Institute of Automotive Mechanical Engineers, IAME, Insurance

Acacia Insurance named new IAME association insurance partner

Sydney, Australia: Acacia Insurance is pleased to announce its appointment as the insurance partner for the Institute of Automotive Mechanical Engineers (IAME).

IAME was established in 1936 to create a joint network for people in all aspects of the automotive industry. The organisation now has approximately 20,000 members.

Acacia Insurance, which is part of the award-winning Insurance Advisernet group, was selected as the insurance partner for IAME after demonstrating the ability to meet the organisations unique needs around flexibility, ease and geography.

Peter Blanshard, CEO of IAME, said: “The major point of difference in our view, by engaging [Acacia Insurance and Insurance Advisernet] is their ability to provide tailored solutions for our members, rather than a one-size-fits-all approach.

“We were looking for the right insurance organisation to create a sustainable partnership with – one that will provide a real benefit to our members over the long term.”

Martin van Rhoon, Acacia Insurance Director, added: “The fact that we have ‘skin in the game’ – and we are business owners helping business owners – this really highlighted the great fit between our network and the IAME network.

“We face the same business challenges and opportunities, so we are well placed to provide the correct advice and to build trust with the IAME members.”

For all media enquiries please contact:
Melissa Montang, Head of Marketing and Communications at Businessary
+61 431 251 339 | [email protected]


About Acacia Insurance

Our philosophy is based on bringing years of corporate expertise to everyday SME, commercial and corporate business.

In an insurance market that is becoming increasingly commoditised, even at the corporate end, we often find that insurance programmes are not sufficiently tailored to meet the needs of organisations now and into the future. Or, they’re simply poorly constructed, exposing the client organisation to unexpected loss.

We have an outstanding team with a high degree of expertise, which collectively has over 85 years of industry experience at the pointy end of risk challenge, policy construction and placement.

Acacia Insurance is locally owned and operated, and, as a Corporate Authorised Representative of Insurance Advisernet, has access to industry leading resources, compliance and research, which is leveraged to the benefit of our clients.

For more information, click here.

About Insurance Advisernet

Insurance Advisernet was founded in 1996 with the aim of providing high quality risk management advice that business owners can trust. Today they’re one of the largest and most respected general insurance businesses in Australia and New Zealand, with an ever-growing network of more than 180 insurance advisers across 140 locations.

As part of the AUB Group (formerly Austbrokers), an ASX-listed company with over $4.5 billion in gross written premiums under management, our buying power spans major insurers in Australasia as well as access to major overseas insurers.

For more information, go to insuranceadviser.net.

award winning network insurance advisernet

Proud to be part of award-winning Insurance Advisernet

Acacia Insurance is part of the Insurance Advisernet network, and we’re so pleased to note that the Australian and New Zealand Institute of Insurance and Finance (ANZIIF) has named Insurance Advisernet as the Authorised Representative Network of the Year for 2018!

The authorised representative channel is the fastest growing channel in Australia, which helps to demonstrate that advice and trust is winning over direct price competitors.

Find out more about the exciting win here.

Benefit to clients

Being part of Insurance Advisernet is a significant benefit to Acacia Insurance clients. With 190 network businesses and 350 advisers across Australia and New Zealand, our network can help look after your needs no matter your location or geographical spread.

The network places over $500m in gross written premium, meaning that when we negotiate with our insurer partners on behalf of clients, they take us seriously!

We’re also proud of the fact that last year the Insurance Advisernet Foundation contributed more than $400,000 to charities including the Tour de Cure, Lifeline, Prostate Cancer Council of Australia, Beyond Blue, Juvenile Diabetes Research Foundation, Pause 4 Parkinsons and the McGrath Foundation.

non profit insurance, not for profit insurance, NGO insurance

Acacia Insurance expert interviewed in Not For Profit feature

Acacia Insurance is pleased to note that our Director, Martin van Rhoon, was recently interviewed for an Insurance Adviser magazine feature on not-for-profit insurance. In particular, van Rhoon highlighted that more than half of non-profit organisations do not have a risk management plan in place, and even fewer have a risk register.

Original article published by Insurance Adviser, entitled “NON PROFIT. NO PROBLEM.”
Full text available on Insurance & Risk Professional.

By Cath Dickinson

We all have causes close to our hearts. Some of us donate money for research into a disease affecting a family member. Others spend their weekends supporting fundraising activities for their kids’ primary school or sporting club. Then there are those who volunteer their time at charity events or put their hand up to help others in times of extreme need. No matter what it is, chances are there’s a not-for-profit organisation with a mission to serve that cause.

The size of Australia’s not-for-profit sector is significant. There are currently more than 52,000 organisations registered with the Australian Charities and Not-for-profit Commission (ACNC). In 2016 these organisations generated a total of $142.8 billion, engaged 1.3 million paid employees and worked with 2.9 million volunteers. And that’s to say nothing of the many more small charities and community groups that don’t register with ACNC.

“The not-for-profit sector is certainly diverse,” Graeme Berwick, Executive Director at Community Underwriting, says.

“From large religious orgnisations with substantial property portfolios down to small community groups raising funds at a weekend Bunnings sausage sizzle, it’s a sector that makes significant social, economic and cultural contributions to our community.”

And it’s a sector that continues to grow, according to Berwick.

“New charities are constantly appearing as particular needs arise or to replace other organisations that have lost funding or support. We’ll definitely continue to see steady growth in the number of not-for-profit organisations, but it will mostly be at the smaller end,” he says.

Meeting not for profit insurance challenges

As with all other areas brokers operate in, the not-for-profit segment comes with its own challenges, and brokers need to invest time in understanding the range of activities their clients engage in.

“Understanding exactly what an organisation does and being able to tailor a solution for all their activities, while still processing the risk efficiently, can be a challenge,” Berwick says.

“A common example is a church. This can be a simple risk, with a small congregation meeting only once a week, or it could be an extremely complex combination of risks because the church regularly takes children on camps with water sports and other higher-risk activities.

“It comes down to taking the time to develop a detailed understanding of the not-for-profit organisation you’re dealing with and its activities. You need to nail down all the nuances to ensure you’re providing an effective solution.”

Martin Van Rhoon, Director at Acacia Insurance, agrees.

“It’s like any segment you operate in. You need to understand the segment, the potential exposures your client faces and then be able to put solutions in place to meet those challenges. It takes time and focus, but it’s not rocket science,” he says.

“One of the biggest challenges not-for-profit organisations face is navigating risk, but brokers are in an ideal position to provide them with advice in this area.”

Van Rhoon points to a survey carried out by PPB Advisory in 2010 to illustrate his point.

“The survey found that many not-for-profit organisations are not effectively managing their risk, despite the high duty of care owed to their stakeholders. Only 51 per cent of not-for-profits were found to have a risk management plan in place and less than 35 per cent had a risk register of any sort.

“While it can be a challenge to convince some not-for-profits about why a risk management exercise is important, it also represents a real opportunity for brokers. They can guide and advise their clients when it comes to identifying risks, prioritising them and putting solutions in place to manage and treat those risks.”

While not-for-profits come with their own nuances, Nicole Mellick, Director of Business Development and Retention at GSA Insurance Brokers, believes it’s really no different than dealing with any other segment.

“Brokers need to act like they would in any other segment,” she says. “Yes, there will be specifics, but an all-in approach to understanding the business, its risk tolerance and strategies to manage risk will result in the right cover being designed and put in place.

“Unfortunately, it’s often an under-appreciated segment and there can be a stigma that many not-for-profits only work on a pro bono basis.

“However, as with any client, the exchange for value should be fairly approached by both parties. This may mean an appropriate fee for service, but the value the not-for profit organisation provides to the community should also be taken into account.”

Mellick believes there’s also an opportunity for brokers to identify not-for-profit organisations with values aligned to their own or that work in areas of personal significance.

“Any broker with a thoughtful strategy to add value to clients in this space will undoubtedly be able to capitalise in the not-for-profit segment.”

Understanding non-profit emerging risks

The operational risks faced by not-for-profit organisations have grown substantially in recent years. This has, in part, been fuelled by an increase in government red tape and also a greater public awareness of legal rights.

“Not-for-profits are now subject to far more regulatory scrutiny and operational risk than ever before,” Acacia Insurance’s Van Rhoon says.

“It’s something organisations are grappling with for a couple of reasons. First, they don’t feel they have the capacity to deal with all the red tape, and second, they don’t think they have the funds to build a strong rigour around operational risk.

“It’s definitely an emerging risk in this segment and one that brokers need to keep an eye on.”

Van Rhoom also points to cyber crime as a growing risk for the segment.

“Cyber crime is a growing concern for all businesses and the general community, but keep in mind that not-for-profits generally hold an enormous amount of sensitive information belonging to third parties – not least of which relates to the people who donate to them,” he says.

“There are lots of not-for-profit organisations carrying extremely sensitive personal information. Imagine the consequences if that information was hacked. The potential loss of trust and reputational risk for an organisation are immense.”

Community Underwriting’s Berwick says another looming risk for some not-for-profits is the National Disability Insurance Scheme (NDIS).

“The NDIS is one of the biggest challenges for our disability services clients. Client directed care has really turned the business of many not-for-profits on their head,” he says.

“And let’s not forget the Federal Government’s Royal Commission into Institutional Responses to Child Sexual Abuse. Each State and Territory Government is taking a slightly different approach, but the potential to remove the need to defend an organisation through non-delegable duty of care could see insurers cease to be able to provide certain types of cover to organisations working with vulnerable people.”

Knowing your not-for-profit clients

For Acacia Insurance’s Van Rhoon, it all comes down to knowing your clients.

“If you have general clients, you ask the same questions,” he explains. “It comes back to the relationship that a broker builds with their clients and the extent to which they seek to understand who the not-for-profit is, what they do and how they conduct themselves. If you build that knowledge and have a depth of understanding, you’ll be in the best position to talk to them about the cover they need.”

For the full article, please go to: https://insuranceandrisk.com.au/article/non-profit-no-problem/ 

IAME, Institute of Automotive and Mechanical Engineers, Insurance

Why do small businesses play Russian roulette with their survival?

So, you build a business, work six or seven days a week, long days, long nights for years on end – a journey your young family endures along with you. Why? Because you want to build the lifestyle you’ve always envisaged and to be able to give your kids something better than what you had.

Finally, you’re getting somewhere, you have a good business, a good lifestyle and your life’s plan is on track. So why then do so many business owners play Russian roulette with their survival?

The statistics paint a sorry tale for way too many businesses. These stats can add up to catastrophic outcomes for businesses that are underinsured, or, even worse, have no insurance at all. Especially when it comes to Business Interruption (BI) risks.

Statistics

  • 32% of SMEs admit that being unable to trade is their biggest concern (Vero) YET…
  • Nearly 65% of SMEs don’t buy Business Interruption insurance (Insurance Industry)
  • Only one in ten businesses will survive after a major loss in the absence of adequate cover (LMI Group)

The disconnect

Given the above, it would seem there is a disconnect here.

Business owners would hardly contemplate not insuring the physical assets of the business, recognising its vulnerability to loss from fire, storm, flood etc.

Yet, amazingly, businesses often fail to come to the next logical conclusion – severe loss or damage to those assets will automatically lead to disruption of the business operations. For instance, premises and production plant are severely damaged – where are you going to work from, how long will it take to repair/replace plant, where are the next sales and payroll to come from?

Even if capable of being outsourced, there is a time element to do so and, invariably, an extra cost to the bottom line.

It is rare to encounter a business where severe physical loss or damage DOES NOT lead to business interruption with all its consequent extra costs to the bottom line.

Insuring the physical assets is merely half the solution to protecting the survival of the business.

Are business owners to blame for not taking up business interruption cover?

Business interruption insurance can be a little complex and the stark reality is that most business owners don’t understand how the coverage operates and unfolds to protect their business and their revenue or profit. Nor are they cognisant of what actually happens in the event of a loss and the sorts of costs they will incur to keep their business running and maintain their desired level of revenue or profit.

However, here’s the rub…having run large insurance broking teams for a number of organisations, it’s clear to me that many insurance brokers themselves are not sufficiently conversant with the coverage and secondly, they don’t delve deeply enough into a client’s operation in order to advise them sufficiently and articulate the need. Because of this, some brokers actually steer away from having deeper discussions around this critical coverage.

Therefore, the poor statistics remain!

What should business owners do?

As a business owner you should invite these discussions with your broker and seek a detailed understanding of how the coverage operates.

A good starting point for all business owners is to think about a ‘disaster recovery plan’ even if this is a simple approach to documenting what will happen from day one of a major loss through the first 12 months (sometimes longer depending on the business). This will help to crystallise some of the actions and costs that are involved and how you can protect your business. Your broker should be leading these discussions, and if they aren’t, you should evaluate the level of advice and expertise you’re receiving.

What does all this really mean?

At the end of the day this is about what you have built and why. How much are you willing to gamble by ignoring this form of protection, considering the stakes indicated by the statistics?

I was talking to a prospect recently – he’s built a great business with about 60 employees, a national spread and healthy profit. But he’s opted for limited business interruption coverage.

What this really meant for him is that if the worst occurred, all his best laid plans of retiring in five years and living the life he always dreamed of would be out the window and he could be left battling to save his business and his livelihood.

Take away

Of course, underinsurance, or lack of insurance is not limited to just risks stemming from business interruption. Exposures such as cyber (the somewhat new kid on the block), professional indemnity and even basic fire and others, if not dealt with appropriately, have the capacity to derail your business and your life’s endeavour.

However, business interruption insurance remains a long standing ugly statistic that is commonly overlooked, even when it’s one of the biggest risks facing the vast majority of businesses.

Business Interruption Insurance is an affordable, extremely flexible coverage that will prevent insurable catastrophes from derailing your business. It’s a coverage designed to put you back in the same position you were before the loss… frankly it’s a no brainer.

These statistics are real, they tell a sad tale for too many. Don’t gamble with your future! You’ve spent a lifetime building it, seek out good advice and act upon it!

Contact IAME’s Insurance Partner, Acacia Insurance

Need help or want more information? Contact us on [email protected] or +61 414 290 446.


This advice is general and does not take into account your objectives, financial situation or needs. You should consider whether the advice is suitable for you and your circumstances. Before you make any decision about whether to acquire a certain product, you should obtain and read the relevant product disclosure statement.

Why use an insurance adviser? Find out the value of getting advice on insurance!

With experience of advising clients on their insurance and risk over many years, we innately know the value of getting an insurance agent, broker or adviser to help you protect yourself and your business.

We have seen the peace of mind and benefit you get from having the right size insurance solution, and the right person to contact when things don’t go to plan.

The value of getting advice on insurance

But maybe not everyone already knows why you should use an insurance adviser. Check out this video from our network, Insurance Advisernet, to find out more!

Proud to be part of a network that gives back

At Acacia Insurance, we’re proud to be part of Insurance Advisernet.

Not only do our clients benefit from being part of our network, but so does the community!

You can check out a wide variety of ways that IA gets involved and gives back (there are a number of stories on their news page here), but one that recently caught our eye was the donation of a defibrillator to the Port Hacking Open Sailing Club.

Community focus close to home

Port Hacking Open Sailing Club is a not for profit organisation, located on the shores of Yowie Bay in Sydney’s south. Their focus is on building social capital through engagement with the community, helping to develop and share an interest in sailing, and promoting sailing as a safe family activity. Their interest in getting funding for a defibrillator became important after a visitor to their club house suffered a heart attack on the premises (luckily, a local doctor was there to provide aid in this case).  You can read more about it here.

 

Do you know your obligation under the Notifiable Data Breach Scheme?

We’ve seen countless headlines, both in Australia and overseas, about data breaches, human error and sensitive information leaks. As you may or may not have already heard, laws have been strengthened with amendments to our privacy legislation, which came into effect on 22 February 2018.

Mandatory Notifiable Data Breach reporting will impact all companies with a turnover of greater than $3m, as well as all companies (regardless of turnover) that are credit reporting bodies, that are health and medical research businesses, or that hold Tax File Numbers.

To make sure you understand your obligations to the legislation, take a look at this recent article from our network, Insurance Advisernet.