Whether you’re setting up a new business or the annual renewal reminder has arrived, buying business insurance is often something that fits into 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 you don’t detract from your daily focus.
- First of all, take enough time to get a business insurance quote. Ideally, if you start the process two months before your renewal is due (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, more importantly, they 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 in the event of a claim and which insurers they have approached for quotes.
- When you get your commercial insurance quotes, request a visit from the broker to your facility; In my experience, this is the best way to ensure you have the right coverage with the right sums 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 steps you can take to lower your premium and examine any specific business schemes.
- Tell the broker everything: do not hide important information about your business or about the directors of the business. Hiding information may 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 and then the price later. ASK WHAT IS NOT COVERED. This is not the cheapest quote, but the commercial insurance quote that gives you good value for money. There are many different coverage options available and you need to make sure you have the right coverage in place. Coverage options include:
- Protection of your stock, 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 fires, thefts and floods
- Coverage for theft and loss of money
- Coverage for laptops and devices outside your premises
- Legal expense protection
If you’re not sure what coverage you need, talk to your local commercial insurance broker to see what they advise.