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Insuring Businesses, What Did I Just Buy?
In my youth, my father was an insurance broker. I had a tough time understanding what he really did day to day. He, many years later summed it up succinctly, “insurance is of no value until it is needed”. Ponder this for a minute. I’m paying for something I may never use, yet when I need it, I’m not sure how to use it. Too common a story. Most business owners have a low understanding or zero knowledge what insurance does for them except liability covers a requirement by the landlord, or worker’s compensation covers employees against injury on the job. Insurance is a quirky, clunky B2B product or suite of products providing a lifeline for companies if a loss occurs, usually a financial loss. Knowing an insurance program is in place and what each coverage in a broad sense covers is a good starting point.
Many small business owners and executives, out of personal interest value understanding certain aspects of their organization outside their daily roll is worth exploring: self-study, workshops, online courses and so on, for example learning about supply chain dynamics, lease contracts or how to analyze a profit and loss statement. All are useful added knowledge for a well-rounded leader.
Insurance as a topic of conversation is about as exciting as watching paint dry. It’s a dull topic. It sounds like the monotone droning of Charlie Brown’s school…
