Commercial Insurance Premiums

Is your company paying too much for commercial business insurance? If so, then you can take certain steps to reduce the overall costs of cover. Let’s face it: operating a company in today’s world can be a costly business. Here are some tips for lowering the price tag of your company’s cover:

1. Review your history of past claims. This will help you to minimise the number of claims that you make in the future. While it’s not the end of the world if your company makes a claim here or there, a trend of multiple claims can cause your company’s premiums to sky-rocket. In particular, you should be wary of making several claims within a period of three years or so. The size of the claims can also become a factor in determining how high your premiums are.

2. Reduce auto cover. A company can do this by insuring itself for the need to repair or replace vehicles. This can prevent the need to take out collision insurance cover when purchasing car cover.

3. Make your workplace safer. You can do this by taking various steps. Ensure that your workplace complies with rules and regulations regarding safety standards. Take steps to prevent discrimination based on race, gender, age, national origin, and so on. And enact policies that will reduce harassment in the workplace. Besides implementing methods for reducing problems related to these issues, it’s crucial to enact disciplinary action against offenders.

4. Reduce your excess. This will result in lower premiums. That’s a good thing, right? Yes, but there’s a catch. If your company needs to file insurance claims in the future, lower deductibles will result in higher out-of-pocket expenses. So while lowering your excess can reduce the overall costs of your premiums, you should do it with caution.

5. Shop around. A basic yet key reason why you’re paying too much for commercial cover is that you haven’t looked elsewhere! Tons of insurers provide a cornucopia of policies for business cover. So your company needs to shop around, to find the best deal. Make sure to get quotes from at least three companies, to help ensure that you find the best price available.

6. Reduce the risk of products and services. Whether your company provides products, services or both, it’s crucial to minimise the amount of risk that they create. Unfortunately, it’s impossible to completely eliminate the possibility of your products or services becoming a liability to customers. However, you can certainly minimise the amount of risks that the products and services create.

7. Bundle multiple commercial cover products. This can save you significantly on the costs of commercial insurance. As a word of caution, be careful not to buy bundled packages that contain cover that your company doesn’t need. Otherwise, you’ll be saving money on commercial cover products that aren’t valuable to your business. It’s like taking one step forward and two steps backwards!