May 25, 2017

Hidden tips to keep your business insurance low


As a small business owner, keeping your business insurance within budget is always going to be important to your bottom line. Insurance is always about having the right level of cover, and reducing your cover below what is reasonable is never advised while overvaluing the value of what you’re insuring means you’ll pay too much.

There are other ways for you to get a comprehensive insurance policy at an affordable price without having to compromise.

Risk

Insurance is calculated on risk – both the risk of a claim being made and the risk of that claim being costly. Showing insurers that your company is taking positive steps to reduce risk can help lower your insurance premium. This could be from increasing fire or hazard detection systems or increasing security. There are many guidelines that you can access to help you asses how you can keep premiums down, so making the most of these are advised.

What you need

When buying business insurance, getting the right cover is essential to an affordable insurance premium. Avoid pre-packaged policies as they won’t be tailored to your business’s needs. You could be paying for cover that your company doesn’t need, which will in turn increase the price of your business insurance quotes.

Consider using a specialist broker who can help you analyse what insurance you need so they can find the right package. Do some research within your sector to see what other companies are typically insuring themselves against.

Shop around

As a business owner, it can be all too easy to stay with your current insurer or take out a policy with the first insurer you meet. While this gives you time to focus on your business, you’re overlooking serious saving opportunities. There are many comparison websites which enable you to compare insurance policies at the click of the button, and you will be surprised at how much you could stand to save.

When shopping around for the best insurance quotes, make sure that you have a clear idea of what cover you need and that you’re comparing policies on a like for like basis. You could end up with less cover than needed by going for the cheapest option, so always read the small print.

Group rates

If you’re after cheaper insurance rate, joining a business association could prove a good way of keeping down your insurance premiums as they have access to better rates. Joining these associations can cost money, so be sure to weigh up the potential gains before joining. On the whole, joining business associations is a good idea when you consider the additional perks of being associated with a reputable association and the access to up-to-date industry thinking that many bodies offer.

About george