Why You Must Get Insurance For Your Small Business

Hello, Small Business Owners.

I believe you are following the trends of events happening in South Africa?

Do you also remember what happened in Nigeria during the #EndSARS protest?

It is now an established fact that anytime protests occur in some African countries, small and medium businesses are attacked and heavily looted.

The reoccurring xenophobic attacks in South Africa have always targeted foreigners and their businesses mostly SMEs.

As a business owner, what are you doing or already done to protect your business in case of such eventuality?


What could you have done?


Have you insured that your business?

You’re staring at me.

If your business is attacked today protest style, what happens to you and the business? Lose your livelihood just like that and move on?

It should not be so.

Why You Must Get Insurance for your Small Business

Please listen to my advice today and ensure you get insurance for your small business.

It has been ascertained that most small businesses do not insure their businesses. The reason some of them I have encountered give centered on lack of trust and ignorance (rate and how it works).

Now, I am here to tell you that insurance doesn’t cost that much compared to the benefits.

Just reach out to any trusted insurance firm and they’ll come for evaluation ASAP.


For you in Agribusiness.

Have you heard of NAIC?

NAIC means Nigerian Agricultural Insurance Corporation.

That’s the firm saddled with Agricultural Insurance in Nigeria. Also offering other insurance packages.

Do you know you can insure your crops even before maturity?

Like, before you even harvest.

And if anything happens to your crops, say flood wash everything away. You can receive good compensation for it.

Are you aware you can insure your goods-on-transit?

Let’s say you’re moving your farm produce from one part of the country to another and your goods got damaged on the way, you’ll receive part or full compensation for it too. It all depends on the nature of the damage.

The juiciest part is that you can pay as low as #20k as insurance for goods worth about #1M?

I advise you to visit the NAIC office in your state and start making more enquiries.

A lot can be saved when our businesses and goods are insured.

I was marveled when the former State Coordinator of Anambra NAIC told me how much he paid as insurance claims last year to Anambra farmers affected by flood. Almost a Billion Naira. For the State alone.

Stop saying Insurance doesn’t work.

Most traders in our markets, both local and international markets have refused to insure their goods, but they spend so much on immaterial things weekly.

The amount some of them spend on drinks can actually cover the insurance fees, thereby ensuring their means of livelihood is somehow covered.

I saw how the livelihood of many businessmen/women went down the drain in the last Ochanja market fire.

That fire shattered many businesses. Some of the SME owners confided in me during my assessment that they actually borrowed money to restock and yet to pay back. Many had so much money locked in a safe inside their shops. Now they’re bankrupt.

These types of bankruptcy can be avoided. And it won’t cost you much. You’ll be surprised how much that little token you’re paying as insurance can get you as claim after a disaster.

A stitch in time, they say, saves nine.

Here is a list of the advantages of insurance for small businesses

  1. Provide fund security
  2. Share risk
  3. Local and International partners take your business serious
  4. Insured businesses easily access funding from banks
  5. Promotes foreign trades and direct investments
  6. Encourages saving
  7. Promotes the economy

Also Read: How Government Frustrates SMEs in Nigeria.

Please note that insurance does not protect all types of losses. So it is expedient you speak with your insurance partners on the

To your success.

Francis Nwokike

Francis Nwokike is a Social Entrepreneur and an experienced Disaster Manager. I love discussing new business trends and marketing tips. I share ideas and tips that will help you grow your business.

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