As of December 2022, there were 1.22 million employer businesses in Canada*. Guess how many were small businesses.
Whatever your guess, we recommend you make it a little higher because, as of 2022, more than 98% of Canadian businesses employed less than 100 employees*. There are over 1,190,000 small businesses in Canada that, notably, contribute slightly more than 35% to Canada’s GDP*. Additionally, as of 2022, small businesses employed 8.2 million individuals in Canada or 67.7% of the total private labour force*. They may not be multimillion dollar corporations, but their worth should not be underestimated.
What does all this mean for life insurance Advisors? There is serious opportunity in the business insurance market. Working with a business owner on his or her business is a great step toward working with them personally. And with over 1.2 million businesses to choose from, your chances to build these personal relationships are looking pretty good!
As a business grows so too does their need for insurance services, such as Key Person insurance, Buy / Sell, and Group Benefits. Life insurance Advisors who service companies from initial start-ups to larger sizes find that many opportunities for sales surface along the way.
It is no sales secret that meeting with clients on a regular basis to update the adequacy of their coverage is a smart move. In the business insurance market, these meetings can result in additional opportunities to provide services to clients, their business partners, and their families.
Why not turn your expertise up a notch – make the business insurance market your business.
For more information on your small businesses, read The Importance of Corporate Insurance for Your Client and Transferring the Family Business – The Landscape is Changing.
And for more information on how you can work with small businesses to grow your practice, contact your local PPI Collaboration Centre.
*Source: Statistics Canada