Inoxveneta Spa secures 19% savings on its insurance budget!

Since its creation in 1972, the Italian group Inoxveneta Spa has been designing and manufacturing components and assemblies from stainless steel sheet for domestic appliances. ISO 9001 certified since 1997, the group has built on two fundamental pillars to ensure its development: Innovation and product quality. This strategy pays dividends, as witnessed by the turnover of Inoxveneta Spa, which grew to 18 million Euros in 2010.
 
Despite these favourable conditions, Inoxveneta Spa has felt the full force of the 2008 economic crisis.  In order to increase its profitability, the group first called upon Expense Reduction Analysts in early 2010, to implement an initial cost reduction programme focused on their gas and electricity budgets. Satisfied by the results obtained, in 2010 Inoxveneta Spa decided to entrust the analysis of its insurance budget, which had risen to 110,000 euros annually, to Andrea Gorza, a project manager at Expense Reduction Analysts and an expert in insurance (ISVAP Certified, ISVAP is the Italian Insurance Regulatory Authority)
 
A painstaking task which achieved significant savings
 
Inoxveneta Spa wanted to reduce its payments while maintaining its level of cover. To satisfy this objective, the expert began by carrying out a complete audit of the activities and risks, as well as the amount of cover and associated premiums for the following policies: multi-risk insurance, vehicle insurance, public liability insurance, credit insurance and insurance against damage to property. "It was essential to establish an accurate mapping of all these factors in order to fully understand the contents of the policies that had been taken out and to identify the risks that were covered, or not, as well as the terms of the cover," explains Andrea Gorza.
 
Following this first phase, the expert launched a call for tenders, setting the group's three existing insurers (a generalist insurer, a specialist in credit insurance and an insurer specialising in insurance against damage to property) in competition with alternative representatives. The offers received, enabled a 10% reduction in the overall budget. The call for tenders made it possible to establish a standard reference in terms of price and services and led to new negotiations with the insurers already in place.
 
Finally, the group's established insurers have not only realigned the costs of their premiums with those of the market, but they have also allowed Inoxveneta Spa to benefit from improved services in terms of the value of goods covered and the compensation paid. With regard to credit insurance, a share in the profits was obtained. "A significant part of the premiums go towards pre-financing recurrent claims which may be greatly overestimated," expands Andrea Gorza.
 
All of these components helped Inoxveneta Spa to reach its decision; the group always stressed that it would prefer to remain with its existing insurers because of their excellent working relationships.
 
An average saving of 19% and the terms extended to its subsidiary company
 
Inoxveneta Spa is extremely satisfied with savings of 19% achieved, on average, over all of its insurance policies and most especially with the 26% achieved on credit insurance.
 
Furthermore, the terms obtained on credit insurance have now been extended to its subsidiary, Compex, a manufacturer of innovative top-of-the-range components for equipment suppliers to professional kitchens.
 
The conclusion of the 18-month follow-up phase means it is now possible to confirm that the amount of the premiums is compatible with the contracts concluded.