Despite having insurance, most business owners want even more coverage
More than 80% are actively looking or very likely to seek additional policies, according to Arthur J. Gallagher & Co.
Although most (97%) entrepreneurs already have some type of commercial insurance policy, 83% said they are still worried about specific events that could impact their businesses, according to a survey by Arthur J. Gallagher & Co.
Further, 83% said they are actively looking or very likely to seek additional insurance policies. Gallagher reported that 48% of those with a business owners policy (BOP) would consider expanding or getting new BOP coverage, while 45% of business owners said they would consider expanding or getting new employment practices liability insurance.
When it comes to what worries business owners in the coming 12 months, Gallagher found:
- 68% said they have extreme or very high concern about how climate change and natural disasters could impact their businesses.
- 69% expressed extreme or very high concern about the potential effect of jobless claims.
- 74% were extremely or very highly concerned about cyberattacks.
- 70% were expressed extreme or very high concerns about health care costs.
The survey also found that business owners who regularly review their coverages and prepare for the future have more confidence in their risk management abilities. This is particularly true of millennials, who are twice as likely to review their business insurance coverage monthly compared with Gen X and baby boomers.
Further, millennials also believe their risk management strategies are extremely effective, with half voicing confidence in this area. For comparison, 28% of Gen Z and 23% of Gen X expressed similar confidence in their risk management plans, according to Gallagher.
“The big takeaway from this survey is just how much insurance can help business owners,” J. Patrick Gallagher, Jr., Gallagher chairman, president and CEO, said in a release. “At the end of the day, business owners worry about how their business can support their family. Gallagher understands that — we are a family-driven business, and we work with companies of all sizes to lessen risk and make sure owners can continue operating and ultimately, providing for their families.”
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