Business owners may face the following dilemmas when it comes time to purchase or renew a commercial insurance policy:
- Should they purchase a more comprehensive policy that covers all bases?
- Or go the more affordable route, with the purchase of basic coverage with the possibility of more out-of-pocket expenses in a time of need?
Commercial insurance policies are not one-size-fits-all, which is why it’s important that business owners use the assistance of agents to help them find the right balance of costs and risks.
A commercial insurance agent will help a business owner properly assess the situation, educate them on the risks involved, and build a policy that satisfies both financial requirements and peace of mind.
Advice for Commercial Insurance Policyholders
Maggie Garcia-Taylor, a Miller’s commercial insurance agent with 15 years of experience, offers her advice on working with your agent to create a policy that meets your unique business’ needs.
For instance, Maggie says that implementing safety programs, such as wearing safety gear at the construction site, or implementing a return to work program may assist in helping to reduce claims. Such programs help decrease your workers compensation premiums while educating and protecting your employee.
Below are more of Maggie’s best practices and tips for building a commercial policy that works for you:
- An agent will assist in helping to evaluate your needs and possible gaps in protection. Not all policies are created equal and while we all wish to save money, it is best to explore the most comprehensive package so that you are protected when a claim has occurred.
- Understand what you would be getting if you chose basic vs. comprehensive coverage, and know how a comprehensive package is always the better value. Even though you will pay a higher premium for comprehensive coverage, your business will have broader protection and peace of mind knowing that you are well insured.
- The purchase of insurance is transferring your cost of exposure. Do you have enough money to cover your deductible and other gaps that can equate to additional expenses? Discuss claim examples with your agent for a better understanding.
- Ask about special offers and discounts your insurance carriers offers. Implementing formal risk management programs will not only assist in reducing premiums now, but will help to control and minimize costs in the future, as well.
- Check your carrier’s financial stability and reputation. Not all companies are created equal. Check the A.M. Best Guide to be sure your company is rated highly.
- Review your policy on a regular basis. Just as your business may change, so should your insurance. A commercial insurance review can uncover gaps in protection or remind a business owner of additional protection that they wish to add. Take the time to review and periodically schedule a visit with your agent.
- Work with an agent who has access to multiple carriers. Let your agent do the homework for you. Each insurance company has a specific market and pricing. While at first glance, the protection and pricing may can seem equivalent, the agent will look for the best option for your needs.
- Agents have access to pertinent information for various industries. Refer to your agent who may have information on programs or associations related to your business. Utilize all of your agent’s programs or data. Many are available at no cost to clients.
With the many options and considerations for commercial insurance, it may seem overwhelming. By working with your agent, and learning the balance of coverage and costs that supports your needs, you can become connected with the right carrier and policy that will keep your business insured and financially secure.
Originally posted at Miller’s Insurance Agency.