Sentry survey reveals 74% of executives lack confidence of adequate insurance

A survey released Monday by Sentry Insurance revealed that nearly three-quarters of executives are concerned they lack sufficient insurance coverage and that 67% are more stressed about the onset of 2025 than they were in 2024.

The external stressors cited most by executives was economic uncertainty, 47%, followed by supply-chain issues, costs of employee health care, labor shortages and inflation, the survey said.

Nearly all of the survey respondents, 97%, said they have put off updates to business equipment, cybersecurity systems and technology, due to cost pressures and scarce resources even though 33% listed cyberattacks among the top threats to their companies, the survey said.

More than one-third of executives, 38%, also admitted that they are expecting more of their workers by asking them to work longer hours with fewer breaks, perform tasks outside their roles and/or training and increasing output expectations. Only 24% of executives said they put off enhancements to safety protocols as a result of cost pressures.

More than half of the respondents also expressed concerns about the impact a severe event could have on their ability to remain in business and pay employees. According to the survey, 90% of executives said their businesses were impacted by a severe weather event in the past five years and 76% were not confident insurance would cover six months of payroll following a catastrophic weather event.

Increases in litigation and the risk of multimillion-dollar verdicts were identified as a problem by 72% of executives and more than half said they are looking to increase their liability insurance to help cover litigation costs.

The survey, conducted by Arlington, Virginia-based Wakefield Research, polled 1,000 owners and C-suite leaders at U.S. companies.