WE SPECILISE IN RISK MANAGEMENT
We specialise in identifying hazards and risks specific to your business.
We then apply traditional risk management processes with counter intuitive thinking.
We expect the unexpected to mitigate risks in your business.
How would your business cope with a major loss of revenue or product?
If you are an accountant, lawyer or any other professional offering a service, what would happen to your business and your livelihood if you had a stroke or were diagnosed with a terminal illness? If you are a business owner, what would happen if a major peril such as a cyclone, flood or bushfire destroyed your business premises?
How can you eliminate or at the very least mitigate the impact of such potentially catastrophic events?
The first step is to speak to us.
The unfamiliar is daunting and can be terrifying whether justified or not, yet we are often complacent with everyday higher risks.
Why is this? Take the situation in the picture, standing tall near the edge overlooking a massive drop off a cliff face.
Just the thought of being in this position can fill us with fear.
However, the idea of crossing a busy road, driving to work, riding a bike or any other "mundane" activity is undertaken by most of us with little, if any fear. There is good reason for this; after we have successfully completed an activity numerous times without suffering any injuries or losses, our self-preservation instinct, and intuition usually relaxes. Otherwise our hyper alertness to risks we face every day would consume all conscious thoughts ultimately driving us insane.
So the question is; has risk diminished with familiarity or is this a false sense of security? ...
When looking at a situation we can relate to, such as learning to drive a car, we are typically overcautious initially. Nothing happens subconsciously, driving in a straight line is not easy and requires focused concentration.
Over time, as we gain driving experience, we tend to find the whole activity of driving far less stressful. Driving feels more natural and comfortable not something stressful and creating anxiety.
Does this mean the driving risks have changed with our more complacent and relaxed attitude?
The traffic and road conditions are unchanged, and if anything has likely deteriorated. The only significant improvement is our driving skills are much better than those of our first day.
Does this single improvement justify a move from hyper alertness to complacency? I refer you to the unsinkable Titanic!
Our background is in the Engineering field and running SMEs.
Our work experience includes manufacturing, product development, project management and consulting.
We have insurance product knowledge covered from all angles.
Our competitive edge can provide a full 360 degree perspective. From buying/selling insurance, to understanding underwriting and managing risks for a range of industries from construction to SME. We know insurance and how to make it best work for you....
To remove risk entirely is impractical, if not impossible in all but the simplest of situations. Usually the uncertainty of numerous variables makes modelling extremely complex and highly unreliable.
From our experience and understanding, the more we know about the unique characteristics of your business, the better we can address hazard reduction with a combination of insurance products and risk management strategies. Our expertise is finding that right balance for your situation. We do not want any of our clients paying for anything they see no value in regarding asset protection. We would never recommend a gym membership because they are great places to work out if you hate gyms!
Why do premiums keep going up every year?
Like any product, even if profitability remains stable, the cost typically increases annually (CPI increases) for example the cost of bread, petrol or any consumer product over any length of time goes up. What you pay for bread or petrol today would seem ridiculously astronomical twenty years ago. In addition to these minor annual increases insurers have suffered large losses from events such as flooding and bushfires recently here in Australia. Globally, insurers have lost money across all lines of business and the cost of reinsurance (insurance for insurers) due to the number of catastrophic events has increased significantly every year. So we can expect to see the upward trend of premiums to continue for some time.
Are we able to claim for losses arising from the Corona Virus Pandemic?
It very much depends on your policy wording, however, notwithstanding this insurers have not paid any claims directly arising from the Corona Virus pandemic and are resisting g to do so. Business Interruption arising directly from a pandemic are excluded usually and any losses arising from this event have not been factored into the pricing of the premium. If claims are paid for direct losses, an issue before the courts, the volume and size of the claims would be devastating for the industry. The premise of insurance is many paying a small premisum for the losses of the few. The cost of insurance is typically related to the frequency and average loss cost.
So the cost of covering portable equipment such as laptops, mobile phones, cameras etc is at least 10 times more than insuring a typical commercial property.
Ultimately the cost to insurers of claims for direct Business Interruption losses of revenue from the Corona Virus will be passed on to the consumer. This will be through much higher premiums in the future for Business Interruption if there is a high frequency of large claims paid out.