Business Interruption Claims Have Surged
Allianz Commercial reports that average interruption claims now significantly exceed property damage payouts.
Updated on Oct. 8, 2026 in Remote Work
Live Poll
Do you feel your workplace has an effective plan for managing unexpected supply chain disruptions?
Allianz Commercial has reported a sharp rise in business interruption claim values, which now average over €850,000. These losses have increasingly outpaced property damage claims as global supply chains face growing fragility.
Why it matters
Rising interruption costs are driven by concentrated production, geopolitical tensions, and technology dependencies that allow single-site incidents to cascade. Inflation has further exacerbated the issue, often leaving businesses underinsured when major losses occur.
Analysis of 7,888 insurance claims totaling €6.74 billion shows average claim values rose by over 30 percent annually over the last two years. Fire and explosion events currently account for more than 40 percent of total claim value.
The players
Allianz Commercial
This global corporate insurance entity provides risk management services and published the analysis regarding rising business interruption claim values.
The details
Non-natural catastrophe activity remains the primary driver of loss, generating 74 percent of all claims and 66 percent of total value. Meanwhile, digital vulnerabilities remain high, with over 48,000 cloud and software service outages tracked during 2025.
Timeline
January 1, 2021 to December 31, 2025: Period covered by the insurance claim analysis.
2025: Year in which 48,000 cloud and software service outages were tracked.
September 2024: Timeframe of business interruption claims caused by Hurricane Helene.
October 8, 2026: Date on which Allianz Commercial published the report.
Market Landscape
The findings mirror a broader shift toward intangible asset risk, where digital and supply chain failures carry higher financial weight than physical site damage. This trend signals that global companies must re-evaluate their insurance coverage to account for modern systemic vulnerabilities.
Businesses may face higher premiums or stricter coverage requirements due to the increased frequency of large-scale interruption claims. Clients should review their declared values regularly to avoid the risks associated with underinsurance during a major loss event.
The takeaway
Companies should diversify their production sites to prevent single-point failures from paralyzing their entire supply chain. Regularly updating insurance policies is also essential to ensure that coverage remains adequate despite recent inflationary pressures.
Further reading
Learn more about the infrastructure and digital risks affecting global operations in our Remote Work section.
Live Poll
Do you feel your workplace has an effective plan for managing unexpected supply chain disruptions?
