What is Trade Insurance Market?
Global trade has changed significantly since the financial crisis and the collapse of Lehman Brothers in 2008, which spread protectionism and nationalism amid global economic and political volatility. To fill the gap left by banks shrinking their balance sheets, commercial transactions have been increasingly supported by structured credit modalities carried out by factories, financing ‘Accounts Receivable’ in local and international currencies. The Covid-19 crisis is further transforming the trade credit market. The sector may reach USD 10 trillion in volume globally by 2030. Trade credit insurers are also impacted by the Covid-19 crisis. With an expectation of increasing loss trends in the short term, indemnity reserves may need to be established. The market appetite following Covid-19 may be a little different from what we saw in the past decade. Countries like France, Germany, and the Netherlands have introduced measures offering support to the trade credit insurance industry through guarantees backed by public funds, allowing insurers to maintain limits and capacity. In turn, insurers transfer part of the premium collected to the government. This is an interesting and creative tool that if adopted in other countries such as in Brazil could not only protect the credit insurance industry but perhaps most importantly, guarantee access to commercial credit which is vital for the economy.
The market study is being classified by Type (Property/Cargo Insurance, Product Liability Insurance, Foreign Currency Exchange Insurance, Trade Credit Insurance and Others) and major geographies with country level break-up.
HCC International (United Kingdom), Travelers (United States), Euler Hermes (France), Credimundi (Belgium), ACE (United Kingdom), Argo Surety (United Kingdom), Zurich (Switzerland), AIG (United States), Novae Group plc (United Kingdom), SACE BT (Italy), Atradius (United Kingdom) and Aon (United Kingdom) are some of the key players profiled in the study. Additionally, the Players which are also part of the research are QBE, Coface, Groupama Assurance Crédit, Euler Hermes, FCIA., IFFCO-Tokio General Insurance Company Limited, Atradius and Nippon Export and Investment Insurance.
Research Analyst at AMA predicts that European Players will contribute to the maximum growth of Global Trade Insurance market throughout the predicted period.
AdvanceMarketAnalytics has segmented the market of Global Trade Insurance market by Type, Application and Region.
On the basis of geography, the market of Trade Insurance has been segmented into South America (Brazil, Argentina, Rest of South America), Asia Pacific (China, Japan, India, South Korea, Taiwan, Australia, Rest of Asia-Pacific), Europe (Germany, France, Italy, United Kingdom, Netherlands, Rest of Europe), MEA (Middle East, Africa), North America (United States, Canada, Mexico). North America region held largest market share in the year 2019. Europe on the other hand stood as second largest market due to the presence of key companies into the region and high technological advancement. Additionally, the rising demand from SMEs and various industry verticals gives enough cushion to market growth.
- Growing Popularity of Online Sales Channel
- Rapidly Growing International Trade Volumes
- Political Events, Economic Downturns, and Natural Disasters Fuels the Need of Trade Insurance Coverage
- The lack of technical expertise
- COVID 19 pandemic is further increasing uncertainty and protectionism in global trade which is set to boost demand for trade credit insurance.
- Emerging Demand from Developing Countries
Key Target AudienceTrade Insurance Providers, Government Regulatory Bodies, Private Research Organization, Government Research Organization and Others
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Data related to EXIM [Export- Import], production & consumption by country or regional level break-up can be provided based on client request**
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