Navigating Supply Chain Risks with Business Interruption Insurance
Recent news highlights the increasing vulnerability of global supply chains to various disruptions, underscoring the critical need for businesses to safeguard their financial stability. In 2024, over 76% of European shippers experienced supply chain disruptions, with almost a quarter facing more than 20 disruptive incidents, leading to difficulties in securing necessary production materials. This situation is anticipated to remain similar in 2025, emphasizing the importance of proactive risk management and appropriate insurance coverage for potential business interruptions arising from these challenges. While traditional business interruption insurance focuses on direct physical damage, the interconnected nature of modern commerce necessitates a broader understanding of available insurance options to mitigate the complex risks inherent in today’s supply chains.