E credit insurers dealt with record numbers of claims last year as the UK faced one of the worst recessions in recent history.
The total amount of paid out claims jumped by 95 per cent in 2009 to £320m as compared to the previous year when companies paid out £164m in claims.
Figures from the Association of British Insurers (ABI) show that UK businesses dealt with 22,791 claims during 2009, which it said reflected the ongoing effects of the global recession.
ABI director of general insurance and health Nick Starling said that although trade credit insurers paid out a record amount in claims to policyholders, the last quarter of the year showed signs of improvement.
“This is consistent with the end of the downward trends observed in various sectors of the economy and the corresponding reduction in levels of corporate failures observed in [the fourth quarter] of 2009,” he said.
The number of claims received during the last three months of 2009 was down by 23 per cent as compared to the previous quarter.
Starling said the outlook for 2010 was uncertain and reinforces the importance of risk management.