Many Australian businesses are unprepared for the hardships and financial loss that can occur after a bushfire.
As Australia braces for a second heat wave, homeowners are preparing to protect their property from the devastating effects of bushfires. However, a number of underinsured business owners are facing potential financial losses.
Underinsurance is a significant risk across Australia, and almost 80 per cent of businesses need more cover, according to Insurance Risk & Professional.
Often it is not until disaster strikes that a company owner becomes aware of the inadequacies in their business insurance policy.
Currently, property owners in Perth Hills are recovering from a bushfire that has caused an estimated $15 million in damage, according to the Insurance Council of Australia (ICA).
Fortunately, the federal and Western Australian governments have committed additional funding to help homeowners and businesses cope with the expense of cleanup.
“The decision by the Federal and WA Governments to allocate funds will speed up the cleanup process and help all those affected by the fires to move on and focus on rebuilding their lives,” ICA Chief Executive Officer Rob Whelan said in a January 16 statement.
However, business owners should be prepared for the recovery process to take weeks or even years before operations return to pre-bushfire levels.
It is therefore important to ensure you and your organisation are adequately prepared for natural disasters and other loss-causing weather events.
A simple way to make sure your company can recover financially after a bushfire is to review your business insurance policy regularly to ensure the value of your company is suitably reflected in your cover.
Choosing the right business insurance policy can be complicated as there are many variables affecting different funds, such as regulations and exclusions.
Fortunately Bruce Insurance is an insurance broker Perth and Western Australian-based companies can rely on tailor a policy that will best suit your organisation’s needs and requirements.
For more information, get in touch with Bruce Insurance today.