A small business needs more protection against uncertainties and calamities than big sized businesses. Insurance provides best cover for unforeseen conditions.
Increasing realization of importance of insurance for the business and phenomenal rise in its demand has prompted insurance companies to come out with variety of insurance policies, especially for small businesses.
A small business owner must keep insurance on priority list when starting any new venture. Selecting right type of insurance that lends adequate cover at right price is in itself an important task. Following tips could be most useful in choosing best insurance policy for your business:
Things you must do.
1. Involve experienced insurance agents in the startup process itself to guide you on policies most suited for your business.
2. Do research on offered coverage. List your insurance needs and compare prices available.
3. Find out how beneficial it is to join an association, since they offer variety of discounts.
4. Depending on type of your business, you may need more than one insurance. It is better to select an insurance agent who can take care of all types of your insurance needs. Insurance agents and companies offer discounts to those buying complete package of insurance.
5. Raise your insurance coverage as your business grows in volume and value.
6. Do not miss to include commercial umbrella coverage while considering insurance policies.
7. Ensure that your ‘business property insurance’ covers every eventuality.
8. If there are tenants, include them also in insurance policy.
9. You may opt for health insurance, though it may add to your expenses. It lends you an edge in attracting and retaining good employees for your work.
10. If you have sizeable number of employees, consider opting for employment practices liability insurance.
Things you must not do
1. Giving 2nd priority to insurance cover. Getting insurance should be on top of your agenda. Crises don’t come with warnings.
2. Let insurance policies to lapse. Remaining without cover is very risky.
3. Conceal necessary information from insurance agent. In absence of information agent will not be able to get most inclusive policies for your company.
4. Exclude earthquake and flood insurance if you are located in areas prone to these calamities.
5. Hire services of insurance providers without knowing their rating.
6. Failing to impart training to workforce on maintaining safety at workplace.
Above tips will facilitate selection of best insurance cover for your business.
