Over 650,000 UK businesses struck by crime

No company likes to be a victim of crime but a new survey by insurer RSA has found that it's a regular occurrence for a significant number of businesses and they are incurring thousands of pounds of damage as a result.

RSA's survey found that in the last year, one in four businesses were affected by crime at least once and as many as 82,000 businesses were affected by crime on at least five occasions.

Of those businesses that suffered loss or damage, theft was the most common incident (64%), with 42% experiencing vandalism, 9% violence and 7% arson.

In 13,000 cases, the severity of the crime was so large that the companies were forced to close while repairs were carried out. Of these, 80% were out of action for up to six months, causing significant business interruption costs and loss of earnings.

But that is not the only financial burden to bear. The survey showed that damage caused by crime has cost businesses thousands of pounds in damage. 39% of those that experienced crime incurred costs of up to £1,000, 28% incurred costs of up to £10,000 and 53,000 businesses (8%) faced costs of at least £50,000.

According to the survey, the level of crime ranges widely among regions in the UK. Businesses in the North experienced the highest number of incidents of crime with 41% having fallen victim at least once in the last year and the South West had the fewest incidents of crime against businesses (6%).

In order to provide customers with the best terms and risk management guidance, RSA uses a Geographical Risk Assessment (GRA) tool to detect the risks of crime, arson, flooding and subsidence for the area. The tool is so specific that it indicates the risks that individual properties face.

Graham Heale, Underwriting Director of Property & Engineering at RSA, said, "As the survey shows, crime is a big problem for businesses. While some regions appear to suffer more than others, we understand that risk can differ from street to street and more accurate analysis is necessary. Having the GRA tool to assess risk for each and every property in the country enables us to work with our customers to provide them with the best products and competitive prices, backed up by really targeted guidance on risk management."