confidently: every credit-insured customer to whom I show the PolicyManager is enthusiastic.”
How often does that occur?
“Thirty percent of all rejected claims result from a late collection file. There’s just a good chance that in the hustle and bustle of the day, you have other priorities. And if something happens and the insurance company doesn’t pay out because you didn’t adhere to the terms and conditions, you come home cold. With the PolicyManager, you always know exactly when you need to turn something in. In fact, you get automatic notifications of that.”
For whom is the PolicyManager interesting?
“I can safely say: every credit-insured customer I show the PolicyManager to is enthusiastic. In our eyes, and also those of the brokers, the PolicyManager is of interest to every credit-insured company.”
When will companies start thinking about credit insurance?
“If an invoice is not paid. That may sound silly, but it’s just true. Once you have write-offs to the point where it’s going to cost you your head or you don’t want to bear the risk anymore, that’s when you end up with credit insurance.”
What does the future look like for credit insurance?
“This is purely personal: I think we are moving to an online marketplace, where companies say: I have a debtor here, who has the best offer? This is not only about price, but also about conditions. Consumers already compare insurance online at Independer or Pricewise. For Credit Insurers, however, this will be a lot more complex as the whole business model will have to be changed. That’s why I think that, if it will come to this at all, it will be years before it actually does.”
