A questionnaire posed to small business owners who attended the U.S. Chamber of Commerce Small Business Summit last week shows that the majority are at risk in the wake of a potential disaster.
Approximately 57 percent of small business owners surveyed feel only somewhat or not very confident that they have the appropriate insurance coverage to protect against insurable risks that can result in significant financial losses or cause them to go out of business.
Another 52 percent surveyed do not have a written business continuity plan or disaster recovery document that identifies and mitigates potential threats to a business, its employees and its customers in the event of a natural or man-made disaster or disruption.
“Given current economic conditions and increasingly unpredictable weather, small businesses have too much at stake to risk not having adequate coverage. While their larger counterparts may have the capital to self insure and cover gaps, a smaller enterprise without the same resources may be forced into bankruptcy. This has implications for not only small business owners, but also for their communities and our economy at large,” said Marc Schmittlein, President and CEO of Travelers Small Commercial Accounts. “The results demonstrate the need for small business owners to increase awareness of the risks facing their businesses. As one of the nation’s largest insurers of small businesses, along with our agents, we are committed to educating and arming entrepreneurs with tools and resources to manage risk, prevent business interruption and help them succeed.”
Source: Travelers Companies, Inc.
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