As of the beginning of August, several Estonian companies have turned to the new credit insurance company that started its operations in July, and insured credit risks connected with their business partners in the total amount of over 130 million Estonian kroons. Estonian entrepreneurs have insured payment of invoices by their buyers, for instance, in the Baltic countries, Scandinavia, Italy, Ireland, Great Britain and also Estonia.

Anti Kuiv, the executive manager of ALSO Eesti AS, a leading information technology wholesale company, said that their company has insured their total turnover in the new insurance company, as the former international insurance partners have withdrawn from the local market due to evaluation of Estonia as too risky by distant head offices.

“KredEx Credit Insurance Ltd represents at last something that is done right in the right place at the right time. I believe that it supports the entrepreneurship in the whole of Estonia to a significant extent especially in the international context”, Anti Kuiv added.

Nason Davis Eesti OÜ, a company from Tartu operating in wood sector, decided to insure their turnover in Estonia and foreign markets to prevent unexpected loss due to long-term insolvency or bankruptcy of a partner.

“To stay competitive, one needs to focus on core activity. Credit insurance makes it possible for us to offer competitive payment terms to our European buyers without additional risks”, said Indrek Tani, executive manager of Nason Davis Eesti.

Toomas Agasild, chairman of the board of Viking Window AS, a company exporting windows and doors to almost ten foreign countries, said that in his opinion the cost of credit insurance is high, but still relatively low compared to problems due to possible credit loss.

“In current economic situation, the entrepreneurs of Estonia could pay much more attention to prevention of credit loss compared to the past. It only took a week for us to obtain an offer from KredEx Credit Insurance Ltd and conclude an insurance contract”, Toomas Agasild said.

KredEx Credit Insurance Ltd that obtained an activity permit on May 26^th 2010 and was founded by the state offers credit risk insurance to Estonian companies. Credit insurance manages buyer’s risks connected with export and domestic sales, and significantly facilitates expansion to new export markets.