Commercial crime continues to rise

Insurance brokers are seeing first-hand the continuing increase in commercial crime. Only 31% of brokers surveyed recently by CIB Insurance Administrators (CIB) believe that crime in South Africa is under control. Their opinion is informed by an increase in the number of crime-related claims that brokers and clients have submitted during 2011, according to Jonjon Smit, sales director at CIB. “This trend is consistent with the increased commercial crime levels recorded by the South African Police Services during the 2010/2011 period. “These statistics have shown that commercial crime is one of the few types of criminal activity that is continuing to rise in South Africa. “The report reveals commercial crime has increased by 53% over the past five years, highlighting the risk small business owners are taking by failing to have adequate insurance cover in place,” he says. He believes it is essential for businesses to conduct regular risk audits to ensure that the correct type of insurance cover is in place. Risks are reduced by being proactive: “Take the time to identify any gaps or weak points that may exist in security systems, as well as processes. For example, ensure that alarm systems and surveillance cameras are fully operational and regularly tested. “Changes in day-to-day routines can potentially help to minimise the risks of falling victim to crime.”