Credit Insurance Committee

Niels Enevoldsen

As it happened to everything else, COVID-19 Pandemic influenced the work of the Credit Insurance Committee too. After the cancellation of the spring meeting, a virtual conference was arranged by ICISA.

Members were happy finally to meet for a short session. The main topic of the Autumn Meeting was the share of information on how to navigate in these difficult times. During a tour de table members could share information about the markets and claims development in their enterprises. There was a lively sharing of information and a huge interest about the situation in each company and country. The conclusion was that members have not seen yet a significant increase in numbers of insolvencies as expected due to Covid-19. The impression is that state aid packages have been effective so far. These packages are now running out, and uncertainty remains since the health crisis is not yet over with financial impact as a result.

Credit Insurers face a long unwanted break in normal activity and the need for extension of state support schemes were discussed. Pros and cons came up, but it turns out that negotiations in many countries about extension into 2021have already taken the first initial steps. The difficult part seems to be when and how to exit these schemes and this will most likely be a topic for the committee in the upcoming months.

Besides that, the committee will closely monitor the claims development, business climate, along with trade sector challenges and share information and experience.

Being in a Global crisis and the impact it has on the daily work leaves other important topics on hold. But as soon as we return to a more normal situation the committee will again have discussions about disruption, use of new technology/data and how to work with banks including deeper insight to the Basel 4 rules. Topics like “two

Niels Enevoldsen

Chair of the Credit Insurance Committee Company: Tryg Garanti

Insurance Companies sharing a client” and hold cover situations can become even more relevant, especially if companies and countries decide to go in different directions.

I believe more topics will come up - even topics the committee has not thought about in the past, since the future for businesses can turn out completely different “on the other side”.

Credit Insurance seems to become even more relevant as a tool to protect a business and it will lead on to new exiting developments. I see a great future for the Credit Insurance Committee to share experience entering new areas with all that follows in relation to legal and insurance technical questions.