What is the Difference between SME and Industrial Insurance? An Overview to Differentiate these Types of Commercial Insurances

In general it could be said, that the more complex (unique) the risk, the larger the businesses the more likely the coverage can be categorised to be an industral insurance, above all, when it is a cross boarder risk.

For commercial insurances there is no commonly used definition available to differenciate them into SME or Industrial insurances. Each insurer uses its own ones. But commercial insurances all have in common, that there are business risks covered for production, trade and processional services businesses.

Therefor, it could be said, that the more complex (unique) the risk, the larger the businesses the more likely the coverage can be categorised to be an industral insurance, above all, when it is a cross boarder risk.

Using the size categories of the German Federal Office of Statistics (Statistisches Bundesamt) the following matrix maybe applied to classify the coverage into SME or Industrial insurances, accepting that there will be not sharp boundaries.

Classfication matrix for commercial insurance types

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