SMEs entering 2012 with mixed emotion – AXA Commercial Lines
Wednesday, 22 February, 2012 Leave a comment
This is particularly bad news for “a nation of shopkeepers” and a damning indictment of the strategies adopted by insurers and brokers alike!
Instead of incentivising and rewarding a culture of loss prevention, which serves EVERYONE well, the insurance industry sold themselves and their customers short in its indecent haste to satisfy their own, short term, financial goals. And the insurance industry “knows” about tail risk!!!
Who actually benefits from buying “risk protection”? Please take a look at some of the “related articles” below and consider whether business owners who have access to unprecedented amounts of information on a wide range of “risk” subjects are, generally, more “stupid” or just particularly poorly served and advised!?
“When it comes to the fortunes of the UK’s SMEs, there is a more complex picture out there than the headlines would lead us to believe. It’s not all doom and gloom for sure. However there is a real need for valuable advice when it comes to risk management given the fact that, when asked to identify key risks facing their business, nearly a quarter of UK SMEs (23%) couldn’t name a single one. I find this quite staggering. In my view it means that brokers have a major role to play in helping their clients to both understand the risks their businesses face during these difficult times as well as manage them.”