SME Insurance Index 2018
Description
One of the defining features of our era is an increase in choice. The digital age has brought with it an almost endless number of options and decisions to be made, making our lives more connected but ever more complex.
This broad trend is clearly in evidence in insurance, with a large range of events, covers, purchase channels and details facing SMEs as they try to manage risk for their businesses. We know that business insurance is complex at the best of times, so how are micro, small and medium sized businesses coping in the face of these choices?
This year we have taken a deeper look at the complexity of SMEs’ insurance arrangements and the resulting opportunities. Firstly, is insurance something they just let tick away in the background, or in the fast-paced world of change, do they review it more regularly? We asked SMEs what makes them review their insurance, and the short answer is that there are a range of triggers that cause SMEs to think about their insurance, from the end of financial year to buying new equipment and everything in between. Understanding this behaviour is important, because if brokers understand what makes SMEs think about their insurance, they can ensure that they are there to support and provide advice at the appropriate time.
Research notes
This report is based on research involving over 1,600 business owners and decision makers from around Australia. The research was independently* conducted in two stages:
Stage One – Quantitative Survey A nationwide online survey of 1619 business owners and insurance decision makers was conducted, covering a range of business types, locations and sizes. The survey was conducted during September 2017 and the data was weighted by state and organisational size to current Australian Bureau of Statistics (ABS) data.
Stage Two – In-Depth Qualitative Interviews A series of interviews was conducted with 8 SME respondents representing a mix of business sizes, types, attitudes to insurance, insurance purchasing channels and demographics. These sessions were held at respondents’ workplaces during January 2018.