Small businesses are the backbone of the economy — yet when it comes to insurance, they’re often treated like an afterthought. In this episode of the Scouting for Growth Podcast, Sabine VanderLinden tackles one of the most pressing — and misunderstood — challenges in U.S. insurance today: why small and medium-sized businesses still struggle to access the protection they desperately need, despite the explosion of entrepreneurship since the pandemic. To unpack this paradox, Sabine is joined by two seasoned industry leaders who know the small commercial market from the inside out: Jeff Shi, founder of InsurTech Groups, and Tim Lovett, formerly of The Hartford and now at Three Insurance. Together, they cut through the noise to explain what’s really happening in small commercial insurance — and why this segment represents both a risk and a remarkable growth opportunity. The numbers alone should command attention. SMEs represent over 90% of businesses in many economies, employ the majority of the global workforce, and generate a substantial share of economic output. Yet their diversity, fragmentation, and varying risk profiles make them notoriously difficult to serve. Over the past two years, many insurers have pulled back from small commercial lines, driven by regulatory pressure, rising loss ratios, pricing constraints, data limitations, and heightened competition. But this retreat has created a widening protection gap — and that gap is where innovation now has to step in. Jeff and Tim explain why small businesses often carry disproportionately higher risk, why pricing accuracy remains a challenge, and why traditional underwriting models struggle to scale efficiently across this segment. At the same time, demand has not disappeared. If anything, it has intensified as new businesses emerge in a post-pandemic economy defined by flexibility, digital-first models, and rapidly changing risk exposures. The conversation quickly shifts from why insurers pulled back to how forward-looking players are moving back in — differently. You’ll hear how insurers are evaluating technology-enabled underwriting, specialized and customized coverage, bundled products, and alternative distribution models, often in partnership with InsurTechs. Risk management services, smarter data usage, and more intuitive customer experiences are no longer “nice to have” — they are essential to profitability and relevance in the small commercial market. This episode makes one thing abundantly clear: small commercial insurance isn’t broken — it’s being redesigned. Success will belong to insurers and ecosystem partners who can balance risk discipline with empathy, scale with personalization, and regulation with innovation. This is a must-listen for: Insurance leaders reassessing their small commercial strategy Brokers and agents navigating shifting carrier appetites InsurTech founders targeting SME pain points Investors seeking resilient, underserved growth segments Because the real question isn’t whether small businesses need better protection. It’s who will step up — and build it intelligently, sustainably, and at scale.