This year, your small business may have faced many challenges, both positive and negative. Trying to embrace the new “normal” may have meant facing many changes head on. As the world changed over the past year or two, so might have your insurance needs. Exposures can change quickly within your N.C. business, and you may need to take the time to review these exposures and determine if changes need to be made. Does your commercial insurance policy need a review?
Insurance Exposure Checklist for Your Commercial Policy
Your business is a unique business and changes, growth, and even downsizing happen all the time. It is your job to keep up with the changes and modify your commercial insurance to meet your current needs when necessary. It is recommended you consider the changes within your business on a yearly business and work with your local N.C. independent insurance agent to make sure you make the necessary amendments. Below are some things to consider each year:
Changes in Vehicles- How many did you acquire this year? How many did you sell?
Changes in Fleet Drivers- If you started off the year with 10 drivers and now have 20, you need to adjust the exposure.
Sales- Take a look at your sales figures along with the projected sales for the year. If you have experienced a reduction in sales and/or inventory (or an increase), you may need to change your insurance exposure accordingly.
Buildings- Consider whether you have added locations or closed locations during the year. Staying in close communication with your local N.C. independent insurance agent is key. That way, your insurance protection matches your specific needs.
Equipment– If your business is booming, you may have added a lot of business equipment or vice versa. Is your insurance policy protecting what you NOW have, or do you need to make some changes?
Additional Coverage Options for You to Consider
As your N.C. business operation grows, you may need to consider purchasing additional coverages to adequately protect your business. You may want to discuss the following additional coverage options with us.
- Cyber Coverage
- Equipment Breakdown
- EPL (Employment Practices Liability)
- Crime (Employee Theft, Computer Fraud and Forgery)
- Blanket Personal Property if you have multiple locations
- And More!
Ways You Can Save Money on Your Commercial Insurance Policy
There are ways you can reduce your coverages and save some money in the end. You only need to pay for the coverage your business needs or perhaps you can even self-insure some exposures. Here are some common examples of how you can save money on your N.C. commercial insurance policy:
- Choose higher deductibles on your auto and property insurance. The more you can pay “out of pocket” when a loss happens, the more you may save money.
- If your commercial vehicles are 10 years or older, drop collision and comprehensive coverage.
- Consider self-insuring some of your exposures if you have the financial means.
- Consider changing the replacement cost coverage if you own an older business property. If a fire (or other covered peril) destroys it, would you rebuild the building of a similar size or would you consider downsizing? You may want to consider insuring it on a “functional replacement cost” basis.
- Re-evaluate your insurance carrier/agent. Ask yourself whether that particular insurer is meeting your unique business needs and providing guidance on the right type of commercial insurance you need. If your agent/insurer is no longer providing value to your risk management needs, you may want to do your homework and find a better match and perhaps save some money too.
It May be Time for an Annual Review
Now is the time to think about an annual review for all your business insurance exposures. You need to consider your business needs and make sure your business insurance is adequate. If you commit to starting each year with an insurance review, you can rest assured you are only paying for the coverage you need and if there is a loss, you will have the protection your business needs. Twin City Insurance is here for you and all your N.C. commercial insurance needs. Call us TODAY!