With the rise of hybrid and remote working, many employees now choose to work from home. However, the benefits of business travel and face-to-face communication often outweigh the convenience of virtual meetings, especially for SMEs looking to grow and build strong relationships with customers and suppliers.
If your business travel includes international destinations like Qatar, it’s crucial to stay informed about requirements such as mandatory travel health insurance. Learn more in this guide: https://telegra.ph/Mandatory-Travel-Health-Insurance-to-Qatar-Everything-You-Should-Know-Before-Your-Next-International-Adventure-03-12.
The importance of business travel insurance
In today’s economic climate, where inflationary pressures demand careful financial management, SMEs are closely scrutinizing their expenses. In fact, 51% of SMEs chose not to renew at least one insurance policy in the past year. However, it’s crucial for businesses to remember their duty of care towards employees. Business travel insurance is a vital safeguard, protecting both employees and the business itself from unexpected events during travel.
Why business travel insurance matters
Unforeseen disruptions such as delayed luggage, missed flights, security threats, or medical emergencies can derail business trips, leading to missed opportunities, financial losses, and undue stress on employees. Business travel insurance provides essential protection, covering medical emergencies, security incidents, and disruptions while abroad. It also safeguards against loss or damage to business equipment and personal belongings.
Beyond protecting employees, the right insurance minimizes the financial impact of medical, legal, or emergency expenses and mitigates business interruptions if an employee cannot return to work as planned. Furthermore, having robust travel insurance enhances a company’s reputation and credibility, which can positively influence recruitment efforts and overall competitiveness. For SMEs, offering an attractive benefits package — including perks like travel insurance — can help them stand out in the competitive job market and attract top talent.
Five steps to mitigate travel risks
While travel insurance is essential, it’s only one component of a comprehensive travel risk management strategy. SMEs, often due to their smaller size, may underestimate the need for proactive risk management. Relying on ad-hoc measures, however, can leave businesses falling short of their duty of care obligations. Here are five practical steps SMEs can take to mitigate travel risks effectively:
1. Choose the right business travel insurance
Opt for a tailored annual insurance policy instead of single-trip coverage to ensure employees are protected year-round. Educate employees about the policy and its benefits to maximize its effectiveness.
2. Develop a travel risk management policy
Establish clear policies and procedures to address potential risks, including regional restrictions and emergency protocols. The International Organization for Standardization (ISO) offers valuable guidance on predicting and managing travel risks. Ensure all employees are informed of these policies and have access to relevant documentation well in advance of their trips.
3. Provide pre-travel training
Equip employees with training to help them stay safe, particularly when traveling to unfamiliar destinations. Pre-travel training should focus on prevention and risk avoidance. For instance, Allianz’s Accident and Health (A&H) products include e-learning modules covering topics like identity theft, security tips for women, and natural disaster preparedness. If travel risks are too high, consider rescheduling the trip or offering virtual meeting options.
4. Leverage real-time travel data
Make informed travel decisions using real-time data. The Allianz Travel Oracle app, included with A&H products, provides live travel updates before, during, and after trips. This ensures that decisions regarding employee safety and well-being are based on reliable information, not guesswork.
5. Provide 24/7 emergency support
Ensure employees have access to round-the-clock emergency assistance while abroad. The Allianz Travel Oracle app also includes a 24/7 alert system, offering immediate support in critical situations.
By implementing these measures, SMEs can better protect their employees, minimize risks, and create a safer, more efficient approach to business travel. In turn, this not only fulfills their duty of care but also strengthens their position in the marketplace as a responsible and forward-thinking employer.
