The Australian Small Business and Family Enterprise Ombudsman (ASBFEO) has revealed that it received 800 feedback surveys in response to its Insurance Inquiry.
The ASBFEO announced the Inquiry on July 28, following a growing trend of insurance companies denying small businesses insurance and pricing them out of the market.
Following this announcement, over 800 surveys were completed by small businesses and over 20 submissions have been received by industry stakeholders.
"The feedback we’ve had from small businesses has been both insightful and concerning, with many reporting they have been denied insurance outright," ombudsman Kate Carnell said.
"It’s particularly impacting small businesses seeking public liability insurance, which is essential to their operations.
"We’ve heard from a number of small businesses that have been unable to get insurance for natural disasters.
"Cost has also emerged as a major issue, with many small businesses complaining their insurance premiums have doubled or even tripled in the past few years," she said.
Following the feedback, the organisation is set to investigate these reports and will examine if small business insurance products are fit for purpose.
Carnell added that the office is particularly concerned with the more serious reports of insurance being changed without consent.
"Of serious concern has been several reports of small businesses that have had their insurance policies substantially changed and their coverage reduced, without consent and with no refund of premiums.
"Our inquiry will determine if these practices amount to Unfair Contract Terms," she said.
The Insurance Inquiry feedback window closed on August 30.
A final report is scheduled for release in December.