Businesses often look for ways to minimize their insurance costs so that they can keep their overhead expenses low. Eliminating coverages in order to save on premiums, however, can leave companies dangerously exposed to potential perils. If you have a business in Beacon, New York and are looking for ways to keep your company’s business owners policy premiums low, here are three ways your company might be able to save on insurance without assuming too much additional risk.
These 3 Tips Might Help Your Company Save on a Business Owners Policy
1. Take Actions That Will Help Prevent Loss
Many insurers offer discounts to businesses that take loss-prevention actions. Loss-prevention actions are simply steps that businesses take that effectively reduce the likelihood that the business will suffer a loss the insurance company would have to cover. Because these actions reduce insurers’ exposure to risk, they’re often willing to pass on some savings to companies that take these actions.
Not all insurers offer discounts for the same loss-prevention actions. What loss-prevention actions your company can take to qualify for discounts will depend on your insurer. Your company might qualify for a discount by:
Installing a security system that’s actively monitored, also know as a Central Station Alarm system
Recent renovations, replaced roof, updated plumbing or electrical system
If you use Independent or Sub-Contractors make sure they have their own insurance
To find out what actions your company’s insurance company provides discounts for, contact an independent agent who specializes in commercial insurance and serves the Beacon, NY area. They’ll be able to both make sure your company is getting any discounts it should already qualify for and suggest steps you can take to qualify for additional discounts.
2. Increase the Deductibles of Your Company’s Business Owners Policy
Increasing an insurance policy’s deductibles generally reduces its premiums. By increasing deductibles, a policyholder agrees to pay more when there is a covered claim. In exchange for bearing more of the claim’s cost, insurers typically provide lower rates.
By increasing the deductibles of your company’s business owners policy, your company is assuming more risk. If there is a claim, you will have to pay a little more. The amount of additional risk that your company takes on by increasing deductibles can be feasible, though, and the savings can be sizeable. Often, agreeing to pay just a few additional hundred or thousand dollars per claim can result in significant premium discounts. However this should be discussed with your insurance professional to ensure if there is a major claim you will not be financially devastated.
3. Contact an Independent Commercial Insurance Agent Who Serves Beacon
One of the best ways to save on a business owners policy for your Beacon-based company is to contact an independent commercial insurance agent. Not only can an independent agent help you review potential loss-action discounts and select deductibles that work for your company, but they can also compare policies offered by different insurers to make sure your company has a policy that provides excellent coverage at a great price.