5 Things to Consider When Shopping for Business Insurance

January 31, 2019

When you have a company and you need business insurance, where do you turn? It isn’t hard to find an insurer that will cover your business, giving you liability coverage or what else you need to legally go into business. But what respectable business owner is going to settle for the bare minimum? If you care about the future of your company and you tend on sticking around, then there are various points to closely consider. Your business insurance provider needs to be one that provides you with all the information necessary to make a decision online and over the phone. Here are the five things that every business owner has toconsider when shopping for business insurance coverage.

1. Is Your Business Insurance Affordable?

This is literally the first thing you have to ask yourself. If you can’t afford the business insurance policy you have picked out,then eventually coverage will lapse. Maybe you want an insurance policy that has lots of perks, but you can really onlyafford something that only covers the basics. That’s okay for now because eventually, your company will start to bring in more profits. On the other hand, you don’t want to get the cheapest business insurance possible if you know that you can truly afford more. Consider that business insurance is an investment that is designed to keep your livelihood well protected.

2. What Kind of Coverage Is Your Business Insurance Giving You?

What you pay for business insurance should be entirely based on the type of coverage your company is getting. For instance, general liability small business insurance is the absolute least amount of coverage money can buy. Liability coverage protects you from having to pay up in case someone sues, but there are plenty of limitations on how your business will be protected. A business that instead purchases liability coverage, as well as workers compensation insurance, will be able to pay off any workers who get hurt on the job. This is the kind of coverage your company needs to have once you start expanding and hiring more people. What you have to do is be certain that your business insurance coverage is matched to your business’s current needs.

3. How Fast Do You Expect Your Business to Expand?

The next thing that all business owners need to think about is the future. Things might be going as planned at your business, but you also have to be well prepared for tomorrow. When your business expands, how are you going to add more vehicles to your fleet? Are you going to be able to afford higher commercial auto insurance rates? When you go from having people work for your company as independent contractors to full-time employees, are you going to be ready to provide health benefits to them? These are the top reasons why your business insurance coverage should be from an insurance provider that can grow with you.

4. Does Your Business Insurance Protect You From All Angles?

There are lots of hard decisions that company owners have tomake, including ones concerning insurance coverage. It has been established that general liability coverage is the minimum required to safely be running a business. Next, there are all types of insurance that will cover different aspects of a company, such as their vehicles or employees. When you shop for a new policy or when looking to increase coverage, you have to decide if all critical angles have been met. This is something that you can get help with via a business attorney or even an insurance expert.

5. How Accessible Is Customer Service?

This is a factor that isn’t normally explored until a business owner is in need. In short, when it is time to submit a claim or get in contact with a supervisor right away, will you be able to do so with your current insurance company? You need to test out the customer service of every insurer before you purchase that policy. Note how accessible the customer service department is prior to switching or signing up for business insurance.

Those are the five main factors that should be analyzed before getting business insurance, but there are also more points.

Your business is original and unique. Therefore, your insurance needs are going to be also. Remember that business insurance is a product like any other, so you can always make a change when you need to. So, increase your coverage amounts or look at lowering your business insurance deductibles. This is one of the most valuable types of protection that your business is ever going to have. Prior to each renewal period, pull out the paperwork that details your existing policy and think about what things have changed so you know how to handle changing your business insurance coverage.

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