Lex-Tek International

Arrangers & Trust

Services for Insurance Companies

--- Have you been leaving the proverbial "premium on the table" because of under-reporting of insurance activity by your policyholders?

--- Are you looking for ways to increase your earnings, reduce the administrative cost of your back office and provide value to your customers?

--- Have you been looking for ways to lock-in your customer base by providing unique policy services?

--- Tired of fighting the claims battles with policyholders, brokers, and sometimes even their bankers?

--- Tired of tying up your administrative staff with routine requests from policyholders, insurance brokers or your own agents?

--- Have you invested, or are you about to invest thousands, or even millions of dollars in IT improvements only to find them fall short in many areas of trade credit insurance management and customer service?

Trade Banker® may be the solution to your problems

Trade Banker® is a trade credit insurance policy monitoring and verification system that can link your back office administrative functions with your customers without having to spend more money on outside technology, or endlessly tying up your IT staff with costly proprietary design and construction projects. Instead, it automates your customers' administrative process and allows them to communicate with you through Internet-enhanced technology. Virtually all available trade credit insurance policies can be monitored and verified on the system.

What does Trade Banker® do?

  • Failure To Report ALL transactions

  • Underreporting ALL transactions

  • Inadequate Buyer Limits (shipping without coverage)

  • Late Filling (and late premium payment)

Getting customers to use this system can be a sales and income opportunity for insurance companies. There are many ways to induce customers to use a system that benefits everyone.

As an insurance provider:

1. You can introduce the idea to your customers. You can benefit by referring your policyholders to use Trade Banker® with your insurance policies to:

  • Increase premiums declared and paid (no omissions).
  • Improve policy administration.
  • Overcome administrative resistance to acquiring the policy.
  • Provide a built-in incentive to retain their policy through you as Trade Banker® becomes a vehicle to lock-in your customer base.
2. You can provide a financial incentive for using the policy - such as reduced premium rates. A financial incentive for them will be offset by more business reported under policies (automatically calculating premiums and filing sales reports) resulting in higher premiums collected in the long run.

This is similar to the property insurance industry that offers incentives through premium reduction for meeting or exceeding building fire protection requirements such as sprinklers, fire-retardant materials, improved exits and access to fire hydrants and fire extinguishers, etc. This proactive protection against so-called "HPR" (Highly Protected Risks) can be translated to trade credit insurance through use of Trade Banker® as proactive protection from claim denials while increasing premium collection.

3. You can provide this service directly as part of your insurance policy. By making Trade Banker® an integral part of your product, you can improve the quality of policy management by your policyholders. Costs can be recovered by fees or imputed into premium rating structures. Better quality policy management means fewer costly claim disputes for you, which improves customer relations. Customers will view this user-friendly service as a competitive advantage to your policies vs. your competitors and will be less likely to change policies to another provider who does not offer Trade Banker® as part of its total package. It can become a unique cornerstone of your "Customer Service Plan."

Trade Banker® is available as an on-line system, you do not have costly "Return on Technology Investment" to calculate. It is a monthly service, just like your telephone bill, only it pays for itself. License Fees are flexible and can be designed to meet the needs of your customers. You pay only for this service, not for extraneous features or additional products that you do not need or want (such as those that were created by and for bankers rather than insurance providers and managers).

How does Trade Banker® work?

Trade Banker® guides you through the process of loading the insurance policy terms, conditions, and various limits into the system. It requires that data be thoroughly entered in specific fields so "acts of omission" are minimized.

Trade Banker® then stores this information in your own proprietary database. As data is entered on each invoice (manually or through Trade Banker's® unique electronic, automated data upload feature), Trade Banker® will automatically verify that the invoice matches ALL the terms and conditions of the policy. If not, Trade Banker® goes the extra step and tells you WHY NOT.

Finally, when payments are received and entered into the system,
Trade Banker® will automatically pay off invoices and increase the availability of the buyer's credit limit. No more guessing if your customers are covered on new shipments.

Best of all, for both of these functions - invoice and payment input,
Trade Banker® ALLOWS FOR AUTOMATED DATA ENTRY, which dramatically lowers the costs of managing insurance and trade finance lending. For the automated data upload feature, Trade Banker® uses the convenient and universal delimited ASCII format. This format will mitigate against data entry errors from the very beginning and utilizes a user-friendly format. No high-tech operating issues are required of your IT people.

Here is a simple diagram of how this on-line system works:

For all of the parties below,
Trade Banker® can satisfy everyone's need for policy information:

Insurance Companies:
  • Premium and Shipment Reports

  • Past-Due Reports

  • Accurate and timely administrative requests


Policy Holders (Non- Bank):  
For Cash Managment and Accounts Recievable
  • Invoice Status Reports

  • Receivables Aging Reports
Shipping Departments:
  • Buyer Credit Limit Availability Reports

  • Country Schedule of shipping restrictions
Treasury Department:
  • Advance Allocation Reports
Credit Departments:
  • Advance Allocation Reports for borrowing base management
Audit Departments:
  • All Reports for borrowing covenant compliance
Country Credit Managers:
  • Buyer Credit Limit Availability Reports

  • Advance Allocation Reports Country Schedule of shipping restrictions

  • (
    Trade Banker® can be used as a country risk management tool for smaller banks that do not have internal systems of measuring theirs and their borrowers' country exposure.)
Trustees and Financial Arrangers for Security Placements:
  • All reports as part of trustee functions to manage borrowing base, debt covenants, rollovers and repayment terms.

Trade Banker® is a cost-efficient system of managing your trade credit insurance needs to:

  • Increase revenues through accurate reporting

  • Reduce incidence of claim denials due to non-reporting and inadequate or expired policy limits

  • Does not require software investment by you or your customers

  • Reduces time and effort devoted to educating policyholders

For more information, Contact Us or call (404) 223-2453 for more information.

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Lex-Tek International, Inc. All rights reserved.