Purpose : This study aims to theoretically structure the decision-making process of risk-averse exporting firms. By employing the Expected Utility Maximization Hypothesis, the research identifies how Trade Credit Insurance (TCI) acts as a strategic tool to facilitate export transactions by mitigating perceived risks. Research design, data, methodology : Based on the Expected Utility Maximization Hypothesis, this study constructs a binary prospect model consisting of successful payment collection and events of default. Through diagrammatic and mathematical analysis, it compares the expected utility of export activities that utilize the functional mechanisms of TCI versus those that do not, based on the default probabilities and loss magnitudes estimated by exporting firms Results : The analysis demonstrates that TCI enhances a firm's expected utility through its Loss Control and Risk Transfer functions. The ‘Loss Control function’ of TCI reduces the perceived probability of loss in export transactions by resolving information asymmetry, while the ‘Risk Transfer function’ significantly increases the firm’s overall expected utility by limiting the magnitude of potential losses. Conclusions : The study proves that TCI acts as essential economic infrastructure that facilitates strategic export decision-making and proactive export attempts. It also proposes policy improvements, such as the provision of default rates of buyer’s credit ratings to enhance the predictability of export risks and tailored support based on risk-aversion levels.