Aon plc today announces the launch of a new Non-Damage Business Interruption (NDBI) cover that is designed to protect the income streams of the growing number of companies with high levels of intangible assets.


NDBI policies protect companies’ revenues against business interruption costs that result from an event where there is no physical damage. For an increasing number of firms, physical damage is a lesser risk priority than risks related to income streams and cash flows, such as a terrorist threat, a cyber attack, or unseasonal weather. 


Structured by Aon’s Innovation & Solutions team, the NDBI product is supported by advanced data and analytics and actuarial analysis, which allows for the development of customized policies for each individual client that can utilize parametric indices and/or traditional re/insurance.
The NDBI cover offers protection to a wide range of businesses, and can be particularly beneficial to hotels, retailers, pharmaceutical firms and transportation companies. For the hospitality and retails sectors, the product can help firms mitigate the financial impact of lower client footfall following events such as delays or cancellations to transportation.


Kurt Cripps, head of Aon’s Innovation & Solutions team, said: “Given that more and more businesses comprise either few, or a low concentration of physical assets, there is a need for an insurance product that places less emphasis on the physical damage component of a loss. This new NDBI cover protects these types of companies against the events that can have the biggest impact on their revenue streams.” 


Insurance protection for the new NDBI product is provided by world-renowned re/insurers, including Lloyd’s of London and Swiss Re.