October 6, 2015 by Canadian Underwriter
The Receivables Insurance Association of Canada (RIAC) announced on Monday an 8% growth in direct premiums totalling about $111.4 million during the first two quarters of 2015.
In the first half of 2015, ending June 30, Canadian underwriters carried 6,802 receivables insurance policies compared to 6,598 policies in the same period last year, the RIAC said in a press release.
“Canada’s place in the global trade picture has become more uncertain as commodity prices are buffeted by falling global growth and regional conflicts continue,” said Mark Attley, the association’s president, in a statement. “That’s why we’re seeing more Canadian companies turning to insurance that protects their receivables from buyers in Canada or abroad that are unable to fulfill their invoice payment obligations, or from political disruptions that lead to a loss on current receivables.”
Attley added that receivables insurance in Canada supports 610,000 jobs in insured companies, and helps facilitate over $74 billion of Canada’s GDP.
On Thursday, Oct. 8 the RIAC is sponsoring a symposium in Toronto entitled Canada’s Free Trade Agreements – Global Opportunity or Threatened by Protectionism? The symposium topic will be discussed and debated by two economists and an international trade expert.
The RIAC promotes the business opportunity for receivables insurance – also known as trade credit insurance – to Canadian insurance brokers, the banking industry and businesses engaged in domestic trade and exporting. The association also works to advance industry innovation and product integrity, solve any business problems related to government legislation, and represent the interests of its members by facilitating an open exchange of information and ideas.