Global broker and risk consultant Aon says there are “so many unknowns” following the Japan earthquake and tsunami, it’s hard to say what the impact will really be.

The group held an online conference from Chicago last week on the issues facing the worldwide business community after the Japan disaster.

Aon Property Practice Executive VP Henry Daar says clients with business interruption cover should be looking at their contingent time element cover. This refers to a situation where business income losses are predicted or “contingent” on other people’s property as opposed to their own.

Aon Japan’s Director and Chief Strategy Officer, Bharat Kannan, recounted his experience from the quake, which left him and a colleague sheltering under a table.

He says as the events continue to unfold there are two major issues for insurers: the situation with the leaking nuclear power plant and continuing electricity outages.

He says this has been compounded by the ongoing aftershocks.

Currently businesses in Japan face several major hurdles, the biggest being the impact of the earthquake and tsunami on their ability to resume production and services.

Mr Kannan says these businesses will need considerable time to recover before they can start trading again, and even if their facilities are unaffected power rationing is a major constraint.