A Reminder of Why This Is So Important
If you own a business, you know how important it is to protect your assets, your employees, and your customers from various risks and liabilities. That’s why you have Commercial Insurance, right? But do you know if your current policy still meets your needs and expectations? Or are you paying too much or too little for your coverage?
Commercial Insurance is a dynamic insurance that needs to be reviewed and updated regularly to reflect the changes in your business and the market. Here are some of the benefits of reviewing your commercial insurance at least once a year:
You could avoid coverage gaps
You may have added new products or services, expanded your operations, hired new staff, acquired new equipment, or moved to a new location. All these changes can affect your exposure to different risks and may require different types of coverage.
For example, if you started offering online services, you may need Cyber Insurance to protect your data and systems from cyberattacks.
Or if you bought a new vehicle for your business, you may need to add it to your Commercial Vehicle Policy.
By reviewing this insurance annually, you can make sure that your policy covers all the aspects of your business and limits to cover any potential losses. You don’t want to find out that you have a coverage gap when you file a claim and it gets denied or only partially paid.
You could save money
Reviewing your Commercial Insurance can also help you save money in the long run. Values may need updating and sometimes can result in a premium decrease. On the other hand, you may also be paying too little for your coverage, which can expose you to underinsurance.
Underinsurance means that your policy limits are not enough to cover the full value of your assets or the extent of your liabilities.
This can result in a large out-of-pocket expense if you have a claim that exceeds your policy limits.
How to review your Commercial Insurance
You should review your Commercial Insurance at least once a year, or whenever you have a significant change in your business with your financial adviser.
Significant changes can include:
Adding or removing products or services
Expanding or downsizing your operations
Hiring or firing employees
Buying or selling assets or equipment
Moving or renovating your premises
