Small Business Insurance Mistake #1: Two Agents Are Better Than One
As a small business owner it may seem tempting to use two agents for all of your insurance needs, especially when one doesn’t offer everything you need, but you’re likely setting yourself up for increased premiums and potential coverage gaps.
Here’s a question you should think about:
Would you use two agents for your auto and homeowners insurance?
Considering that you wouldn’t be able to receive any available discounts if these two insurance services were separated; the answer is probably not. Then why risk losing available discounts for your business’s insurance needs? Using one agent to manage your entire insurance needs is always the better choice.
Small Business Insurance Mistake #2: Paying for Insurance Policies That You Don’t Need
Small business owners’ biggest mistake has to do with paying for commercial insurance that just may not be needed. It’s important to take the time to find an insurance agent that knows your industry, has experience insuring small businesses, and works with several top-related insurance providers.
Small Business Insurance Mistake #3: Only Buying General Liability Insurance
While you shouldn’t pay for insurance policies that just aren’t needed (see mistake #2), you should look at other policies besides that of a general liability policy. While it’s true that general liability will protect you from the most common business risks, it is definitely not meant to be used as a catch-all.
Many small business owners assume that their general liability policy will protect them in all scenarios, but those that actually take the time to read through their policy, know that this just isn’t the case. We recommend that you speak with your agent regarding your specific risks when shaping your policies.
Small Business Insurance Mistake #4: Forgetting to Update Your Policy
Once you’ve decided on the amount of coverage and the policies that your business will need, it’s easy to forget about, and assume that all you have to do is pay the premium each month without worrying about making any changes.
That’s what your agent is for, right? Wrong!
In fact, it is crucial that you sit down with your independent insurance agent, at least once a year to revisit and revise your policy as needed. This is particularly important for small business owners as you’re continually growing and evolving.