Suche
Mein Konto
Wood has never been the favorite line of business for industrial insurers, but now conditions for the industry appear to have become even more difficult. Almost one in four companies is no longer insured against fire damage, according to the German Saw and Wood Industry Association (DeSH). The reason for this is that insurers' demands on fire protection are too high and premiums are no longer affordable, says Julia Möbus, managing director of the DeSH. In the case of some companies, the insurers did not extend the policies or even canceled them.
Fire protection and premiums: Why the timber industry faces insurance hurdles
Wood has never been the favorite line of business for industrial insurers, but now conditions for the industry appear to have become even more difficult. Almost one in four companies is no longer insured against fire damage, according to the German Saw and Wood Industry Association (DeSH). The reason for this is that insurers' demands on fire protection are too high and premiums are no longer affordable, says Julia Möbus, managing director of the DeSH. In the case of some companies, the insurers did not extend the policies or even canceled them. According to a report from www.sueddeutsche.de, the fact that almost one in four companies in the wood industry is no longer insured against fire damage has far-reaching...
Fire protection and premiums: Why the timber industry faces insurance hurdles
According to a report by www.sueddeutsche.de,
The fact that almost one in four companies in the wood industry is no longer insured against fire damage has far-reaching effects on the market and companies in the industry. Insurers' excessive fire protection requirements and unaffordable premiums mean that many companies run the risk of suffering significant financial losses in the event of a fire. This creates uncertainty in the industry and may lead to a reduction in investment and hindered growth in the long term.
The companies that have been terminated by insurers face even greater challenges. Without insurance coverage, they are at very high risk and may need to take additional measures to protect themselves from fire damage. This can lead to increased costs and reduced competitiveness. There is also a risk that companies will have difficulty getting loans or closing new deals as potential business partners and lenders are concerned about the lack of insurance.
Overall, the lack of insurance in the timber industry leads to a more unstable and risky market situation, which can have long-term effects on the growth and stability of the industry. It is important that insurance companies and companies in the timber industry work together to find solutions that both ensure fire safety and are affordable for companies. This is crucial to secure the future of the industry.
Read the source article at www.sueddeutsche.de