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Defining the next era of credit insurance
Credit insurers are well positioned to harness artificial intelligence (AI), but human judgement and stronger client connectivity will remain critical as geopolitical risks reshape global trade, according to Andreas Tesch, Chief Risk Officer, Atradius.
Speaking during ICISA’s centenary conference, marking 100 years of supporting global trade, Tesch joined industry leaders on the panel ‘Leading the Future of Insurance and Reinsurance’ to discuss how credit insurance must evolve in an era of technological disruption and geopolitical uncertainty.
A former President of ICISA, Tesch said the industry has a significant advantage as it enters the AI era, thanks to decades of experience in large-scale risk assessment and automated decision-making.
“Credit insurers are better prepared for this technological shift than many other industries,” continues Tesch. “Risk assessment at scale has always been at the core of what we do. We are not starting from scratch – we are building on decades of experience.”
Unlike previous technological advances, however, AI introduces new challenges. Because AI models are not deterministic and can produce unexpected outputs, insurers will need new governance frameworks to maintain consistency, reliability and trust.
Beyond AI, Tesch identified connectivity as a major opportunity to expand the reach of credit insurance. Integrating insurance more seamlessly into clients’ day-to-day business systems could remove friction, automate manual processes and make products more accessible.
“Connectivity will be a key enabler for the future of our industry. Greater automation will make solutions simpler, faster and more deeply embedded in clients’ operations, helping bring the benefits of credit insurance to a much wider market,” says Tesch.
Despite rapid advances in technology, Tesch argued that experienced underwriters and risk specialists will remain essential – particularly during periods of sudden market disruption. “Technology performs well when risk evolves gradually, but it is far less effective in the face of sudden disruption. That is where human expertise becomes critical.”
As global trade becomes increasingly fragmented, geopolitical developments are creating more complex and concentrated risks for businesses and insurers alike. Tensions in the Middle East have led to higher demand for credit insurance as companies seek greater certainty in an unpredictable trading environment,” continues Tesch. “In recent crises, we have seen a clear increase in demand for our services while maintaining strong control over claims. Clients increasingly rely on us not just for protection, but for the confidence to continue trading.”
The growing size and complexity of trade exposures is also driving closer collaboration between insurers and reinsurers to expand underwriting capacity. As ICISA celebrates its 100th anniversary, Tesch says the industry’s future will depend on combining technological innovation with human expertise while continuing to support global trade through an increasingly volatile risk landscape.
For Atradius, one of ICISA's founding members, that mission remains unchanged: helping businesses trade with confidence, whatever the future holds.