Any savvy business owner will tell you that profit is made when you buy inventory and services for your company, rather than when you sell products or serve your clientele. After all, your profit is the difference between the price for which you sell an item or service and how much it cost you to acquire, produce, or implement it.
What’s more, this also holds true for administering your business. Reducing operating costs will result in more profit as well. With that in mind, let’s take a look at some tips for finding the best small business insurance quote — so you can protect your business without having to spend an arm and a leg on a policy.
Know Your Needs
Consider the nature of your business before you begin the insurance shopping process. What specific types of liability are you likely to face? How many employees do you have? What hazards might they encounter? Do you have to enter the client’s homes or places of business? Do your activities require the use of special equipment? What about cars and trucks? Will your employees need to drive to conduct business on your behalf? Will customers enter your facility? Do you need full-time coverage, or is it savvier to buy protection just for the duration of your individual jobs?
Tailor Your Policy
You’re better positioned to get both the best possible price and sufficient coverage when you know what your exact needs will be. What’s more, if you only need certain coverage at certain times, you can get a flexible small business insurance quote from a company like Verifly to shape your coverage to your particular requirements.
These insurers allow you to select your coverage for the specific dates and times that you need it. In fact, you can even get insurance by the hour. This way, if you perform certain operations only every now and then, you can get the coverage for those exact periods of time. This frees you of the need to carry that added expense when it isn’t required.
Reduce Potential Losses
Many carriers offer reduced rates when policyholders institute risk management efforts such as workplace safety and driver training programs, as well as disaster preparation and human resource intervention procedures. These must be in writing, and workers should be thoroughly trained.
Ask potential carriers what you can do reduce risks like fire or work-related accidents. You’ll also want to institute continuity of operations procedures in case your business suffers a major catastrophe. Pairing the right coverage with a well-considered disaster plan can save you money. It may even save your business from going under in certain circumstances.
Accept a Higher Deductible
Carriers base their quotes on the degree of risk your business is perceived to present. If you’re willing to take more responsibility for covering the costs of a claim, the insurer will reciprocate by offering you a lower premium. In other words, if you go with a higher deductible, the insurance company will pay out less money in the event of a claim, so they’ll charge you less for the policy.
Choose Coverages Carefully
You’ll pay twice for the same insurance if you inadvertently select overlapping coverages. As an example, you’re paying for duplicate protection if your vehicles are covered under your General Liability policy as well as a separate commercial auto policy.
Rather than paying for replicated protection, you can let one of those go.
These tips will be of tremendous assistance when it comes to finding the best small business insurance quote. Again, your profit is made when you buy rather than when you sell. The more effort and attention you afford to your cost reduction efforts, the more black ink you’ll find at the bottom of your ledger.