According to Brisco Business Insurance – InsuranceNewsNet – more and more SMEs see themselves as “too small” for insurance

London, August 09, 2022 (GLOBE NEWSWIRE) — SMEs (small and medium-sized businesses) without business insurance are on the rise, while many who do have insurance don’t check it when business changes, a recent survey commissioned by Allianz Commercial has found.

Among the sole proprietorships and SME decision makers who took part in the survey, the main reason for not insuring their business was believing that their business was too small (47%). The second most common reason was teleworking (42%), followed by not having clients visiting the premises (34%) and not having much to insure e.g. B. no premises or vehicles (33%).

In which United Kingdom, business liability insurance is only required for businesses with staff and vehicle insurance for businesses with vehicles. However, SMEs are still struggling to recover from a loss with no insurance payout, Allianz pointed out. Even for business owners who have purchased a policy, the amount of compensation they can receive depends on the amount of insurance coverage they have purchased.

The results also showed that between April 2021 and in 2022 a large proportion of SMEs changed the way they work, with 19% increasing the number of products they offer. Additionally, 16% changed the nature of their product or service and another 16% returned to the office or store.

Only 41% swapped their insurance policies to better match their changing circumstances, while the majority (52%) did not. This contrasts with the lockdown trends of 2021, which saw 20% of SMBs working remotely, 17% reducing the products and services they offer and 15% downsizing. 48% changed their insurance coverage to reflect these changes, but only 41% did so this year. This includes both traditional business and specific agency insurance policies.

“Many SMBs reduced their coverage during the lockdown, but interestingly many chose not to increase it when business picked up again,” she says Dean Lamingdirector of Brisco Business Insurance.

“That means they risk becoming underinsured if they don’t adjust to pre-pandemic wage, inventory and profit levels, which isn’t a good idea in the long run. If they have claims to make but their coverage level doesn’t match their activity level, they could shoot themselves in the foot when it comes to getting compensation.”

Small and medium-sized companies make up 99.9% of the 5.6 million companies in Switzerland United Kingdom, making it no small problem. Allianz found that business disruption was the focus for SMEs in 2021, while only 17% of respondents saw it as the top threat that year, behind inflation (33%), cash flow (29%) and competition (27%). ) stayed behind. .

Additionally, the survey found that SMEs tended to be overly optimistic about how long it would take them to recover from an unforeseen event, with 69% believing their operations would return to current levels within 12 months if their Property would be destroyed by fire.

However, two years is a more realistic timeframe to return to pre-damage levels, given the work involved, such as: and get a building permit.

Laming stresses the importance of ensuring SMEs are adequately protected against legal and indemnification costs, in addition to property damage, employee injuries and more:

“As a rule, the compensation period for business disruptions for SMEs should be two years in order to take account of the rebuilding of the supplier and customer base,” says Laming. “If activities resume after the indemnification period, the amounts insured for your business property and content may change, so you should review your insurance limits.”

Brisco Business Insurance now has an insurance platform for SMEs to compare corporate policies from top insurance companies and provide quotes for over 1,500 different trades across seven sectors: home insurance, shop insurance, office insurance, surgery insurance, hospitality insurance, restaurant insurance and tradesman insurance.

Every trade has its own unique risks, with a plumber facing different risks than a shopkeeper or architect, so it’s important to get coverage that’s tailored to each industry.

“Our goal is to help people everywhere United Kingdom to find the right business insurance for them, which means finding it at the right rate with minimal hassle. That is why we have developed our quotation tool to help SMEs search for comprehensive packages in the simplest possible way.”

The insurance broker offers SME packages that cover all aspects of the business, including public liability insurance, public liability insurance, product liability insurance and professional liability insurance.

To learn more about what Brisco Business Insurance for small and medium sized businesses visit https://briscobusinessinsurance.co.uk/ .

Source: https://thenewsfront.com/coming-number-of-smes-see-themselves-too-small-for-insurance-says-brisco-business-insurance/


Brisco Business Insurance
Chancery House, St Nicholas Way
Sutton
London SM1 1JB
United Kingdom

0208 655 3125

https://briscobusinessinsurance.co.uk/

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Source: Brisco Business Insurance

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