Biotechnology Company

  • Industry / Business Sector: Biotechnology company operating across multiple domains, with intense import/export activity, maintains own warehousing facilities (not 3PL), and supports R&D-driven operations with high regulatory, operational, and liability exposure.
  • Business partners:Two partners (50%–50%)
  • Annual turnover:€33 million
  • Number of employees:~105 (average)

From Insurance Coverage to Strategic Risk Protection

The engagement focused on understanding the company’s real enterprise-level risk exposure, well beyond a traditional insurance review.

TECHNE™ conducted a deep risk diagnosis, identifying structural gaps in insurance design, governance, business continuity, and cyber resilience—critical for a fast-growing biotech organization with global exposure.

Risk Diagnosis & Protection Redesign

  • Business Interruption coverage limited to 12 months, while operational recovery required at least 24 months
  • Missing or unclear identification of insured locations across multiple sites
  • No Earthquake / Natural Perils coverage, despite being among the top risk exposures
  • D&O insurance insufficient (€2M vs minimum €5M required) and excluded North America, despite US & Canada exposure
  • Product Liability limits severely inadequate (€1M vs €10M required), with no Product Recall coverage
  • Buildings and building improvements not insured
  • Machinery and critical equipment uninsured for Machinery Breakdown, including backup equipment
  • General & Employers’ Liability limits below operational and regulatory requirements
  • Errors in policy wording, classifications, and descriptions, increasing the probability of claim rejection

Beyond insurance, TECHNE™ identified systemic operational vulnerabilities, including:

  • Limited readiness for Business Continuity scenarios, especially for R&D and critical production
  • Weak supplier risk assessment and contract governance
  • Incomplete review of intellectual property, NDAs, and R&D agreements
  • Elevated cyber risk due to cloud systems, laboratory software, and sensitive data handling
  • Absence of structured cyber-security controls aligned with insurance requirements

These findings directly informed the risk prioritisation and treatment roadmap.

Based on the diagnosis, TECHNE™ designed a new, aligned risk coverage framework, addressing 14 out of 19 critical risks in the first phase, including:

  • Property (buildings, contents, laboratory assets)
  • Business interruption and extended recovery periods
  • Product liability and product recall
  • Directors & Officers (global, including North America)
  • Employers’ and third-party liability
  • Machinery breakdown and technical failures
  • Cyber risk and data exposure
  • Business continuity and key person protection
  • Transport and supply-chain exposure

The redesign focused on realistic values, correct policy wording, jurisdictional alignment, and operational reality, replacing fragmented and assumption-based insurance structures.

Outcome & Value Delivered

Using its proprietary TECHNE™ Risk Architecture Methodology, the engagement delivered:

  • Identification and prioritisation of 19 critical enterprise risks
  • Alignment of insurance coverage with real operational, financial, and legal exposure
  • Elimination of structural gaps in policies, limits, and wording
  • Design of a clear, phased risk protection roadmap
  • Integration of insurance with governance, cyber readiness, and continuity planning

 

The Company Gained

Clear visibility of its true enterprise risk exposure, for the first time

Reduced exposure to catastrophic uninsured losses and claim disputes

Corrected insured values and liability limits, aligned with global operations

A structured foundation for resilience, R&D continuity, and scalable growth

Why It Matters

TECHNE™ does not simply review policies.

We diagnose risk, architect protection, and align insurance with reality—especially critical for high-growth, innovation-driven sectors like biotechnology.

This case demonstrates how complex organizations can move from illusionary protection to strategic, future-proof risk management, supporting growth, investor confidence, and long-term sustainability.