Credit insurance is a type of coverage that protects businesses from the risk of non-payment by their customers. If a customer fails to pay their invoice due to insolvency or other reasons, credit insurance helps the business recover some or all of the lost revenue. This allows companies to manage their cash flow and reduce financial uncertainty. There are different types of credit insurance, including trade credit insurance and export credit insurance. Trade credit insurance covers domestic sales, while export credit insurance protects businesses selling goods internationally. Both types help businesses confidently extend credit to customers, knowing they have a safety net in place.