I know it's too early to call but judging by some media commentators the recession seems to be over. (Hooray for the crystal ball reading commentators!)

It seems a little odd that having gone through the worst recession for some time that within a very short time frame we are already bouncing back. So have we actually learnt anything from this down-turn or, as I prefer to call it, a period of economic adjustment? Well I certainly hope we have.
From our observations in the insurance world it seems that there have been two main lessons learnt:

1. We are not bullet proof and nor are our businesses
Interestingly, 18 months ago when we were reviewing client's business risk covers, many business owners would say the age old line, 'We don't need to insure our debt because if I'm not here the business would just carry on.” Sound familiar?
The reality has now bitten many businesses that if the main person was not in the business then the business would fold in a very short period of time; leaving a trail of debts, personal guarantees and financial ruin and heartache.
No one ever knows what is around the corner. I guess that is one part of our lives that we either find exciting or are terrified of. With this in mind, this is why many successful business people understand that they are not bullet proof and ensure that they cover as many of the risks as possible.

2. Be aware of your ‘RISK' footprint
Your risk footprint is much like the now famous carbon footprint, which basically measures how much waste you are creating in the environment. So what on earth is your risk footprint? Quite simply it is the amount of risk you carry and the consequences of this risk on those around you. For example, if you are a business owner and employ 20 staff your risk footprint is larger than say a retired couple.
We are finding that many people are starting to become more aware of their risk footprint and in particular the responsibility to others that they have to reduce and manage that risk footprint.

We are in for some interesting times over the next few years with what I believe will be a continuing period of economic adjustment. Whilst many commentators believe the worst may now be over, it pays to stop and review the last 12 months and take a lesson from what has happened. But also make sure that you take a look forward and get ready to start smelling the roses! But never forget that what has recently happened (an economic readjustment) could be just around the corner at any time and that ‘RISK' is always there.