Coverage applies to transactions between 5-SLN members where invoices remain unpaid after 45 days. Interest, fees, or indirect losses are not included. The PIP system works hand-in-hand with our automated PIP Alert reporting platform to maintain fairness and speed in every case.
Coverage applies only to transactions between verified 5-SLN members.
All claims processed through Trans-Collections only.
Interest, fees, and goodwill losses are excluded.
Members failing to report within 45 days forfeit eligibility.
All 5-SLN members receive basic coverage automatically,
with an option to upgrade to full protection.
Members rated < 5 Stars → USD 1,500 coverage per claim
Members rated ≥ 5 Stars → USD 3,000 coverage
Offered at no additional charge after member vetting
Annual fee USD 500
Coverage up to USD 30,000 aggregate per year
Optional, non-refundable, available on enrollmentELIGIBILITY
Below are simplified illustrations showing how 5-SLN’s
tiered coverage protects members.
Company A achieves a 5-Star rating and elects NOT to have PIP Coverage. In the event of Company X, a 5-SLN Network Partner (with 4-Star Endorsements), defaulting on its debt of USD 10,000, the PIP Coverage payable to Company A shall be USD 1,500 (Basic PIP Coverage). If Company X had 5-Star Endorsements, the PIP Coverage payable to Company A would be USD 3,000.
Company A achieves a 5-Star rating and elects to have PIP Coverage. In the event of Company X defaulting on its debt of USD 10,000 to Company A, USD 30,000 to Company B and USD 8,000 to Company C, the PIP Coverage to Company A shall be USD 6,250 (being 10,000/(10,000+30,000+8000) * 30,000). The minimum payable under this scenario would be the Basic PIP Coverage of USD 1,500 or USD 3,000.
PIP ALERT
