Canadian insurance company Intact has entered the US trade credit insurance (TCI) market to serve what it says is “growing demand” from brokers and customers.

Intact already offers TCI in its home market of Canada, which it hopes will allow it to “seamlessly” roll out the product across the border, a spokesperson tells GTR.

Intact says it is focusing on SMEs across a range of industries. “Our primary focus lies in providing whole turnover solutions tailored to the SME markets, empowering these businesses to safeguard their receivables effectively,” the spokesperson says.  The product is now available in 17 states.

Intact Insurance Specialty Solutions, Intact’s US brand, last year hired ex-FCIA underwriter Pablo Brando as president of TCI for the US, and Brian Lavelle, formerly of Marsh, as vice-president.

“With Pablo’s leadership and more than 25 years of expertise, we are well positioned for success in the US market and to hit the ground running,” says Michael Seff, Intact’s senior vice president for specialty lines.

“In today’s economic landscape, trade credit insurance serves as a vital safeguard against default risk, enabling businesses to operate with confidence amidst heightened uncertainty,” says Jay Rampersad, Intact’s head of TCI for North America. “I look forward to working with the team to leverage our deep understanding of trade credit and deliver an outstanding product and service to our broker partners.”

Intact has ambitions to grow the subsidiary into a leading US insurer. In 2021 it paid US$1.7bn for OneBeacon, a specialty insurer.

In the US TCI market, Intact will compete with global trade credit insurers such as Chubb, Atradius and AIG, along with many smaller providers.