Insurance is a necessary purchase for your business. And the better informed you are about it, the better business insurance premiums you can negotiate. Before you take out or renew your business insurance, make sure that you check this list of five ways that you can save money on business insurance and see what you can do to reduce your business insurance bill. So, here’s our guide to reducing the cost of your business insurance.
Discuss Your Insurance Premiums with your Insurer
Simply talking to your existing insurer is a great place to start when trying to reduce business insurance. If you communicate with them that you’d really like a better rate, they will be able to discuss the premium with you in detail, and suggest ways in which you could have it reduced. They may even learn something new about the business that they didn’t know before, which could result in them offering you a lower premium. After all, it doesn’t hurt, or cost anything, to ask!
Lower Your Liability Risk
There are lots of things that may contribute to a higher cost of business insurance. But there are ways that you can effectively lower your liability risk, therefore reducing the cost of your business insurance. Good insurers should talk you through these options during your application. Reducing yours and your businesses liability will help to reduce the premium. For example, the simple act of installing a security system may reduce your premiums. Other factors will contribute to cost too, such as the location of your property, and the type of work that you carry out.
Reduce the Coverage of Your Business Insurance
By fully evaluating your existing business insurance policy you can see what areas you could cut back on, therefore saving money. For example, you may be able to increase deductibles in order to lower your rate. Another good example is carrying only collision insurance on older vehicles in your fleet or vehicle insurance.
Maintain Good Health and Safety Standards
You are responsible for the health and safety of your employees while they are at work. Almost all employers must have Employer Liability Compulsory Insurance to cover for injuries and ill health experienced by their employees while at work. Maintaining a good standard of health and safety in your place of work can mean lower insurance premiums. You should be able to demonstrate the correct use of Risk Assessments and Method Statements, and prove that these methods genuinely reduce accidents in the workplace.
Tell Your Insurer How Long You’ve Been Trading
If you have been trading for a substantial period of time, and can demonstrate that you run a successful, profitable business, you may be able to negotiate a small reduction on your premium by asking your insurer to take this into account. If you have started up your company recently however, you might find that your cover is a bit more expensive than the average for the first year you take it out. Bear in mind that with every successive year that your business has been in operation, your business insurance should drop a little in order to reflect that.
Compare Business Insurance Online
If you are looking for a good deal on your business insurance, why not compare the best business insurance quotes online here with City Insurance? It’s quick, simple, and we are able to compare a panel of 40 leading insurers to make sure that you get the best possible price and premium. Get yourself a low cost quote for your business insurance today.