For more on this part of the insurance industry:
Small to mid-sized enterprise (SME) insurance is a type of business cover that helps companies with fewer than 250 staff protect themselves from everyday risks. It can cover:
In the UK, SMEs make up 99.9% of all businesses. This insurance allows them to keep going when things go wrong, making it a key part of business survival and financial growth.
If a small craft beer company in Manchester with just 11 staff was hit by a cyberattack, it could shut down their systems for days. Without cyber cover, they might lose more than £25,000 in income.
A business policy that includes cyber insurance could help pay for lost earnings and recovery costs. Cases like this show why small businesses need strong protection to stay open and keep trading.
Many SMEs now work from both home and office which raises demand for cover on portable gear and lost income. More businesses are moving to cloud services, so cyber insurance is more popular.
SMEs are also choosing greener options, like electric vehicles, which has created new demand for insurance that covers eco-friendly assets.
Brokers must also focus on rising threats in the small to mid-sized enterprise insurance sector, such as:
Brokers should watch for storms and floods that make property cover harder to secure in certain areas. Hybrid working can also create gaps across multiple locations.
An SME is a small or medium-sized business with fewer than 250 employees. It can be run by one person or have a full team and offices.
They work in many industries, from tech to trades. They often need flexible support like small to mid-sized enterprise insurance to stay secure and to grow.
A business qualifies as an SME in the UK if it meets size and income limits. These are set by staff numbers, turnover, and assets:
These limits help decide what support and insurance options are available.
If a business has customers, staff, tools, or stock, insurance can help protect it. This insurance is useful for:
A broker can match each business with small to mid-sized enterprise insurance that fits its size, setup and hazards.
What are common coverage options for small to mid-sized enterprise insurance?
Clients can pick between basic or full insurance packages. Additional cover options include:
These can be included in a small to mid-sized enterprise insurance package.
Yes, most small enterprises require some form of insurance. Some types are required by law, and others help safeguard the business against costly problems.
If a business has staff, it must have employers’ liability insurance. Other cover, PL or PI insurance, is based on the work the business does.
Small business insurance in the UK usually costs between £50 and £500 a year, depending on the type of cover and business risk.
PL insurance may start from around £50, while employers’ liability can average £61 to £213 per year. Prices vary, so it’s best to get a tailored quote.
To learn more, read IB’s article covering all insurance needs for small businesses.
The small to mid-sized enterprise insurance market in the UK is large and growing. In 2023, it reached around £15.5 billion in written premiums.
This growth comes from rising costs, supply chain issues and more demand for specialised cover. The market is expected to increase in the future
