Why do traders take out credit insurance?

Why do traders take out credit insurance

To prevent bad trade debt by having buyers vetted by the credit insurer to ensure the buyers are correctly identified and can pay on time each time a sale is made to them
To enhance their credit control and cashflow positions. By insuring receivables against unexpected customer insolvencies and undue delays (protracted default) the trader gets relief from the risk of non-payment
To be compensated for insured losses
To obtain objective credit risk assessment on the buyer
To sell more safely to new customers – local and export
To expand sales to existing customers
To develop a trusting business relationship
If needed, to acquire additional working capital by using a trade credit insurance policy as collateral for its bank financing package