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Insurance broker warns cut backs could be costly

Henderson Insurance Brokers Teesside is warning businesses not to cut back on their insurance provisions as the financial impact of unexpected events can have a devastating impact.

The recent downfalls of snow and rain means there is a lot of water in the area which could become detrimental to businesses especially if their insurance policy is not adequate.

Emma Simkins, a director of Henderson Insurance Broker Teesside said: “When money is tight and cash flow is under pressure, businesses understandably scrutinise their outgoings and see where cut backs can be made.

“In a recession, some may mistakenly believe it is worth taking the risk of not renewing their annual insurance policy or buying an off the shelf bargain basement policy.

“It is vital that businesses seek expert advice to make sure that an insurance policy package is drawn up that is tailor-made for their needs.”

Last July furniture store Barker and Stonehouse at the Metrocentre, Gateshead was forced to shut as a month’s rainfall fell in just two hours with £500,000 worth of damage caused to stock alone.

Barker and Stonehouse, understanding the importance of a comprehensive insurance policy, was comprehensively covered and able to get the store back on its feet within two months.

It is an example of how making provision for an unexpected crisis is vital to the security of a business and the employment of its staff.

Barker and Stonehouse’s Managing Director James Barker said: “When the store flooded it was a nightmare, with thousands of pounds worth of stock damaged. Henderson had previously spent a lot of time making sure the policy was tailor-made for our needs. Their attention to detail and industry knowledge meant that our time could be concentrated on getting the store back up and running without a break in cash flow.

“This enabled us to get the store reopened with minimal disruption to our staff and customers, who are thrilled with the newly revamped store.”

This was posted in Bdaily's Members' News section by Recognition PR Business Team .