RIAC News

David Dienesch, Chair of the Receivables Insurance Association of Canada (RIAC) was a panelist on this webinar presented by Canadian Underwriter on June 23.The discussion focused on how Canadian P&C brokerages and their clients can protect their receivables when cash is tight. You can listen to the webinar by clicking the button below.

Ottawa, ON – May 7, 2020 – The Receivables Insurance Association of Canada (RIAC) is pleased to announce that RIAC members Export Development Canada (EDC), Euler Hermes, Atradius, Coface Canada and The Guarantee Company of North America have collaborated to bring much needed credit capacity to support Canadian businesses impacted by the COVID-19 pandemic.

Trade Partnership Insurance (TPI) is a select buyer reinsurance product that is intended to provide the Canadian-based private credit insurers with additional credit capacity.

Ottawa, ON – March 30, 2020 – The Receivables Insurance Association of Canada (RIAC) is pleased to announce that RIAC members, in partnership with fellow RIAC member Export Development Canada (EDC), are participating in the Government’s laudable support for Canadian businesses though the COVID-19 crisis by dedicating their resources to augment the effectiveness of the new EDC powers granted on March 27th.

RIAC believes the recent Macleans article “This is how Canada’s housing correction begins” is spot on. Although at this point in time Canadian interest rate growth is in a momentary lull, the threat to the Canadian economy remains at a significantly high level and it all has to do with consumer debt. At $2.16 trillion in mortgage, credit card and other consumer debt – the highest ever – the consumer spending engine that has been driving economic growth in Canada for more than a decade is now stalling.

Every year it seems from the end of January to the end of March is the opportune time for financially distressed companies to file proceedings in order to protect themselves from their creditors. We are already seeing signs that bankruptcy season is upon us in Quebec with the recent notice from the Trustee of Maryse Victoriaville Inc.

In CBC’s coverage of the recent Economic Statement, it highlighted the “…attempt to nudge more businesses into pursuing export markets beyond the United States.” and that the “… goal is to boost Canada’s overseas exports by 50 percent by 2025…”.

RIAC strongly supports this initiative.

This RIAC article was originally published in the CAIDP Quarterly Bulletin November 3, 2018:

Why Would You Not Insure Your Export Receivables?
Phew – who knew “THAT” was coming?

Definition of “THAT”: US trade wars, Brexit, Trans-Pacific Partnership without the US, Venezuela’s Economic collapse, Clients who delay payments unfairly, Sears insolvency, General Motors insolvency … and so on ….

What a tremendous collapse! Sears was rated AAA as recently as 1980 (and actually was still a very trustworthy A- in the early 2000’s). To put this in perspective, currently there are only 2 companies in the entire US that earn that AAA rating (Microsoft and Johnson and Johnson – to save you time).

Who would ever have thought that bankruptcy would be looming. This icon of US retail went into a tailspin and just never recovered.

RIAC Chairman in TCS Podcast

RIAC’s Chairman Chris Short discussed the value of RI for Canadian businesses venturing into foreign markets on a podcast with Brigitte Martin, Editor-in-Chief at CanadExport. The Canadian Trade Commissioner Service hosts a regular podcast to enlighten and inform members of the Trade Commissioner Service about business opportunities and services that can help Canadian companies and organizations succeed globally.

RIAC co-founder Ian Miller offers his thoughts on how Canadian business can approach the uncertainty of NAFTA. The article was published in the Mississauga Board of Trade’s Winter 2018 edition of CONNECT magazine. Read the article on page 32