While no one wants to focus on what could go wrong in business, the reality is that small business owners need to learn to expect the unexpected. Having the right small business insurance coverage is essential to protecting your people, your property, and your bottom line.
What is Small Business Insurance?
Simply put, small business insurance refers to a range of insurance policies and products designed to protect business owners from everything from catastrophic loss due to a natural disaster, theft, negligence, injury or even a cyber-attack.
Given everything you have invested into your business, if disaster does strike, it is so important that you have a plan in place to protect what you’ve built.
But how do you know what kind of insurance your small business really needs?
The unfortunate reality is that it’s easy for business owners to be over-insured, under-insured or to simply not have the right kind of insurance to address the risks that are most relevant for their industry.
Either way, having the wrong insurance coverage can be unnecessarily costly and extremely risky.
So, we’ve put together some of our top tips to help small business owners think about what kind of insurance is right for them.
Make Sure You Are Getting the Right Coverage for Your Business and Industry
Different industries have different business models and, therefore, different risks. That’s why it’s so important to work with a broker who understands your business.
By working with an insurance company that invests the time to thoroughly understand your industry’s key issues and exposures, you can get an insurance policy that’s tailored to your actual risk.
You Can’t Cut Corners, But You Can Reduce Costs
Cutting costs by excluding a policy you need can lead to disaster. But paying for products that don’t serve your interests can also be costly. The key is finding the right balance between policy design and managing insurance cost drivers.
Also, don’t underestimate the importance of mitigating risk by prioritizing a culture of workplace safety and due diligence. While insurance is there to protect you, being proactive about addressing risk will save you significant time and money in the long run.
Risk Evolves, Your Insurance Should Too
The reality is that the legal and legislative landscape is always changing. You can’t rely on the same-old approach to business insurance; you need to work with an insurance provider that can help you stay responsive to evolving risks and responsibilities.
In the Event of a Claim, Your Choice of Insurance Provider Will Make a Difference to Your Bottom Line
Too often, business owners wait until disaster strikes to find out they don’t have the right coverage or that their insurance provider has buried their policy in too much fine print or red tape.
The reality is that an insurance policy is only as good as the company behind it. Unnecessary delays or limitations can impact your ability to get the coverage you need when you need it. That’s why it’s so important to work with an insurer you trust, who will help you get top dollar for your insured property without the red tape or delay.
Thinking about business risk is hard but working with the right insurer can help. That’s why Essex has partnered with the experts at CMB Insurance Brokers to offer tailored risk management programs that support your company’s growth and profitability while protecting your assets. With a dedicated team of insurance experts by industry type, we can help your small business save money by getting the insurance you need to protect your bottom line.