AIA’s Livestock Market Payment Insurance protects against bad checks and other payment defaults from buyers. Auction Insurance Agency handles both the underwriting responsibilities and loss payment authority, enabling us to prevent losses and to respond promptly with payment when they do occur. The average livestock auction market exposes itself to millions of dollars in transactions every year. At AIA, we understand these risks and can often be the key to a satisfactory resolution when problems do occur.
Why is Payment Insurance Necessary?
By nature, the livestock business is a high-volume low-margin business, which leaves little room for disruptions to cash flow. Slow payments by as few as one or two buyers can lead to deficiencies in custodial accounts and ultimately create financial problems for the stockyard. Don’t let cash flow disruption or catastrophic loss spell financial ruin for your business.
The premium charge is based on the final sale price of the livestock sold. For a nominal fee per head, you can protect your business from catastrophic losses and costly cash flow distributions.
Running a successful operation involves making quick, informed decisions and our loss prevention program centers around our knowledge of buyers that present a risk of default and our ability to notify our customers of that risk. This enables us to help our insured auctions prevent potentially costly losses, as well as increase the potential for recovery.
Our high rate of loss recovery reduces our overall insurance costs. With years of experience, our staff is well-trained in effective loss recovery techniques. Our expertise can be a valuable resource for any auction.