The process for filing a credit insurance claim involves several key steps. Here’s a general outline:

1. Verify Eligibility:

• Review Your Policy: Carefully check the terms of your policy to ensure the loss falls within the covered events (e.g., insolvency, protracted default).
• Notice Periods: Your policy will have deadlines for notifying the insurer of a potential claim. Abide by these to avoid jeopardizing coverage.

1. Gather Documentation:

• Evidence of Debt: Proof of the outstanding invoice(s), contracts, and communication records regarding payment attempts.
• Proof of Loss: Documentation demonstrating the cause of default. This could include:
  • Insolvency filings or notices of bankruptcy
  • Evidence of dishonored payments (bounced checks, etc.)
  • Official communications indicating the buyer has ceased operations

1. Notify the Insurer:

• Designated channels: Follow your insurer’s specific procedures for claim initiation. They might have forms and specific contact channels.
• Provide Details: Be prepared to give the insurer full information about the buyer, the amount of the loss, and supporting documentation.

1. Claim Review and Investigation:

• Insurer’s Assessment: The insurer will thoroughly review your claim and the supporting documents to verify that it meets the policy requirements.
• Additional Information Requests: They might request more details or clarification during the process.
• Investigation: The insurer might conduct their own investigation into the buyer’s financial situation.

1. Claim Decision:

• Approval: If your claim is deemed valid, the insurer will approve it and determine the payout amount in line with your policy’s deductible and coinsurance.
• Disapproval: If the claim is denied, the insurer will provide a detailed explanation of the reasons. You might have options to appeal or provide additional evidence.

1. Payout:

• Timing: Once the claim is approved, the insurer will issue the claim payment as per the agreed terms.

Important Tips:

• Start Early: Notify the insurer of potential losses as soon as possible, even if you haven’t exhausted all collection efforts.
• Document Everything: Maintain meticulous records of all communication with the buyer and your collection attempts.
• Work with the Insurer: Cooperate fully with the insurer during the claims process and respond promptly to their requests.

Note: Specific claim procedures may vary slightly between insurers. Always refer to your policy documents and contact your insurer for their exact instructions.