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Insure Your Business; Protect Your Success

  • September 9, 2019
  • By Aidan Dwyer

The last thing any small business owner wants is something bad happening to their business. You have worked so hard to get your business to where it is today, why risk any loss? As a business owner, you have to be smart and be prepared for the unexpected. Whether this may be injured employees, production losses, or even problems with employees’ wages, it is important to have a protection plan. Insurance may be an initial burden on your business because of cost.  However, in an ever-changing business world insurance is vital. Insurance ensures protection, avoids loss, and ultimately serves as a “bodyguard” for your business. 

There is a common connotation that business insurance is frustrating to obtain. Luckily, getting insurance for your business doesn’t have to be a confusing process. Below, REIL’s created a guide to aid you in obtaining the best business insurance for your business.

  1. Select the Type(s) of Insurance that Best Suits your Business

There are a variety of insurance plans geared towards small business owners. It is important to become knowledgeable of all of the insurance options out there. This way, when it comes time to talk to an insurance broker, you know exactly what your business needs/is looking for. Additionally, your knowledge can help you avoid paying for packages that include services you don’t require.

Here are some of the most common business insurance plans:

  • Liability Insurance: Covers your business from damages caused by your businesses’ products or services.
  • Employment Practices Liability Insurance: Protects your business for employment disputes such as sexual harassment, discrimination, etc.
  • Errors and Omissions Insurance: Similar to malpractice insurance for lawyers and doctors, errors and omissions insurance covers your business from claims that you didn’t do your job properly.
  • Workers Compensation Insurance: A required coverage, covers your business from employees who are injured on the job.
  1.  Select a Provider

After you have figured out the insurance plans your business needs, it is time to select an insurance provider. This can be a difficult process because there are hundreds of insurance providers and brokers to choose from. REIL is here to help.

Here are a few tips to consider when selecting a broker:

  • Ask Questions: This is a good habit to have when inquiring about any product or service. Regarding insurance, you want to make sure the provider you choose is going to help you get the best insurance possible.  Avoid brokers who are solely trying to win your business. Asking questions helps you avoid obtaining a package that gets brokers the most revenue with no additional benefits to your business. You also want to confirm the service is knowledgeable about their packages and products. Ensure they are selling, rather than just spitting out a pre-written pitch.
  • Look for Specialization: Many insurance providers and brokers try to take on as many business clients as possible. Take the time to research providers that specialize in your industry. You will find an insurance provider that specializes in your industry that will help you make the most out of your insurance purchase.
  1. Review the Quotes

Once you have found the right provider for your business, you are going to receive quotes for the insurance packages. There are a few important things to look at when you receive these prices:

  • The Deductible: How much you will have to pay out of pocket to obtain the insurance policy?
  • Limit of Liability: The amount of money that the insurance provider will cover in a single claim.
  • Payment Terms: How you will pay for the policy- how often you are billed, who your bill comes from, and what the method of payment will be?

REIL Analysis 

Purchasing insurance is an important task.  While it may be expensive, every business owner should consider implementing insurance policies. Having protection is second to none in the business world.  There are ways to purchase insurance without it having a huge effect on your business’s bottom line. For example, you can consider taking out additional financing to help cover your insurance costs. If you want to find out what insurance financing options are available for you and your business, fill out our commitment free application today.

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