Managing your business and concentrating on growth includes regularly managing the key financial risks. This not only ensures that you obtain the best cover for your premium spend, but it will also provide peace of mind.
If you haven’t reviewed your insurance policies recently, here are some suggestions to help reduce potential gaps and ensure the most suitable coverage.
Why Regular Insurance Reviews Are Crucial
- Changing Business Needs
- Expansion or Downsizing: Your insurance needs will change as your business grows or shrinks. Expansion might mean you need additional coverage for new locations or increased inventory, while downsizing could reduce your coverage requirements.
- New Products or Services: Introducing new products or services can alter your risk profile. For instance, a new product line might require additional product liability insurance.
- Claims History
- Increased Claims Frequency: If you’ve made several claims in the past year, your insurer might adjust your premiums or coverage terms. Reviewing your insurance helps ensure that your policy still aligns with your needs.
- Unclaimed Risks: If you haven’t made any claims, it’s worth checking if you’re missing out on better coverage or more cost-effective options.
- Asset Changes
- New Acquisitions: Purchasing new equipment, vehicles, or properties necessitates updating your insurance to cover these assets adequately.
- Decommissioned Assets: If you’ve sold or retired assets, your insurance should reflect these changes to avoid paying for unnecessary coverage.
Steps to Review Your Insurance Policies
- Start your review early – To ensure the best insurance outcomes, you must start your review early. That’s because the more time you have to collaborate with your insurance specialist, the better the result. On the other hand, a review made in haste is likely to miss important points and leave you with inadequate cover that can result in significant financial loss.
- Document changes to your business – Have you purchased or sold any assets or equipment? Have your operations changed? Have you entered a new market or created new products? Are some employees working from home? Have you moved premises or leased new buildings? Have you increased or decreased employee numbers? Answers to these and many more questions will tell you whether your business needs additional cover for new exposures or fewer policies for reduced exposures.
- Compare policies and providers – Working with us ensures the right mix of cover and limits can be obtained. Specialist insurers in your industry can be requested to provide quotations, and the cover and costs can be compared. Cover options, premiums, excesses, and exclusions can be discussed and agreed upon for the coming year, ensuring you and your business have the right level of protection.
For help reviewing and renewing your business insurance policies, contact us today.