Many Israeli companies have subsidiaries abroad (marketing companies, manufacturing companies or a combination of the two).
ICIC currently insures over 180 subsidiaries of Israeli companies that operate abroad. The insurance includes the subsidiaries’ credit sales to end clients worldwide, covering both trade and political risks.
ICIC allows the insured Israeli mother company to decide whether to manage each subsidiary’s policy through the mother company in Israel, or for each subsidiary to work directly with ICIC. The mother company can even decide on a combination of the two (for example: the mother company pays the premiums, while the management of the coverage and the reporting are handled by the subsidiaries).
ICIC offers clients an advanced online system that allows them to manage policies at their convenience, via the internet, from anywhere in the world and at any time.
The mother company in Israel and the subsidiaries abroad enjoy many benefits that are not applicable if each subsidiary is insured by a different credit insurer:
Credit Insurance – Marketing Channels
Many exporters have various marketing channels overseas (in addition to subsidiaries). These include: agents, export companies, forward warehouses, etc.
ICIC offers credit insurance between the marketing channel and the end customer. In such cases, the insurance is valid from the moment of the sale by the marketing channel to the clients. When the marketing channel is in a country that possess a political risk, ICIC insures the marketing channel’s non-payment of sales revenue to the policyholder in Israel due to a political event. Goods stored abroad can also be insured against confiscation, nationalization and similar political risks.
In certain cases sales transacted by a distributor who is not controlled by the policyholder can be insured, when the distributor’s rights to the revenues from the client can be nullified.