undefinedMany businesses do not believe that a loss will ever happen to them. This really is a “pig’s tail”. The reality is that losses like the ones used in the case studies on this site, occur every day to businesses just like yours. But do not believe us, look at the research.

  • Every year 1 in 500 businesses will experience a severe disaster (McGladrey and Pullen)

  • 43% of businesses that experiencing disasters never re-open and 29% close within 2 years. (McGladrey and Pullen)

Those that do not have full business interruption insurance have a far less chance of surviving. You have invested a great deal in the business. Protect your investment, ask your insurance adviser about Business Interruption Insurance and use this site to get it right! Meet a businesss owner who never thought it would happen to him. Will it be you next? While this may sound trite, but the research shows (Manning, 2004) the thing that business managers and owners who see their business potentially ruined by a sudden event have in common is that they never thought it would happen to them. Due in part to the “It’ll never happen to me” attitude, over 90% for businesses examined in Dr Manning’s doctoral research, who did not have business interruption insurance failed within two years, some as quick as 2 weeks after the fire.

It is a simple fact that few businesses can afford the loss of earnings that accompany a physical loss to the premises resulting in damaged or destroyed stock and or equipment.

Business interruption insurance is an inexpensive way to protect your businesses income and your lifestyle.

Dr Manning’s book, It Will Never Happen to Me! Is available here

Zurich’s Sarah Bright talks with Dr Allan Manning of LMI Group, leading Australian authority on loss management and risk assessment, on the impact of underinsurance on small business and why everyone thinks it won’t happen to them.

References: McGlardrey and Pullen (2007, Manning (2004), Manning (2006)


Australian small business: under-covered and under-insured 

Reference: ‘Zurich to Brokers’, Winter 2007, Issue 18