Business insurance can be surprisingly expensive, especially if you need many different policies to cover all aspects of your growing business. Thankfully, though, there are some strategies that you can implement today in order to save some money on your business insurance.
Check out the helpful tips below so that you can cut costs while still ensuring that you get the coverage and peace of mind that you need to operate your business with confidence every day.
Get a Business Owner’s Policy Bundle
As with personal insurance coverage, you can purchase a bundle of policies for your business. This is referred to as a business owner’s policy, or a BOP. This can help you save a lot of money when compared to purchasing all of the policies individually. So, for example, your bundle could include liability insurance, business interruption insurance, and property insurance as part of a single plan, bringing down your premium and making it a lot more affordable for you. Just beware that many of these bundles do not include professional liability coverage, worker’s compensation, or auto insurance, so you will need to purchase those separately.
Go for a Higher Deductible
Increasing your deductible could also reduce the amount of money that you have to pay each month on your business insurance policy. If you are willing to pay a bigger part of any claims that you have to file with your business insurance provider, you can enjoy a lower, more manageable premium, especially if you are just starting out and you do not have a lot of money to allocate to your insurance.
Be Willing to Switch Providers
A commercial insurance provider will evaluate risk using algorithms, and will use your information to provide a quote for your insurance policies. If you shop around with various providers, such as BizInsure, you could find that you can access a much lower rate than what you are currently paying, and you can still get the same level of coverage.
If your current provider offers loyalty rewards and discounts, it may be worth sticking around, or if you tell them you are going to leave because a competitor gave you a lower quote, they may be willing to match it. Ultimately, you won’t know if you don’t shop around, so do this at least annually to be sure you’re saving the most money possible.
Evaluate Your Risks
Thoroughly look through your current business insurance policy to be certain that you aren’t paying for any type of coverage that you don’t really need. For example, are you paying for auto insurance coverage even though you don’t have a company vehicle? Or are you covered for worker’s compensation even though you’re a sole proprietor? Cutting out what you don’t need will help you reap substantial savings.
Now that you’re aware of a few of the best strategies for saving the most money on your business insurance, you can start shopping for your coverage more strategically and will have more money left over for other important business needs.