Credit Insurance Premium Estimator

What this tool does

This estimator generates an indicative premium rate for trade credit insurance based on your covered turnover, buyer geography, industry sector, and payment terms. The output is expressed in basis points of insured receivables, giving you a starting point for budget planning before engaging brokers or insurers directly.

The tool also provides guidance on typical per-buyer credit limits you might expect under a whole-turnover policy. These figures help you understand whether your largest exposures are likely to fall within standard underwriting appetite or require negotiation for discretionary limits.

Who should use it

AR managers evaluating whether credit insurance makes sense for their receivables portfolio. Treasury and finance leads building cost models for new market entry. Export managers comparing the economics of open-account terms against letters of credit. The estimator is most useful during early-stage planning when you need directional numbers before requesting formal quotes from Allianz Trade, Atradius, Coface, or regional insurers.

Inputs

• Covered turnover (USD): Annual insured receivables in US dollars. Enter the total value of buyer invoices you intend to cover, not your gross revenue.
• Buyer-country mix (percentages): Allocate your covered turnover across country risk tiers. The tool groups countries into low-risk (OECD high-income), medium-risk (investment-grade emerging markets), and high-risk (frontier or elevated sovereign risk). Percentages must sum to 100.
• Industry sector: Select from manufacturing, commodities, services, or distribution. Insurers price differently based on sector loss history and recovery rates.
• Average DSO (days): Your weighted-average days sales outstanding across covered buyers. Longer tenors increase exposure duration and premium cost.
• Policy type: Whole-turnover (covers all or most buyers) or single-buyer (named-buyer policy for concentrated exposures). Single-buyer policies carry higher per-unit premiums but allow selective coverage.

Assumptions

The estimator assumes you are seeking non-cancellable credit limits with a 90% indemnity ratio, which is the market standard for most whole-turnover policies. It also assumes a 180-day maximum credit period and no pre-existing claims history. Premium rates are modeled on publicly available guidance from major insurers and reflect normalized market conditions rather than hard-market or soft-market extremes.

Country-risk tier assignments follow OECD country-risk classifications and Berne Union loss experience data. The tool does not account for buyer-specific financials, so actual underwriting will adjust rates based on individual buyer creditworthiness, concentration, and your own claims record.

Limitations

This tool does not replace a formal quote from an insurer or broker. Actual premiums depend on underwriting factors not captured here: your company's financial strength, loss history, buyer credit reports, policy structure (aggregate vs. named-buyer limits), and current insurer appetite for your sector and geography.

The estimator does not model political-risk-only coverage, contract frustration, or pre-shipment risk extensions. If you need these add-ons, expect incremental premium loading. For single-buyer policies on distressed or unrated counterparties, insurers may decline coverage entirely or require collateral structures outside standard policy terms.

How results are calculated

The premium rate starts with a base cost reflecting a diversified OECD-only portfolio at short tenors (30 to 60 days DSO). This base is approximately 15 to 25 basis points of insured turnover for whole-turnover policies in low-risk manufacturing sectors, per publicly available Allianz Trade and Atradius guidance.

The tool then applies multipliers for country-risk mix, sector, and tenor. Medium-risk country exposure adds 10 to 20 basis points; high-risk exposure adds 25 to 50 basis points, weighted by your allocation percentages. Commodities and distribution sectors carry a 10 to 15 percent loading over manufacturing due to higher volatility and thinner margins. Each 30-day increment in DSO beyond 60 days adds roughly 5 basis points.

Single-buyer policies are priced at a multiple of whole-turnover rates, typically 2x to 3x, because the insurer cannot diversify risk across your portfolio. The per-buyer credit-limit guidance is derived from Berne Union aggregate data on typical limit sizes relative to insured turnover, adjusted for buyer-country risk tier.

Sources and data freshness

• Allianz Trade: Understanding Credit Insurance Pricing
• Atradius: Trade Credit Insurance Explained
• Berne Union: Export Credit and Investment Insurance Data

Last data refresh: 2026-05-05.

Disclaimer

This estimator provides indicative figures for planning purposes only. It does not constitute an insurance quote, financial advice, or underwriting commitment. Actual premiums, credit limits, and policy terms depend on insurer underwriting, your claims history, and buyer-specific credit assessments. Before binding coverage, obtain formal quotes from licensed insurers or brokers and review policy wording with qualified counsel.