Private sector HDFC Ergo General Insurance today entered the nascent trade credit insurance segment offering cover to corporates against possible defaults by their clients.
Already two state-owned companies New India and United, and private sector players like ICICI Lombard, Bajaj Allianz and Iffco Tokio offer similar products.
"Existing six players in the segment are underwriting premia to the tune of Rs 150-200 crore annually and we hope to sell around 100 policies in this segment over next 18 months," HDFC Ergo executive director Mukesh Kumar told PTI.
"While the state-owned ECGC is also selling such policies, these policies are available only for export-oriented firms, whereas we will also make it available for domestic clients as well," he added.
HDFC policy will offer cover against payment defaults and insolvency, apart from providing political risk cover to exporters, he added.
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