News
Female-owned business 'pose lower risk'
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Businesses owned by women are less risky, more financially sound, and less likely to fail than those run by men, according to figures published this month.
Less than a quarter of female entrepreneurs have had a business fail. Some 34 per cent of male entrepreneurs, however, have seen a business go under.
This discrepancy in failure rates seems to be directly linked to men and women’s relative attitudes to risk.
50% of male business owners consider themselves to have a “risk confident” attitude to business, while just 30% of women would describe themselves in the same terms.
This has an impact on insurance claims, with male entrepreneurs costing insurers around 60% more on average than female business owners. Organisations have called for reduced premiums for female business owners in line with the reduced risk, a practice which already exists in the car insurance market.
Source: Prowess
Posted on 31 August, 2010
