The Top Claims For Small Businesses

In a recent report by Property Casualty 360 See full Article, the top claims for small businesses were reviewed. In this report, a leading insurer of small businesses reviewed millions of policies over a five year period. We found the results interesting.

Business Insurance

Remember that business insurance protects your investment by minimizing financial risks associated with unexpected events such as a death of a partner, an injured employee, a lawsuit, fire, or a natural disaster. Here are some results we found interesting:

  1. Burglary accounted for 20% of the claims with an average cost of $8,000.
  2. Water damage had an average cost of $17,000, or 15%, of the small business claims.
  3. Wind damage, while not an exposure for every business, accounted for 15% of the total losses with an average cost per claim of $26,000.
  4. The traditional risk of fire damage had an average claim of $35,000 and 10% of the total.
  5. Product liability claims cost an average of $35,000.
  6. Property rights/ Reputation, while not a large percent of the claims, had an average cost of $50,000.
  7. Auto accidents accounted for only 5% of the total, but averaged $45,000 per claim.