IN 2022, ACCOUNTS RECEIVABLE INSURANCE PROVIDERS INSURED TURNOVER WORTH PLN 710,901 MILLION. THIS MARKS AN INCREASE OF 10 PERCENT COMPARED TO 2021. THE AGGREGATE VALUE OF THE TURNOVER INSURED CORRESDPONDS TO 26.6 PERCENT OF POLAND’S GDP. IN 2022, ACCOUNTS RECEIVABLE INSURANCE PROVIDERS PAID COMPENSATION OF THE TOTAL VALUE OF PLN 219.6 MILLION, I.E. 49 PERCENT MORE THAN IN 2021.
In 2022, insurance companies collected PLN 1,072 million in premiums, which means an increase of 18 percent compared to the previous year. This is primarily the result of insuring much higher exposure, i.e. the total value of buyer credit limits awarded to recipients of the businesses insured. The exposure increased as much as 26 percent y/y.
“Increased payouts in account receivable insurance results from deteriorated liquidity of enterprises compared to 2020, when they operated in conditions of plentiful money supply. Deteriorated liquidity in the economy is also confirmed by the total value of receivables requested to be collected under insurance policies, which was as high as PLN 1,323.4 million. Not all amounts to be collected have become claims; a significant part of them remains unpaid. Yet, this value means that a number of enterprises make payments to their suppliers on the last possible date”, says Andrzej Maciążek, Vice-President of PIU Management Board.
Market experts are of the opinion that deteriorated liquidity persists in the first quarter of the current year.
Especially now, in increasingly more difficult macroeconomic conditions, the account receivable insurance is important for economic stability. Insurance companies support businesses by, without limitation, providing business information, assisting in managing the limits of buyer credit for each recipient of goods and services, participating in the process of debt collection and, primarily, paying out compensation in case invoices remain unpaid. With such broad support, businesses can maintain profitability and develop despite poor economic conditions.
The economic significance of account receivable insurance can also be seen on multiannual basis. Since 2015, the value of total exposure insured has doubled, and the total value of turnover insured has increased by 65 percent. This proves that the insurance cover of this type is increasingly more important for entrepreneurs.