Claim:	[View Claim Details]
Claim activity for 2003 saw substantial increases over 2002. This led to record numbers in both claim value, and the average value of each individual claims. While the number of claims filed was up slightly (from 53 to 58). The dollar amount of claims filed by IRC North America clients rose sharply (from $42 million to $ 93 million). The huge increase in claim value year can be attributed to a general increase in the number of large claims. The average claim for 2003 was $1.6 million dollars, double the average claim amount of 2002. 2003 saw IRC clients file claims with 6 different insurance companies. The largest volume of claims were filed with the Export Import Bank (Ex-Im) and NCM with 23 and 21 claims respectively. IRC clients insuring with FCIA, ACI, AIG, and CHUBB also saw increased claim filing activity in 2003. Claim approvals were highlighted by six claim approvals of over one million dollars each. Among the large claims was a $4 million claim approval (AIG) and five of $1M+ approved (Ex-Im). Losses occurred in 17 different countries in which our clients do business with North America and Latin America accounting for the bulk of claims, and dollars lost. The United States was the leader in both total claims, and claim value in 2003 (19 claims for $67 M). In the Untied States, non payment for trade debt rose over 300% compared to 2002.
Reschedulings:	[View Rescheduling Details]
While claim activity increased in number this past year the same cannot be said for reschedulings, as the number actually decreased by one from 2002(13 to 12). However, the dollars actually being rescheduled increased by 75% ($20 to $35 million). While the majority of reschedulings took place in North America and Latin America the largest rescheduling involved a debt in China.
Note: ** Reschedulings are situations that arise when a buyer, unable to pay his debt on time, requests further time to pay. The insured must seek and receive written approval from the insurer before formally agreeing with his customer. If the insurer agrees, the due date of the obligation is changed and coverage remains in place. Reschedulings are taken very seriously as they can be a prelude to a claim.