For many businesses, insurance renewals can become a “set and forget” exercise. The policy rolls over, premiums are paid, and everyone moves on to the next priority.
But the market is shifting fast and few brokers or clients are dialing in the detail at renewal. The problem is, missing a few key updates today can create significant financial consequences later – at claim time.
Across construction, transport, logistics, commercial property, and fleet insurance, we’re seeing real-world changes that are directly affecting claims, replacement costs, and business continuity. In many cases, sums insured that were adequate two or three years ago may no longer reflect the true cost of replacing assets, repairing damage, or keeping operations moving after a loss.
Key trends we’re seeing in the market
Construction costs continue to rise
Material inflation is real and remains a major factor across the building sector.
We’re seeing significant price increases across key materials including PVC piping, timber, steel, roofing products, and insulation. In some cases, PVC costs alone have risen by 25–35%.
What this means is simple: rebuild and repair costs may now sit well above existing sums insured.
If cover hasn’t been reviewed recently, businesses could face underinsurance at claim time — leaving them responsible for substantial out-of-pocket costs
Supplier driven fuel surcharges
Major suppliers across logistics, freight, and construction are increasingly signalling potential fuel and transport surcharges.
These additional costs flow through into:
- Equipment replacement pricing
- Spare parts costs
- Freight and shipping expenses
- Project delivery costs
Insurers expect insured values to reflect these changing realities. If values haven’t been updated, there could be a gap between what you’ve insured and what it actually costs to replace.
Vehicle and equipment downtime can cripple cashflow
How would your business survive if a critical vehicle or piece of equipment is unavailable for three weeks … or three months?
With ongoing shipping delays and freight disruptions, replacement timeframes can be far longer than many businesses anticipate.
We’re increasingly seeing examples of effective “loss of use” being utilised to maintain cashflow and continuity while businesses wait for repairs or replacements.
Without it, downtime can quickly become one of the most expensive parts of a claim.
Annual contract works cover may make more sense
For civil contractors and businesses running continuous or repeat projects, annual contract works cover can often provide a more cost effective and administratively simpler solution than arranging project-by-project policies.
An annual structure can:
- Consolidate cover
- Reduce gaps between jobs
- Help control premium volatility
Vehicle market value vs agreed value matters more than many realise
When it comes to commercial fleets and specialty vehicles, relying on market value can sometimes leave businesses out of pocket after depreciation.
Agreed value policies can provide greater certainty around replacement outcomes and often help speed up claims resolution.
The right approach depends on the vehicle, usage, replacement costs, and overall risk profile and we can help weigh up premium differences versus true replacement risk.
Reviewing your gold and fine jewellery values is a wise move too
Insurance reviews aren’t only important for businesses.
Gold and fine jewellery prices remain elevated and volatile, meaning contents limits and specified item values that worked a few years ago may no longer be adequate today.
Obtaining updated valuations can feel like an inconvenience, but it can also make a difference of thousands of dollars if loss or damage occurs.
Why 30-60 minutes today is worth it
A focused renewal conversation can be one of the highest-return actions a business owner makes each year. Simply put the benefits include:
- Faster, smoother claims – Accurate sums insured and the right cover type reduce disputes, speed settlements, and avoid emergency top-ups.
- You’ll avoid expensive surprises – A short meeting now helps prevents lengthy negotiations and unexpected out-of-pocket costs later.
- You’ll avoid unnecessary downtime – One of the most common challenges we see is businesses feeling “too busy” to take a moment to review their cover now. But they could lose a lot more time if they don’t.
We’re in the business of tailored, practical outcomes
If it’s been a while since your last detailed insurance review, now may be the right time to revisit the detail. Because often, the biggest insurance risks aren’t the obvious ones, they’re the small gaps nobody noticed at renewal time.
At Penberthy, we spend every day in the market seeing how policies respond in the real world. The more we understand your business, the better we can tailor practical protection around it.
Ready to check if your insurance is still working for you?
Let’s start with a no-obligation review.
Disclaimer: The information in this article is for general purposes only and doesn’t constitute financial, legal, or professional advice. Please consult one of our financial advisers or brokers for advice tailored to your specific situation.
