Turnover-based premium
You have agreed a turnover-based premium if the agreed premium rate under point 1 of the Special Terms of your policy is endorsed with the phrase “Turnover with insured customers”.
During the course of an insurance period, we will charge you the contractually agreed minimum premium in equal quarterly or six-monthly instalments.
At the end of the insurance year, we will send you a form entitled “Information for premium calculation – Turnover”. Please complete this turnover declaration form, stating your turnover from the insured customers in the stated insurance year.
Please return the signed form within 30 days. Upon receipt of your turnover declaration, we will calculate the final premium payable by you for the previous insurance year.
[Final turnover-based premium] = [Declared turnover] x [Premium rate]
If the final premium payable is lower than the minimum premium already charged, payment for the insurance year is complete and a closing invoice will not be issued.
If the final premium payable is higher than the minimum premium, we will prepare an annual closing invoice, which will take account of the minimum premium you have already paid and any agreed premium rebates.
Example timeline for a turnover-based premium with quarterly minimum premium payments.
Balance-based premium
You have agreed a balance-based premium if the agreed premium rate under point 1 of the Special Terms of your policy is endorsed with the phrase “Outstanding insured receivables from insured customers”.
During the lifetime of your policy, you notify us by the 20th of each month of the amount of your outstanding receivables from insured customers at the preceding month-end. These “balance declarations” should be submitted on the form entitled “Information for premium calculation – Outstanding receivables”.
During the lifetime of your policy, you declare the month-end balance of outstanding receivables from insured customers to us by the 20th of the following month. These “balance declarations” should be submitted on the form entitled “Information for premium calculation – Outstanding receivables”.
Based on each of your balance declarations, we charge a balance-based premium as follows.
[Balance-based premium] = [Declared balance] x [Premium rate]
Over a 12-month insurance period, therefore, we will receive 12 balance declarations from you and charge 12 balance-based premiums.
After we receive the final balance declaration, we check whether the total of the balance-based premiums is less than or more than the contractually agreed minimum premium .
If the total premium invoiced and paid to date is less than the minimum premium, we will prepare an annual closing invoice in which we will charge you the difference between the minimum premium and the premium already paid. If you have insured outstanding receivables both at home and abroad (exports), we must charge stamp duty on this amount based on the proportion of domestic receivables to exports.
If the total premium invoiced and paid to date is higher than the minimum premium, we will prepare an annual closing invoice, which will take account of the minimum premium you have already paid and any agreed premium rebates.
Example timeline for a balance-based premium.
Limit premium
A limit premium is calculated based on the credit limits granted to you and the contractually agreed premium rate.
[Limit premium] = [Total of all credit limits] x [Premium rate]
Fixed premium
In this case, no variable premium dependent on your level of business has been fixed in your contract. You do not need to make a turnover or balance declaration.
Minimum premium
The minimum premium is the contractually agreed minimum amount to be paid for each insurance year. Your premium cannot be lower than this amount.
If your policy has a turnover-based premium , the minimum premium will be invoiced to you in advance (e.g. via quarterly interim bills). If you have agreed a balance-based or limit premium, we will check after the end of the insurance period whether the minimum premium has been reached. If it hasn’t, we will invoice you for the difference.
I want to receive invoices from you electronically. How can I do that?
We will be happy to send you invoices by email.
Please email us at finance.ch@allianz-trade.com, stating “E-Invoicing” and your policy number in the subject line. If you want the invoices to be sent to more than one person, please state all the relevant email addresses in the email.
What fees will Allianz Trade charge me?
Credit check fees
Credit check fees are charged for the initial checking of a credit request and the monitoring of existing credit limits.
Credit check fees for initial requests
The initial checking of credit requests requires extra effort related to obtaining and analysis of data.
The fees for any new credit limits requested during a quarter will be invoiced after the quarter-end. The fee rate per customer is specified in the Special Terms of your policy under credit check fees.
[Kreditprüfungegebühr für Erstanfragen] = [Credit check fee for initial requests] = [Number of new credit requests] x [fee rate]
Credit check fees for monitoring existing credit limits
We continuously collect new information about your customers and keep an eye on the risk position for you, so that we can react to any deteriorations in line with your best interests. Credit check fees for monitoring existing credit limits are charged at the beginning of the new insurance period when the policy is extended.
[Kreditprüfungsgebühr für die Überwachung bestehender Kreditlimite] = [Credit check fee for monitoring existing credit limits] = [Number of credit limits at start of insurance period] x [Fee rate].
Collection fees
There are two types of fee. Flat-rate collection fees are charged for Integral Collection policies (in which collection is included as a service), while performance-based collection fees are charged for individual collection mandates.
Collection fees for insured receivables
If the Special Terms in your policy include the collection fee section, we will charge you the minimum collection fee stated in the contract in advance during the course of the year. After the end of the policy period, we will determine the total collection fee payable based on your declarations of your turnover or outstanding balances with insured customers. If necessary, we will invoice you for the difference in an annual closing invoice.
[Collection fee for Integral Collection] = [Declared turnover or declared outstanding receivables] x [Collection fee rate]
Collection fees for uninsured receivables
If you place an individual debt collection case with Allianz Trade Services Schweiz AG for an uninsured receivable, we will, if successful, charge you the commission agreed in your policy in the General Insurance Conditions (GTI).
[Commission for success] = [Receivables successfully recovered] x [Commission rate (as per GTI)]
We also charge a fee for placing a debt collection case and we will usually charge you for any legal costs that have been incurred (e.g. with Debt Recovery Offices) in accordance with the GTI.
Collection fees for individual mandates
If you have placed an individual debt with Allianz Trade Services Schweiz AG for collection, we will charge you the contractually agreed commission if we succeed in recovering the debt.
[Commission for success] = [Receivables successfully recovered] x [Commission rate]
We also charge a fee for placing a debt collection case and we will usually charge you for any legal costs that have been incurred (e.g. with Debt Recovery Offices).
Which premiums do I have to pay stamp duty on?
In general, the following applies to your trade credit insurance:
- Domestic risk in Switzerland and Liechtenstein: 5% stamp duty
- Foreign risk / export business: 0% stamp duty
Premiums that we charge for insured turnover and the corresponding receivables from domestic customers in Switzerland and Liechtenstein are subject to stamp duty at 5%.
Premiums that we charge for insured turnover and the corresponding receivables from foreign customers (export business) are free from stamp duty.
It is therefore important that you provide accurate information in your balance and turnover declarations.
If you have agreed a turnover-based premium with us and the premium calculated on the basis of your turnover declaration at the end of the insurance year is below the minimum premium that was invoiced to you, we must charge you stamp duty on a pro rata basis.
Example:
1. We charged you a minimum premium of CHF 21,000 in four quarterly instalments.
2. No stamp duty was charged on these instalments, as it was assumed when the policy was agreed that the majority of your turnover would be made with foreign customers.
3. At the end of the insurance year, you declare a turnover that leads to a calculated premium of CHF 18,000. Of this, CHF 12,000 relates to foreign customers (export business) and CHF 6,000 to domestic customers.
4. We prepare an annual closing invoice.
As the calculated premium is below the minimum premium, you will not receive a refund.
On the annual closing invoice, we will charge stamp duty of 5% not only on CHF 12,000, but on CHF 14,000 (= 21,000 x 12,000 / (12,000 + 6,000)).
Stamp duty is calculated on the basis of the actual premium payable..