Taking Care of Business
December 2012
Clint Draper
Zurich Insurance Middle East
Who am I and why am I here?
• Head of Small Business at Zurich Insurance
• 10 years experience managing claims
• Two years in Zurich Australia, the No 1. SME insurance provider
SME’s in the UAE
• 190,000 business owners.
• Low insurance penetration
• Lack of understanding of insurance
• Negative mindset
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What is insurance?
• Security against an unexpected accident occurring to you or your
business.
• Insurance, in the simplest terms, means you pay a lump sum to get
protection against a large loss.
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History of insurance
• Used by Chinese and Babylonian traders in the 3rd and 2nd millenia
• Chinese distributed their wares across many vessels to limit loss
• Babylonian merchant loans – paid the lender an additional sum in
exchange for the lenders guarantee to cancel the loan should the
shipment be stolen or lost
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Why do we need insurance?
• Lends security
• Keeps the economy floating, ensuring that banks have enough moving
cash to keep businesses and industries running.
• Insurance means you do not have to be on the streets, if the bread
earner passes away, or the roof over your head is snatched away
• Or your life savings are stolen
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For businesses - Risk Management
• Do you have a risk management program?
• Have you Identified what the risks are for your business?
– Using reputable banks
– Checking your suppliers
• True risk management program
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Managing your finances
Managing your customer data
Cash flow – making sure that your income doesn’t get affected
Pay for your home, your family, people who you trade with also have
a financial stake in your business
– Ultimately your customer will be affected
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Can this happen to you?
Fire 1 - Al Sajjah industrial area.
Petrochemical warehouse
Barrels containing chemicals and
petroleum material were gutted
Fire 2 – gutted a construction site
in Al Taawun
Two workers suffered moderate
burns
Can this happen to you?
JLT Tamweel fire
• Residents lost all their
belongings
• Businesses in the building
were impacted
• No access to the premises
3,274
fires in 2012
10 a day
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Can this happen to you?
• Business owner running a
garment shop
• Brings his consignments from
India
• Stores it in a warehouse.
• Whilst transporting it to the
mall, his truck turns over
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Can this happen to you?
• Global attacks on ships by
pirates rose to 266
• More than 117 ships were
attacked and 20 seized by
pirates of the coast of Somalia
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Other important covers you should also
consider
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•
•
•
•
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Personal Indemnity
Worker’s Compensation
Medical Insurance for your employees
Directors and Officers liability
Fidelity Insurance
Personal Accident
• Be mindful of being underinsured or having inadequate insurance
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What to do next
Identify the risks in your business
What to expect from a broker
• Pick an industry professional. Someone that will take the time to
understand your business
• He will identify the most appropriate price for you
• Price is important but shouldn’t be the only deciding factor
• Pick some one with Integrity
• Make sure he is an expert in the Small to medium size arena
What to expect from an insurer
• Insurer with a global reach
• Service you anywhere in the world
• One that has been in existence for a number of years
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Zurich has been in the Middle East
for 25 years…
Kuwait
Bahrain
GI: Acquired license and
branch in 2010
Life: Established in 1986
GI: Obtained license and
opened Bahrain office in 2009
Lebanon
GI & Life: Acquired license
and subsidiary in 2010
United Arab Emirates
Qatar
Life: Obtained license and
opened Qatar office in 2007
Life: Established in 1986
GI: Reinsurance license
obtained in 2009. Acquired
onshore license and branches
in Dubai, Abu Dhabi, Al Ain and
Sharjah in 2010
Oman
GI: Acquired license and
branch in 2010
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