Approximately seventy percent of business financial losses are estimated to be caused by just ten types of losses.
At the top of the list are fires, ship groundings, and airplane crashes. Natural disasters also make the list, including earthquakes, floods, and storms.
It is not surprising that some of the largest business losses come from incidents related to the oil and gas industry. Fires and explosions are not uncommon, and the magnitudes of the losses that can result are staggering. For example, one fire at a Siberian refinery complex is reported to have caused eight hundred million dollars worth of damage. This is not all that shocking, considering the technical complexity of refinery facilities and the machinery contained inside of them. Marine incidents can also result in huge losses, due in part to the high cost of removing wrecked ships from the ocean. The Costa Concordia is a well-known example of just how astronomical the costs of cleaning up a modern-day shipwreck can be, and how human errors can sink even the biggest ships.
Sometimes, losses in specific industries are not always caused in the ways that you might expect them to be. For example, in the aviation industry, you may think of claims arising when planes crash. Interestingly enough, while crashes are a major source of claims, incidents which occur on the ground also generate plenty of claims, including losses caused by birds, cows, and zebras.
Some types of claims result in individual claims that are relatively small in value, but which add up to significant costs when the total number of similar claims is considered. Examples of these types of business losses are personal injury and wrongful death claims, claims from product defects, and claims generated by automotive recalls.
It is important to note that while property damage claims for businesses can have high dollar values; claims for business interruption can be just as high or even higher. Interruptions in operations for even a short period of time can be extraordinarily costly, and the dollar amount of a business interruption claim grows higher and higher with each day that passes.
While the risks discussed here are some of the most common risks facing businesses today, each business is unique and faces a different set of risks.
You can reach Miami Insurance Claims Lawyer J.P. Gonzalez-Sirgo by dialing his direct number at (786) 272-5841, calling the main office at (305) 461-1095, or Toll Free at 1 (866) 71-CLAIM or email Attorney Gonzalez-Sirgo directly at [email protected].