How Have Risk Costs Changed in the Last Decade?
By Joe Anderson, CPCU, ARM AFSB, CBRA
Principal & Fractional Chief Risk Officer
What are the most costly losses a small businesses can experience ... and how have these trends changed over the last 10 years?
Glad you asked. I found a very interesting article found in Risk & Insurance Magazine referring to a study by The Hartford (researching over 1 million policies) on just this subject.
Here are some of their findings comparing 2025 to 2015:
1) Fire damage remains the highest risk at an average of $80,000 per loss (up from $35,000).
2) Vehicle Accidents were next at $50,000
3) Then customer injuries at $45,000 (think slip and fall exposures)
!Surprise Finding! - Water Damage and Freezing claims now account for 20% of all claims, where they were only 15% in 2015.
We can't always predict the future, but we can be prepared to reduce or eliminate future losses. Contact our team of Risk Resiliency Experts at Fortify Risk Management, LLC here for an initial consultation: https://www.fortifyriskmgmt.com/assessment
Source: https://riskandinsurance.com/water-freezing-and-fire-damage-top-small-businesses-claims/