One of the major functions of business is credit. Without good credit, there’s pretty much no hope for your business. But with great credit, pretty much the sky is the limit. For businesses that rely heavily on their accounts receivable, an increased liability becomes present, because, well, they have to act as if the money is already there, when in reality it may not be in there possession yet.
That’s why there’s a special policy called accounts receivable insurance. Basically, this policy gives businesses the peace of mind in knowing that in the event of a loss, they will still receive the payments due to them from other businesses. This policy is especially great for businesses that are growing and continuing to issue more lines of credit to other companies. If your company goes without accounts receivable insurance and your business suffers a loss, then those precious billing records are lost forever, and you’re without proper payment.
Take a few minutes to watch this great video provided by the folks over at Rough Notes that spells out everything you’d ever need to know about accounts receivable insurance:
If you have any further questions about any of your business’s insurance policies, then give Paradiso Insurance a call today or stop on down to our office on East Main Street, Stafford Springs!