A recent report states that 4 out of 10 small businesses are likely to experience an insurance loss in the next 10 years.
This report was a very thorough one that looked at more than a million insurance policies over a 5 year period.
The most common cause of loss was burglary and theft, affecting 20% of the businesses. The average claim was about $8,000.
Next were water and freezing damage claims, affecting 15% of the businesses and averaging about $17,000.
Wind and hail losses averaged about $26,000 and affected 15% of the businesses.
Fire losses affected 10% and average $35,000 per claim.
The 5th most common claim was customer slip and fall. This affected less than 5% of businesses and payouts averaged $30,000.
Surprisingly, vehicles accidents was 10th on the list but had one of the highest average claim amounts at $45,000.
Business Owners should frequently review their insurance plan with their independent C.T. Lowndes & Company insurance agent to make sure the business is properly covered.