Small and medium-sized businesses are financially vulnerable to unforeseen events that affect them.
The year 2022 is a year of great trial for SMEs in Romania, after two consecutive years of the pandemic in which the lack of predictability was the key word in the local business environment. According to a study carried out by the National Council of SMEs, 68.32% of SMEs are affected by the global economic situation and 57.12% by the reduced predictability of the business environment.
Entrepreneurs on the local market are most afraid of the uncertainty in the market, the decrease in demand, new fees and taxes and the complex problems in the labor market.
Starting or developing a business in hostile conditions requires a lot of passion and dedication. Each business has its particularities and the complexity of the activities carried out by commercial companies involves various risks that require complete and flexible insurance.
To meet the needs of the SME segment, Groupama offers a dedicated product- Insurance for small and medium businesses that are addressed to companies that carry out production or commercial activities, that own one or more locations and that want as complete an insurance as possible.
Insurance for small and medium businesses can be customized, depending on the needs, being able to ensure the essential components of the business:
- buildings and other constructions
- equipment, installations, machines, equipment, fixed assets or inventory
- furniture, electronic and electrotechnical equipment
- stocks of goods and current means, raw materials, finished products or in progress
- own employees
- goods in transit.
In the course of the activity, depending on its specifics, the business is subject to various risks. Thus, buildings, equipment, machinery, materials, goods may be exposed to risks, such as:
- fire, explosion, falling bodies
- being hit by vehicles that do not belong to you
- damage to water, sewage or central heating installations
- storm, lightning, flood, landslides or landslides, earthquake, weight of snow
- theft, vandalism, political risks
- financial losses as a result of business interruption following a covered event
- sudden and unforeseen damage or destruction, due to internal causes, of production machines and equipment
- accidental damage or destruction of fixed or portable electronic equipment
- destruction, loss or theft of goods, produced during transport.
In the interaction with the company, customers, employees or third parties may suffer damages resulting from bodily injury and / or damage, destruction or loss of material goods, caused unintentionally either by the action of some people, the ruin of the building, things or animals belonging to the company.
Also, employees can be insured against other risks to which they may be exposed, such as: temporary incapacity for work (hospitalization, medical leave, surgical interventions), disability as a result of accidents or death as a result of accidents.
Depending on the object of activity, along with the basic coverages, you can choose one or more additional coverages to complete the table of coverages.
Here are some examples of situations in which you need insurance in case of disasters that can cause significant financial difficulties and disrupt the good functioning of the business:
- There is a sudden and unforeseen breakdown of a production machine due to internal causes, which leads to the impossibility of completing products and honoring orders.
- A total fire leads to the complete interruption of the activity, which can cause significant financial difficulties for the business due to the need to replace the machinery and bring the building back into working order.
- During a business meeting with a supplier at the company’s premises, the supplier is injured when a metal panel detaches from a wall. The provider claims the hospitalization expenses incurred as a result of the admission.
- As a result of insufficient safety measures taken by the company, a major incident occurs during the production process in which an employee suffers bodily injury. The employee claims the hospitalization expenses incurred as a result of the hospitalization.
- One of the products distributed by the company causes several consumers severe abdominal discomfort that subsequently requires hospitalization. Consumers claim hospitalization expenses incurred as a result of hospitalization.
- During transportation, the goods are damaged for various reasons, which causes penalties for late orders.
Challenges and unforeseen moments are part of any entrepreneur’s journey – you can’t avoid them or predict them, but you can insure them with the right policy. We hope this material has helped you discover it and better understand how the right insurance can help your business.