Whether you’re setting up a new business or the annual renewal reminder has already arrived, purchasing business insurance is often something that fits the daily hassles of running a business. Having been a commercial insurance broker for 20 years, I’ve put together my top five tips to help you get the best commercial insurance deal fast so it doesn’t detract from your daily approach.
- First, take plenty of time to get a business insurance quote. Ideally, if you start the process two months before your renewal due date (or if your coverage is required for start-up), this will give you the best possible chance of getting the right quote.
- Use an independent insurance broker instead of going directly to an insurer or online site; they understand the market better than anyone and, most importantly, have relationships with a wide range of insurers and have the skills and experience to negotiate on your behalf. A word of warning, brokers can offer different levels of service, so find out how they help you with a claim and which insurers have approached for quotes.
- When you get your business insurance quotes, request a visit from the broker to your facility; In my experience, this is the best way to ensure that you have the right coverage with the correct amounts insured. It will also ensure that you get the best possible premium as the broker will be able to analyze your business in detail. You can also discuss the measures you can implement to reduce the premium and examine any specific trading schemes.
- Tell the broker everything: Do not withhold important information about your business or about the principals of the business. Hiding information can result in a claim being rejected at a later stage. Common areas include: financial history of directors, building construction, and claims history.
- Compare the cover first, then the price afterwards. ASK WHAT IS NOT COVERED. This is not the cheapest quote, but the commercial insurance quote that gives you value for money. There are many different coverage options available and you need to make sure you have the correct coverage in place. Coverage options include:
- Protection of your stocks, contents, installations and accessories and computer equipment
- Protection against Legal Responsibilities such as Employer, Public and Product Liability.
- Loss of income resulting from incidents such as fire, theft and flood
- Coverage for theft and loss of money
- Coverage for laptops and devices outside of your premises
- Protection of legal expenses
If you have questions about what coverage you need, talk to your local commercial insurance broker to see what they advise.
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