Businesses have improved access to commercial insurance: IBC surveys

Most businesses have improved access to commercial insurance at more affordable prices than at any time in the past four years, according to recent surveys conducted by Insurance Bureau of Canada (IBC).
IBC conducted two surveys to gauge the experiences of commercial insurance consumers when insuring their businesses.
One survey polled 158 commercial insurance users to measure the experiences of commercial insurance consumers directly.
The other survey involved speaking to commercial insurance brokers in Ontario, Alberta, British Columbia, P.E.I., Nova Scotia, New Brunswick, and Newfoundland & Labrador, so that the change in their clients’ insurance rates could be tracked over time.
The commercial insurance consumer survey found the majority (55%) of respondents reported a positive or very positive experience in getting insurance for their business or non-profit. Forty per cent reported a neutral experience.
Only 5% of respondents had a negative experience.
In addition, more than three-quarters (77%) of respondents reported they were able to maintain their existing level of coverage, and did not have to reduce coverage in order to control costs.
These results are bolstered by the responses from the second survey, which polled commercial insurance brokers.
The broker survey found that rates decreased across all lines of coverage between 2004 and 2007.
Only a small minority (9%) of respondents in the broker survey said they were required to meet special conditions to keep their insurance. One respondent, for example, had to remove a pellet heating stove from his office to keep his insurance.
“We’ve been working hard with stakeholders over the last few years to make insurance more accessible for businesses,” said Don Forgeron, IBC’s vice president for Ontario. “These surveys show that industry efforts have been fruitful.”
Despite the overall positive results of the survey, respondents still indicated the industry could be doing more for these consumers. A large majority of respondents (86%) said that more should be done to educate insurance consumers.
As a result, in the coming year, IBC says it will be doing more to better inform commercial insurance consumers.