Insurance is a must have when you’re running your own business. Whatever the nature of your enterprise, insurance is there to help you bounce back after accidents and incidents.
Understanding the trends that are affecting the insurance market can help you and your Whitbread broker to select the type and level of cover that’s the right fit for your business. Here are just some of the insurance trends we can expect to see in 2025.
Seeing cyber as an existential threat
While they may not result in actual property damage, cyber events can be every bit as disruptive and expensive as natural disasters. The average cost of a small business cyber crime incident is now $49,600, according to the Australian Signals Directorate’s Annual Cyber Threat Report 2023-2024.
And the risk of falling victim has never been higher.
Business owners have become more alert to the threat and are increasingly willing to mitigate it with appropriate cover. In some ways, many now perceive cyber crime as a far more likely occurrence than the threat of a fire insurance claim to their property.
Broader cover and managing excesses
Australia is known as the land of fire and flooding rain. The increasing frequency and severity of natural disasters is prompting businesses to review their climate risk related policies and, in many instances, extend their cover. Many owners are choosing to mitigate the increased cost of higher coverage by opting for higher excesses. If affordability is a challenge, this strategy can help you to manage the impost while remaining covered for existing and new risks.
Banding together to access better cover
Climate change is making it harder for smaller businesses situated in high risk areas to gain access to cost effective cover, with those in parts of northern Australia particularly hard hit. Banding together to seek better prices and conditions can help them gain access to the protection they require.
Actively seeking out expert advice
No two businesses are the same, nor are their respective risk profiles. Whitbread’s experienced brokers can help you identify the unique vulnerabilities and emerging risks your business faces.
It’s vital to stay informed and to work with an experienced professional to develop tailored risk management solutions. Drawing on the expertise of a broker who is familiar with your industry can help you get a handle on your evolving risk profile, and a growing number of Australian SMEs are seeking out this specialist assistance.
Cover when it counts
The right insurance cover will protect your business from a range of adverse incidents and events. Whitbread are here to help you to determine what type and level of cover will best meet your needs. Please contact your Whitbread insurance broker if you’d like to review your current policies or chat about your requirements in greater detail.
T: 1300 424 627
E: info@whitbread.com.au
Important notice
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the information, taking these matters into account, before you act on any information. In particular, you should review the product disclosure statement for any product that the information relates to it before acquiring the product.
Information is current as at the date the article is written as specified within it but is subject to change. Whitbread Insurance Brokers make no representation as to the accuracy or completeness of the information. Various third parties have contributed to the production of this content. All information is subject to copyright and may not be reproduced without the prior written consent of Whitbread Insurance Broker.
This article is not intended to be personal advice and you should not rely on it as a substitute for any form of personal advice. Please contact Whitbread Associates Pty Ltd ABN 69 005 490 228, License Number 229092 trading as Whitbread Insurance Brokers for further information or refer to our website.
