A good insurance policy keeps your mind at rest while you focus on running your business. Sure, you can always look at your insurance premiums and compare insurance premiums by other companies. However, how do you know if you are overspending your business insurance policy?
This is certainly one way to start saving money on your business insurance policies. Indeed, it is necessary to run an efficient business these days because of the risks of disruption and to stay lean and agile no matter what.
This simple guide will discuss ways to lower business insurance costs and the importance of having an insurance agency that can help you get the best coverage for your business.
How Can I Lower My Business Insurance Costs?
There are many ways to lower your business insurance costs, many of which we will cover in this simple guide.
The insurance cost you incur is called the premium; this is the amount you regularly pay to the insurance company. To reduce your premium, you need to follow your insurer's recommendations. These often include disaster preparation, workplace safety, and human resource intervention.
Another way to lower your premium is to keep your agent regularly updated on major changes in your businesses. This includes expansions or reductions in staff or operation, major purchases, or changes in your business. Your agent will use that information to ensure you are not overcharged on your insurance policy.
Remember that you do not want to lower your insurance premium on your commercial auto insurance, business interruption insurance, or other specific policy by compromising the level of quality risk mitigation.
You want to ensure the right small business insurance coverage by an insurance provider that prioritizes small business owners. Thankfully, we live in a competitive landscape, and you can shop around about insurance providers and see which one offers comparable coverage for a lower cost.
This is where an agency like the Thumann Agency will be critical.
Can You Negotiate Business Insurance?
Yes, you can, and you should. Before you take on an insurance policy, go through the fine print. Check what is covered and what isn't. You can negotiate several coverage options packaged into a single insurance policy.
You can also remove coverage you don't need. This also applies when you are renewing your policies. It is best to do this with an agent, so you take advantage of the best advice.
Right Coverage For Your Business
Your business insurance should be tailored to the needs of your business. Of course, there are basic policies all companies must have by law. These include unemployment, workers' compensation, and disability insurance.
To determine how much you need, consider general liability insurance, which will take care of
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legal defense costs
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third-party damages
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copyright infringement and
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damage from libel or slander
The nature of your business will determine other coverage. This is something a good insurance agent will explain to you in detail.
A Policy with Liability and Property Damage
One good way to lower costs is to get a liability and property damage policy. This often comes as a bundle from the insurer. The price will be less than what you would pay if you bought separate policies for each cover.
A good example is the business owner's policy (BOP). This packages commercial property insurance and commercial general liability into a single policy. You can also discuss if you want extra coverage added to the policy with your insurance agent.
Use a Broker to Shop Around for Quotes from Different Companies
The first step is to get a broker specializing in your business nature. This broker will have quotes from other insurers with policies that apply to your business. If you are starting, it pays to compare brokers.
Call a minimum of three to know what services they provide and the range of prices for the services you want. Your chosen broker will then provide quotes from different insurers and explain the pros and cons of each in detail.
If you need support in dealing with insurance companies, work with the Thumann Agency today.
Compare Policies based on Deductible, Premium, and Claims Limits
When comparing quotes from different companies, focus on deductible, premium, and claims limits. This will influence how much you pay and how much money you will get from the insurer when you make a claim.
Whether this is a pro or con depends on the nature of your business. For instance, paying a high deductible means you will get less money when you claim your policy. That is why you need an agent to work you through the comparison.
Get Professional Advice on what Type of Insurance is Best for Your Company's Needs
Ultimately, you are responsible for the policies you take for your business. However, it is best to rely on professional advice.
An insurance agency specializing in your business type knows the coverage you need. They also understand how each company's policy works. If you have doubts about your agent, you can change to another. That is better than making decisions on your own.
Consult the Business Insurance Specialists in Dallas, TX
Saving money on business insurance requires a bit of effort. To make things simple for you, use an insurance agent that focuses on your nature of business. This will help you take advantage of the best advice and offers.
At the Thumann Agency, we cherish being part of your inner circle and a trusted advisor. We treat each client individually and personally. You connect with a real person who has the experience and passion for listening, analyzing, and recommending a plan that fits your needs. We talk to you about available coverage options, explain their relevance to you or your business, and then help you decide what makes sense from an economic standpoint to fit with your overall business needs and goals. Contact us today at 972-991-9100 to request a quote.