If you run a business, you need insurance to protect you from a devastating financial loss. Not all business insurance policies are the same. Here are some things you need to consider so you get the right coverage.
Figure out Which Types of Coverage You Need and How Much
A business insurance policy should cover liability and property damage, but you may need other forms of coverage, such as auto, cyber liability, workers’ compensation, and errors and omissions. The type of business you run will determine which forms of coverage are appropriate.
You will also have to figure out the amounts of coverage you need. That will depend on specific risks associated with your business and potential losses your company could face. Insurance policies will include a per-occurrence limit (the amount an insurer will pay for one claim), as well as an aggregate limit (the total amount a policy will pay for one or more claims filed in one policy period).
Choose the Right Deductible
If your business suffers a loss and you file a claim, you’ll have to pay a deductible before the insurer will pay bills related to the claim. Think carefully about the deductible.
Selecting a low deductible will generally cost you more in premiums than you will pay if you choose a larger deductible. If you select a high deductible, make sure that it’s an amount you’ll be able to afford. If you have to file a claim but you can’t pay the deductible, your insurance policy won’t do you any good because your coverage will only kick in after you’ve met the deductible.
Compare Policies and Rates
When looking for any type of insurance coverage, it’s a good idea to shop around and compare rates from several companies. You may discover that premiums for the same coverage vary widely from one insurer to another.
It’s important to note that business insurance policies are not all structured the same way. Some insurers include certain types of coverage in all their policies, while others offer them, but you’ll have to add them on for an extra premium.
When you compare policies, make sure that each quote you look at includes the same types of coverage, the same limits, and the same deductibles. That will allow you to make an apples-to-apples comparison and figure out which company offers you the coverage you need at the most affordable price.
Get Help from an Experienced Local Agent
Petruzelo Insurance in Wallingford, Connecticut, can help you find business insurance that fits your needs and budget. We’ll work to understand your company so you can get the right types and amounts of coverage. Contact us today to compare business insurance quotes from several top companies.