WHY DO WE NEED INSURANCE?

When the subject of insurance comes up, it is generally not met with a great deal of interest or enthusiasm much of the time. However, having adequate insurance coverage of all types is an integral part of keeping your financial security and best interests in line. While it may be an appealing proposition to think that your home will never be damaged by a natural disaster or that you will never get into an automobile accident, the truth is that the best course of action is to prepare for the worst and hope for the best.

If you are a business owner you also have a lot to worry about. You have to keep your customers happy, your employees paid, and your liabilities for getting involved with lawsuits low. In addition to all of this, you have to keep a suitable amount of business insurance on hand to cover your business should an unfortunate accident occur.

Mojo Insurance services

Our knowledge of the insurance industry and experience in designing and handling insurance programs for all types of customers, enables us to provide advice on selecting the right insurance program to adequately cover the customers’ assets and liabilities. Through this vision, Mojo will offer their customers:

• Competitively priced products
• Peace of mind as to the adequacy and content of their insurance covers
• A sincere and personalised relationship
• A more profitable, productive and safer workplace for their staff

Underinsurance

Commonly many Australians underinsure – whether it be in domestic, commercial or third party capacity. Talk to an Insight insurance professional today to ensure your financial risk obligations will be fully compensated should disaster strike. Are you aware that:

• there are more than 8 million households in Australia and 1.6 million in New Zealand
• over 48% of these households are underinsured or have no building or contents insurance
• there are over 300,000 business in Australia
• over 50% have no business interruption insurance
• 26% have no insurance at all

Business Underinsurance

In 2008, the ICA undertook analysis into non-insurance in the small to medium-sized (SME) business sector via a survey of SMEs conducted by Woolcott Research. The survey found:

• 26 per cent of all SMEs do not have any form of general insurance
• Sole traders have the highest rate of non-insurance, with 40 per cent operating their business with no general insurance
• More than 80 per cent of SMEs that indicated they were inadequately insured cited the cost of premiums as a barrier to purchasing insurance
• Reform of taxation on general insurance products would reduce the cost burden to SMEs and contribute to a reduction in the incidence of non-insurance among SMEs
• For most small businesses, profit expectations do not appear to impact on planned insurance coverage, at least in the short term. Fifty per cent of respondents indicated they would leave their insurance coverage unchanged despite an expected change in profits over the coming year
• Buyers of insurance remain free to determine the level of cover they wish to acquire, they should be encouraged to do so in a realistic way by consulting resources that provide information on likely replacement costs