The 2020 Small Business Risk Report is out. It is the third time Forbes Insights has released the report. Forbes Insights is the research and thought leadership practice arm of Forbes and The Hanover Insurance Group.
The most important conclusion in the report is just how important independent insurance agents are to small business. This conclusion is in spite of a huge increase in the number of people going to direct insurance writers.
Small businesses — however — prefer and need help in assessing their insurance needs.
Here are some of the conclusions:
* 72% of small businesses think the advice of an independent agent is critical
* That’s up 12% from the 64% in 2018’s survey
Small businesses do — however — like online digital servicing tools like:
* Viewing and paying bills
* Getting certificates of insurance
* Downloading policy documents
Michael Keane is the president of The Hanover’s core commercial department. He said the COVID-19 changes and other changes being faced today by small business makes it very important that we find ways to help independent agents serve them.
“Our annual Small Business Risk Report further validates the importance of working with independent agents to secure the best combination of coverage for business owners to protect their assets, especially during these challenging times,” Keane said.
Here’s more from the survey:
* Small business owners want less complexity
* 71% saying it is extremely important to use just one carrier
* Yet 46% of them purchased policies for all their needs from two or more carriers
* 22% say they are vulnerable to workplace discrimination lawsuits
* Just 38% say they are adequately insurance against that kind of lawsuit
* 79% say proper coverage is more important than price
* 76% say they place a lot of trust in the reputation of their insurance company
Source link: The Hanover Insurance Group