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Guide

Insurance Gap Analysis: Find Under-Insurance Before a Loss

SAIBA Corporate · 2 September 2026 · 6 min read

Most companies discover a coverage gap at the worst possible moment: when they file a claim. Insurance gap analysis is the practice of finding those gaps first — while there’s still time to fix them.

What is a coverage gap?

A coverage gap is any difference between the cover you should have and the cover you actually hold. It might be an asset that was never added to a policy, a sum insured that hasn’t kept up with value, cover that lapsed unnoticed, or the wrong basis of settlement. Every gap is a loss the company is silently self-insuring.

Why gaps appear

Programmes drift. Assets are bought and sold, business units move or rename, headcount and salaries change, values inflate — but the schedule doesn’t always keep up. In a multi-unit organisation, no single person sees every change, so cover and reality slowly diverge.

The four gaps to look for

How to run a gap analysis

A structured analysis compares your registers against a set of rules for what cover each class should carry:

Automate it — because it changes daily

Done by hand, a gap analysis is a snapshot that’s stale the next day. Done in a platform, it’s continuous: as assets and people change, the rules re-run and new gaps surface immediately. SAIBA Corporate builds this in — rules by asset class and employee grade, with a live gaps register.

Watch out for average. Under-insurance doesn’t just cap the shortfall — many policies apply average, reducing every claim in proportion. A 20% under-insurance can mean a 20% cut on a claim that was otherwise fully within the sum insured.

What to do with the findings

Prioritise by exposure, take the biggest gaps to your broker at the next renewal or as a mid-term endorsement, and keep the register live so the number of open gaps trends toward zero. Gap analysis isn’t a one-off audit — it’s an ongoing discipline.

See your insurance program in one place

SAIBA Corporate turns scattered policies, assets and gaps into one live command centre — on your servers or ours.

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