SMEs purchasing insurance through a broker, rather than direct, were twice as likely to be covered for the total loss of their last insurance claim, according to new data released today from Vero’s 2018 SME Insurance Index.
Almost a quarter (23 per cent) were covered for 100 per cent of their claim, compared to only 10 per cent of SMEs that purchased insurance direct. Anthony Pagano, Head of Commercial Intermediaries, Vero, said claims are the ultimate moment of truth for any insurance policy.
“The experience of making a claim can often dictate the overall perception of the value of insurance, and can make or break the relationship between SMEs and brokers,” he said.
“Brokers know how important claims are, with many believing the ability to manage the process is one of the main benefits they offer their clients.”
“This data shows when SMEs receive expert guidance on their insurance, they are far more likely to be adequately covered.”
Despite the claims process being the ultimate test, it is just as important for brokers to show value to SMEs before this critical time. To support this ongoing relationship, Vero today launched a free Risk Registry tool for brokers.
“We want to help brokers build strong relationships, and this tool is a great way for them to demonstrate their expertise and value before their clients need to make a claim,” Pagano said.
“The new Risk Registry tool uses data from over 40,000 claims to show the most common risks for specific occupations and industries.
“Brokers can use this tool to generate highly relevant information for their clients – further demonstrating how expert advice can help SMEs purchase the right insurance to meet their specific business needs.
“Our team are also available to provide brokers with more specific examples of relevant claims, so clients can better understand their specific exposures. Whilst the theory is nice, practical examples are still the best way to help a business understand.”
Brokers can view the latest SME Insurance Index data, and sign-up to the new Risk Register tool.