Could Advanced Payment Protection help you?

Peace of mind for your business: Advanced Payment Protection (APP) minimises long term risks

APP covers advance payments made to a supplier. It reimburses the insured party in the event of non-delivery of pre-paid goods or services, where a refund is not given, as a result of protracted default, supplier insolvency or political risk.

What’s an ‘Advanced Payment’?

Sums paid under a contract in advance of delivery of goods or provision of services. It may also be called:

  • pro forma
  • deposit
  • upfront payment
  • pre-payment

Key Benefits

Knowing your advance payments are covered means you can:

✔ Switch to better value suppliers
✔ Import from new markets
✔ Potentially secure better financing terms
✔ Safely pay in advance on behalf of a Third Party (Third Party option)


Key Features Client Benefits
Risks covered include
− Protracted default
− Supplier insolvency
− Political risk
You can safely
− Switch to better value suppliers
− Source new products and services
− Import from new markets
High level of protection
− Up to 90% of the insured debt is paid out in the event
of a claim
Reassurance for your business and your funders
− Secure funding
− Better financing terms
Covers a single or series of advance payments during the contract period Benefit from advance payment discounts
– May cover all or part of the APP premium
Worldwide transactions
− Domestic and export
Source goods and services from new markets outside
usual areas
Cover available for prepayments made up to 12 months
in advance
Minimise the long-term risks to business
A bespoke third-party policy Peace of mind for agents
− Covered if you pay a supplier on behalf of a Third Party

For more information or to obtain a quotation, please do not hesitate to contact our Credit team or visit our dedicated Credit Insurance webpage.

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