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Credit Insurance

20 years of Euler Hermes Switzerland: From no-name to market leader

By CreditMan Wednesday, October 21, 2015

Euler Hermes Switzerland was founded twenty years ago on 16 October 1995. From its origins as an unknown company in the strong Swiss financial center, Euler Hermes has developed and is now the market leader in the local credit insurance market.

The group is also the international leader in the sector. Today, Euler Hermes credit insurance is used primarily by Swiss wholesalers and local industry as a key component of risk management. Over the last 20 years Euler Hermes Switzerland has constantly adjusted its range of services to meet changing economic requirements, reinventing itself as a provider of comprehensive risk management solutions. Digitalization is now driving change and Swiss companies can expect innovative policies that are tailored to specific sector requirements and integrate new systems for policy holders and brokers.

Swiss credit insurance market 20 years ago: Greater price acceptance, local orientation

"The market was very challenging in those days. High levels of corporate equity, low insolvency rates, efficient debt collection processes and a highly developed banking sector did not make our business easy," says Ludwig Mertes, the first CEO of Euler Hermes Switzerland, now Head of Euler Hermes’ Austrian subsidiary.

However, the still relatively untapped Swiss market also offered opportunities, because something "new", a little-known product, was on offer. "Overall, customers were happier to pay for Swiss quality 20 years ago. Today, virtually everywhere we are up against globalized markets and products which are increasingly comparable in terms of quality. The markets have also become much more transparent," explains Jules Kappeler, another former CEO of Euler Hermes Switzerland and now CEO Nordic Countries at Euler Hermes.