Does accounts receivable insurance cover lost or damaged records?

Records recovery: An accounts receivable insurance policy can cover the cost of recovering your lost or damaged accounts receivable records. For example, if you needed to hire an IT professional to recover the lost data, your insurance would pay for it up to the credit limit.

Why do companies need accounts receivable insurance?

An accounts receivable insurance policy allows companies to feel secure in extending more credit to current customers, or to pursue new, larger customers that would have otherwise seemed too risky. The protection it provides allows a company to increase sales to grow their business.

What is accounts receivable insurance?

Accounts receivables are created when a company lets a buyer purchase their goods or services on credit. In addition to covering direct losses due to non-payment, AR insurance will often also cover indirect costs, such as interest payments due on loans secured by receivables.