Vero's 2026 SME Insurance Index Uncovers Critical Risk Management Shortfalls

This finding is particularly concerning given that 47% of businesses reported a decline in revenue over the past year, with small and micro businesses being the most affected. Economic pressures, coupled with operational challenges, underscore the need for robust risk management frameworks to navigate uncertainties effectively.

Business continuity planning (BCP) also appears to be a blind spot. The index reveals that 42% of businesses have no BCP in place, and among those that do, many have never tested their plans. This lack of preparedness can leave businesses vulnerable to disruptions, from cyber incidents to natural disasters.

On a positive note, the report highlights the value of insurance brokers in enhancing risk management. Businesses that engage brokers report higher satisfaction with their claims experiences, with 95% of heavy broker users expressing contentment. Brokers provide not only insurance solutions but also strategic advice, helping businesses identify and mitigate risks proactively.

For home-based service providers, these insights serve as a call to action. Establishing formal risk management processes and engaging with experienced insurance brokers can significantly enhance resilience. By doing so, businesses can better protect their operations, assets, and reputations in an increasingly complex environment.