---
title: "SMEs are more risk aware -increase in demand for “looting insurance” and business interruption cover is noted"
description: "In recent years, civil unrest has cost South Africa billions. In 2023 strikes and protests continue to erupt across the country. As a result, having Sasria cover in place has become non-negotiable."
type: "NewsArticle"
publisher: "Daily Maverick"
site: "https://www.dailymaverick.co.za"
section: "Sponsored Content"
author: "Auto & General"
author_url: "https://www.dailymaverick.co.za/author/auto-and-general/"
canonical_url: "https://www.dailymaverick.co.za/article/2023-08-28-smes-are-more-risk-aware-increase-in-demand-for-looting-insurance-and-business-interruption-cover-is-noted/"
published: "2023-08-28T08:00:34"
updated: "2023-09-05T08:57:43"
lang: "en-ZA"
word_count: 271
---

# SMEs are more risk aware -increase in demand for “looting insurance” and business interruption cover is noted

> In recent years, civil unrest has cost South Africa billions. In 2023 strikes and protests continue to erupt across the country. As a result, having Sasria cover in place has become non-negotiable.

By Auto & General · Published 28 August 2023, 10:00 SAST · Updated 5 September 2023, 10:57 SAST

## Key points
- In the wake of the July 2021 riots, South African businesses have been turning to Sasria cover and Business Interruption insurance to protect themselves against malicious acts, floods, and other risks that could put a stop to operations.
- South African businesses are increasingly adding Sasria cover to their insurance policies due to frequent protests and riots.
- Business Interruption cover is also becoming more popular, protecting against loss of turnover, sales or income due to damage or destruction of business assets.
- Insurance is no longer just about protection against damage and theft, but also against financial losses that could stop the business from operating.
- SMEs are becoming more risk-aware as they recognise the importance of insurance for their businesses.

## Content

“With the July 2021 riots having cost South Africa more than R50 billion, and protests still frequently making headline news, Sasria cover is being added to more business insurance policies than ever before,” says Alex Terblanché, Head of [Auto & General](https://www.autogen.co.za/get-an-insurance-quote/?utm_campaign=money_cents_newsletter&utm_medium=daily_maverick&utm_source=generic_direct&vdn=ADMCK) Business Insurance, “Sasria, or ‘looting insurance’ as it is often referred to, is one of the most common queries we receive from business owners.”

Sasria is the only non-life insurer that provides cover for loss or damage to insured property caused by special risks such as political, social or economic motivated malicious acts, riots, strikes, terrorism and public disorders. While the cover is always offered, it’s up to the business owner whether they would like to include it, or not.

Terblanché notes that damage-based Business Interruption cover is also increasing in popularity, with more small businesses adding it to their insurance portfolio. Business Interruption cover is designed to protect business owners against the loss of turnover, sales, revenue or income as a result of loss of or damage to their business assets.

“While Covid-19 put a spotlight on Business Interruption cover, its benefits stretch well beyond COVID-19, and the recent floods in Kwa-Zulu Natal and the Western Cape makes it absolutely essential,” says Terblanché.

Traditionally, insurance has been seen as a grudge purchase, but this false perception is starting to change. “SMEs are becoming more risk-aware – risks that were previously deemed to be ‘impossible’ or ‘highly unlikely’. What’s clear is that it’s no longer just about protection against damage and theft, but against financial losses that could temporarily or permanently stop the business from operating too,” concludes Terblanché. **DM**