Global Credit Insurance Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Credit Insurance Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Credit insurance refers to an insurance in which the oblige insures the debtor's credit risk from an insurance company, and is an insurance product used by an enterprise for risk management. Its main function is to ensure the security of enterprise accounts receivable. Its principle is to transfer the debtor's guarantee responsibility to the insurance company, and when the debtor fails to fulfill its obligations, the insurance company shall bear the liability for compensation.

Market Overview:

The latest research study on the global Credit Insurance market finds that the global Credit Insurance market reached a value of USD 12364.71 million in 2022. It’s expected that the market will achieve USD 14288.99 million by 2028, exhibiting a CAGR of 2.44% during the forecast period.

COVID-19 has reduced the scope of credit insurance business and impacted the operation of small enterprises

Due to the increasing uncertainty caused by the recent surge in COVID-19 infection rate, the business coverage of all industries including retail has been reduced to varying degrees. Trade credit crunch is more serious. Before COVID-19, suppliers usually relied on trade credit insurance to obtain the guarantee needed to design products, receive orders and deliver them to retailers. Now, because COVID-19 has caused great economic uncertainty, many retailers are in crisis, and credit insurance companies are unwilling to take this risk. In fact, many insurance companies only provide protection for orders from large stores and other stores that can resist the epidemic, thus causing a large number of unnecessary small and medium-sized retailers to get into trouble.

Each country has strict supervision over the insurance industry

Because of its particularity, the insurance industry has strict supervision. The clients of insurance industry include all sectors and strata of the whole society. Therefore, if an insurance company fails to operate properly, it will cause serious damage to the interests of the insured. In addition, insurance pricing also needs government supervision, because its pricing is a professional technology, which is difficult for general policyholders to master. Therefore, all regions have strict control over the solvency, market behavior and insurance pricing of insurance companies.

Insurtech promotes the development of the industry

Globally, the opportunities provided by innovation and technological progress are driving unprecedented changes. The insurance industry is no exception. Insurtech refers to the use of technology innovations designed to squeeze out savings and efficiency from the current insurance industry model. By using data analysis and AI technology, Insurtech can make the pricing of products more competitive. Insurtech is exploring avenues that large insurance firms have less incentive to exploit, such as offering ultra-customized policies, and using new streams of data from Internet-enabled devices to dynamically price premiums according to observed behavior.

Region Overview:

In 2021, the share of the Credit Insurance market in Europe stood at 50.87%.

Company Overview:

Sinosure is one of the major players operating in the Credit Insurance market, holding a share of 23.73% in 2021.

Sinosure

China Export & Credit Insurance Corporation is a state-funded and policy-oriented insurance company established and supported by the state to promote China foreign economic and trade development and cooperation. As an independent legal person, SINOSURE was officially launched and put into operation on December 18, 2001, whose service network now covers the whole country.

Euler Hermes

Euler Hermes origin dates back from the creation of SFAC in France in 1918. In 1998, SFAC continued expanding by acquiring in ACI-created in the US back in 1883-and SIAC-an Italian company created in 1927. In 2003, the Group and all its subsidiaries adopted the name Euler Hermes, before continuing to expand in Asia Pacific, Middle East and Latin America, but also in Europe by raising stake to COSEC, the market leader in Portugal to 50% in 2007. Euler Hermes is the global leader in trade credit insurance and a recognized specialist in the areas of surety, debt collection, fraud insurance, structured trade credit and political risk. Euler Hermes proprietary intelligence network analyses daily changes in corporate solvency representing 98% of global GDP. Euler Hermes 5,800 employees in over 50 countries with 80 nationalities.

Segmentation Overview:

As for product types, the Commercial Insurance segment held the largest market share in 2021.

Commercial Insurance

It means that in commercial activities, one of the parties as the right holder requires the insurer to treat the other party as the guarantor, and to undertake the insurance for the loss of commercial interests due to the credit risk of the guarantor.

Export insurance

Export credit insurance is a policy support measure taken by governments of various countries to improve the international competitiveness of their products, promote their export trade, ensure the safety of exporters' collection of foreign exchange and credit security of banks, and promote economic development. It is backed by national finance and provides risk protection for enterprises in economic activities such as export trade and foreign investment. It belongs to non-profit insurance business.
Investment Insurance
Investment insurance, also known as political risk insurance, covers the loss of investors' investment due to the insured political risk. Insured persons of investment insurance are overseas investors. The main purpose of investment insurance is to encourage capital export.

Application Overview:

The market's largest segment by application is the segment Export Trade, with a market share of 71.33% in 2021.

Domestic Trade

Domestic trade refers to the exchange of goods or services within an individual country or territory. In this type of trade scenario, the market is constrained by the borders of that country, so that all products must be bought and sold by people living within the domestic market.

Export Trade

Export trade refers to the sale of goods produced or processed in China to overseas markets. Goods imported from overseas areas are not consumed in China and exported overseas again without domestic processing, which is called re-export.

Key Companies in the global Credit Insurance market covered in Chapter 3:

Atradius
Chubb
Cesce
Zurich Insurance Group Ltd
Aig
Sinosure
Euler Hermes
Coface
Nexus
Credendo Group
QBE Insurance Group Ltd

In Chapter 4 and Chapter 14.2, on the basis of types, the Credit Insurance market from 2018 to 2029 is primarily split into:

Commercial Insurance
Export Insurance
Investment Insurance

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Credit Insurance market from 2018 to 2029 covers:

Domestic Trade
Export Trade

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)