When businesses expand across borders for the first time, they face new risks and may require additional insurance coverage for each new market. Here is a series of questions to help risk managers and other decision-makers identify new exposures and prepare for discussions with agents, brokers, and insurers about building a multinational insurance program.
The first step in planning a new multinational insurance program is to determine what risks will emerge when your business begins operations in one or more new nations or jurisdictions. You can start to identify specific exposures by answering these questions:
Your knowledge of your business’s operations will help you identify and mitigate key risks. You’ll also want to turn to your insurance advisors to better understand risks associated with each new location. Here are questions to discuss with insurance agents, brokers, and carriers:
When you establish a multinational insurance program for your business, you’ll want to be sure that any prospective insurer can meet the needs of your growing business. Here are some questions to ask:
Once you’ve identified exposures specific to your business and new locations, consider each of the following options for your multinational insurance program:
When considering your insurance program options, factor in the type of coverage you’ll need as well. For instance, if you plan on operating a vehicle fleet in a new location, you’ll likely need local commercial auto coverage. In this case, a single global policy likely will not provide adequate coverage.
Once you’ve answered the questions above, reach out to a broker or agent with multinational experience to discuss your coverage options. When evaluating insurers, holistically consider pricing, coverage, and services.
This document is advisory in nature and is offered as a resource to be used together with your professional insurance advisors in maintaining a loss prevention program. It is an overview only, and is not intended as a substitute for consultation with your insurance broker, or for legal, engineering or other professional advice.
Chubb is the marketing name used to refer to subsidiaries of Chubb Limited providing insurance and related services. For a list of these subsidiaries, please visit our website at www.chubb.com. Insurance provided by Chubb Insurance Company of Canada or Chubb Life Insurance Company of Canada (collectively, “Chubb Canada”). All products may not be available in all provinces or territories. This communication contains product summaries only. Coverage is subject to the language of the policies as actually issued.