Small business owners struggle with insurance policies that are in place, claiming that they use too much jargon and can be difficult to understand. With the rising threats of cyber-attacks, terrorism and severe weather conditions, small businesses need to have a good insurance policy in place more than ever.
The Federation of Small Businesses (FSB) have joined forces with Markel Capital Holdings to bring the small business community an insurance service. The FCA-regulated broker start-up will start trading from the 1st of Feb and the aim is to provide advice and tailored insurance services to the millions of small businesses in the UK.
Dave Stallon, FSB’s commercial and operations director, said: “Increased and new kinds of threats facing small businesses – including flooding, cybercrime, terrorism and global supply chains – call for new types of insurance, yet many small businesses often struggle to get cover at all, or if they do, are often either underinsured or don’t have the appropriate level of cover. As an example, FSB research suggests up to 75,000 smaller businesses at risk of flooding could currently struggle to find affordable flood insurance.”
The FSB are in a unique position because they work with small businesses on the daily basis, therefore the advice given will be in the interest of the small business clients. Small businesses have many troubles, but having suitable insurance will ease their tension and help them focus on growing their business.
Dave Stallon adds: “As our insurance service is built by FSB, run by FSB and owned by FSB, it has different motivations and values. Our prime ambition is to support a thriving small business sector in the UK by giving our members timely and quality advice, as well as sourcing the most competitive premiums and the best tailored insurance packages.”
The threats that small businesses are facing in today’s climate are vastly different than those that businesses may have faced ten years ago. Terrorist attacks and cybercrimes are on the extreme end of the scale, however small businesses should invest in protecting their livelihood and the FSB believe that they can help on the journey for a better, protected future.
David Perry, Ruskin Square’s managing director also commented: “Recent research shared by BIBA indicates that 86 per cent of SMEs want to see more bespoke insurance solutions and 71 per cent feel the insurance industry uses too much jargon. FSB Insurance Service will be working hard to address those issues. Our key themes are advice, quality and value.”