Taking Care of Business December 2012 Clint Draper Zurich Insurance Middle East

Who am I and why am I here? Head of Small Business at Zurich Insurance 10 years experience managing claims Two years in Zurich Australia, the No 1. SME insurance provider SME’s in the UAE 190,000 business owners. Low insurance penetration Lack of understanding of insurance Negative mindset 3

What is insurance? Security against an unexpected accident occurring to you or your business. Insurance, in the simplest terms, means you pay a lump sum to get protection against a large loss. 4

History of insurance Used by Chinese and Babylonian traders in the 3 rd and 2 nd millenia Chinese distributed their wares across many vessels to limit loss Babylonian merchant loans – paid the lender an additional sum in exchange for the lenders guarantee to cancel the loan should the shipment be stolen or lost 5

Why do we need insurance? Lends security Keeps the economy floating, ensuring that banks have enough moving cash to keep businesses and industries running. Insurance means you do not have to be on the streets, if the bread earner passes away, or the roof over your head is snatched away Or your life savings are stolen 6

For businesses - Risk Management Do you have a risk management program? Have you Identified what the risks are for your business? –Using reputable banks –Checking your suppliers True risk management program –Managing your finances –Managing your customer data –Cash flow – making sure that your income doesn’t get affected –Pay for your home, your family, people who you trade with also have a financial stake in your business –Ultimately your customer will be affected 7

Can this happen to you? Fire 1 - Al Sajjah industrial area. Petrochemical warehouse Barrels containing chemicals and petroleum material were gutted Fire 2 – gutted a construction site in Al Taawun Two workers suffered moderate burns

Can this happen to you? 9 JLT Tamweel fire Residents lost all their belongings Businesses in the building were impacted No access to the premises 3,274 fires in a day

Can this happen to you? 10 Business owner running a garment shop Brings his consignments from India Stores it in a warehouse. Whilst transporting it to the mall, his truck turns over

Can this happen to you? 11 Global attacks on ships by pirates rose to 266 More than 117 ships were attacked and 20 seized by pirates of the coast of Somalia

Other important covers you should also consider 12 Personal Indemnity Worker’s Compensation Medical Insurance for your employees Directors and Officers liability Fidelity Insurance Personal Accident Be mindful of being underinsured or having inadequate insurance

What to do next 13 Identify the risks in your business What to expect from a broker Pick an industry professional. Someone that will take the time to understand your business He will identify the most appropriate price for you Price is important but shouldn’t be the only deciding factor Pick some one with Integrity Make sure he is an expert in the Small to medium size arena What to expect from an insurer Insurer with a global reach Service you anywhere in the world One that has been in existence for a number of years

14 Zurich has been in the Middle East for 25 years… Kuwait GI: Acquired license and branch in 2010 Lebanon GI & Life: Acquired license and subsidiary in 2010 Bahrain Life: Established in 1986 GI: Obtained license and opened Bahrain office in 2009 Oman GI: Acquired license and branch in 2010 United Arab Emirates Life: Established in 1986 GI: Reinsurance license obtained in Acquired onshore license and branches in Dubai, Abu Dhabi, Al Ain and Sharjah in 2010 Qatar Life: Obtained license and opened Qatar office in 2007