Insurance technology company Bondaval has launched a new trade credit policy to complement its existing products in the space.

The product will be available through Bondaval’s online platform, which aims to reduce the administrative burden of trade credit insurance management by sharing access to customers’ live accounts receivable data and allowing for the automation of certain obligations, a company spokesperson tells GTR.

The product will launch initially in the UK and EU. It is backed by Great American International Insurance (UK) Ltd and Great American International Insurance (EU) DAC, with support from Great American’s specialist trade credit and political risk insurance division, FCIA. Bondaval will underwrite the policy, which is rated A+ by S&P.

It has an approximate minimum premium of £75,000 and allows for policies with aggregate limits in the billions of pounds.

Bondaval CEO Tom Powell tells GTR the company hopes this offering will expand its portfolio to cover companies outside of its traditional blue-chip domain.

“While we were offering the MasterBond solution [the company’s non-payment guarantee], we encountered a number of very interesting opportunities that we’d like to be able to pursue,” he says”

“In order to do so, we wanted to give ourselves a bit more freedom in onboarding certain types of clients and a bit more flexibility that’s given by having a little more conditionality associated with the wording. It gives us and our insurance partners a little bit more protection to operate at scale across different industries and across different geographies.”

This conditionality means that unlike MasterBond, which is always non-cancellable and offers 100% coverage, Bondaval’s trade credit insurance product can offer more varied terms to clients based on their risk portfolios. This, Powell hopes, will allow the company to bring on some of the “very strong” mid to large-market-cap companies in its existing sectors.

Whilst offering a wider range of terms can benefit both sides, it also leads to time spent on administration and increases the risk of accidental non-compliance with a policy. Bondaval aims to help credit managers keep up to date with what’s required through  its technology platform, which it describes as a “consumer-level digital experience” and making use of familiar policy language to ensure ease of adoption.

This is the latest in a string of growth-oriented moves made by Bondaval in the last year. In late May, it launched reinsurance vehicle Bondaval Re following a US$15mn capital raise led by Dawn Capital, which has also invested in tech startups like iZettle and Mimecast.

The company hired a former Aon and Markel executive as chief underwriting officer in February and in November last year it hired a new UK business development head, also from Markel.