Securing Growth: A View of the US Insurance Landscape
SMEs that invest time and money in sound planning for their US launch will avoid costly mistakes. That extends to insurance…
Outside of the brokerage community, insurance isn’t a particularly thrilling topic. The exercise of imagining everything that could go wrong is a grim one—particularly in 2020. Still, when entering a new market, particularly one as large and complex as the US, planning for the unexpected is essential.
The US is a competitive market and investors may only have one chance to get it right. Securing business activity with the appropriate insurances can give international investors the confidence that should the worst happen their business can survive it whether that be unexpected losses or lawsuits.
In this way, insurance is yet another tool that can help drive business growth—providing the assurance and financial stability needed whether as a prerequisite for securing capital or as a catalyst for innovation. Investors should therefore think about the most appropriate coverage for their business well before selling products and services into the US market. A starting place is likely with your current domestic carrier. Does their coverage extend to the US market? Have you sought in market expertise on what you will need to protect your growth? Did you read the fine print?
In our 9th and final full-length episode of season 1 of the America Made Easy Podcast, we sit down with Avitus Director of Insurance and Chief Underwriting Officer Kevin Mayo to work through the risk scenarios you need to consider as a part of your US market entry plan. A well-planned market entry strategy can easily be upended without properly insuring products, officers and activities.
Tune in to our 9th full length episode as we take a look at the US insurance landscape and the essential insurances our international planning team recommends for SMEs building a strong foundation for growth and seeking peace of mind.
Value Bombs from the Podcast
- Insurance is regulated by individual states in the US rather than at the national level—while similar from state to state, regional requirements can differ.
- Insurance coverages in the US are often combined; for example, US General Liability policies have one limit rather than being split into Public Liability and Products Liability insurance.
- Policy extensions from your domestic carrier to the US market often do not provide adequate coverages and limits for the US. Always get insurance from a US carrier for the US operations.
Resources Mentioned in the Podcast
Working with Americans: How to Build Profitable Business Relationships
By: Allyson Stewart-Allen and Lanie Denslow
-Our listeners can order the book and claim a 20% discount with the code “WWA20” at http://bit.ly/WWA-order-Routledge. Note the code expires on 31 December 2020.
Support for America Made Easy comes from Newable Avitus the Transatlantic Joint Venture supporting ambitious SMEs with setting up in the United States. We help make entrepreneurs lives easier by providing an operational solution for their US expansion strategies so that they can focus on driving revenue and doing what they got into business to do in the first place.
Newable – On your side in the UK
Newable helps companies thrive by providing the essential resources they need to take the next step with their business by offering financing, premises and professional support. Newable works with 22,500 businesses a year at the heart of the UK economy, helping people start, scale and sustain their enterprises. Newable’s purpose is to achieve profit and social impact in equal measure.
Avitus – On your side in the US
For over 20 years, Avitus Group has provided business administration services for more than 3,000 companies in the US. Avitus Group’s Business Solutions includes a suite of specialist services designed to help clients simplify, strengthen and grow their business. From planning your entry into the US market to helping you sustain your business, Avitus offers the combination of customised and comprehensive support you need.