According to FT, Amlin has decided not to write any more trade credit insurance, which provides cover to suppliers against the risk of their purchasers failing to pay their bills. The UK market is apparently estimated by the Association of British Insurers at £330m, with Amlin having about 4% of the market. The market is dominated by three other players - Atradius, Coface and Euler Hermes. The news apparently reflects the difficulties other trade credit insurers may have with finding reinsurance when those contracts come up for renewal at the year-end.
More doom and gloom. The surprising thing is that I would have expected the UK trade credit insurance market to be much bigger than this actually...
