New businesses can struggle to find workers’ compensation insurance, among the many other challenges that start-ups already have to deal with once they open their doors.
“One of the reasons that carriers tend to have concerns about writing new ventures is the statistics behind failure rates. New venture operations tend to fail at a higher rate than existing operations,” said Matt Zender, AmTrust Financial Services‘ senior vice president of workers’ compensation strategy. “It can be difficult to get started, so when you are writing a new venture or operation, from the workers’ comp carrier’s perspective you want to make sure they’ll be in existence because if they go out of business, it can lead to difficulties in terms of getting the premium paid.”
You've reached your limit - Register for free now for unlimited access
To read the full story, and get unlimited access to Insurance Business website content, just register for free now. GET STARTED HERE
Already a website member? Log in below.