The Insurance Council has revealed some startling information following a survey by Woolcott Research of 1,000 Australian Businesses which have less than 20 Full-Time Employees.

Sole traders comprised 25% of the sample, businesses with up to four (4) employees 42%, up to ten (10) employees 22%, and the remaining 11% in the segment to nineteen (19) employees.

The findings show that 40% of sole traders and 26% of the entire sample of 1,000 operate with no insurance at all, while most who have insurance consider they are adequately insured. Of those uninsured and those who think they are underinsured, cost was cited as their main reason for not insuring adequately.

This is another example of how taxation reform would assist in the drive to reduce the incidence of underinsurance and increase the purchasing of insurance in the personal and small business market sectors.