There’s no question that a comprehensive business insurance policy can save your company a lot of money if a covered incident occurs, like a fire or cyber-attack. However, business insurance isn’t something you can buy and then ignore. As your business grows and evolves, so too do its coverage needs. Let’s take a look at some of the most common and costly insurance mistakes made by businesses.
· Ignoring coverage: Failing to review your business’ coverage could very quickly lead to being over-insured or underinsured. In the former case, your monthly premiums will be higher than what they should be; in the latter case, you may have unexpected out-of-pocket expenses if disaster strikes. For the right amount of protection, review your policy with your insurance agent each year, or after big changes like hiring/firing employees, relocation, large investments and more.
· Paying for too much coverage: It’s in your business’s best interest to speak with an insurance agent who is well-versed in the needs of your industry. He or she can evaluate your business and make custom coverage recommendations accordingly so you never wind up paying too much.
· Using wrong classification codes: There are multiple employee classification codes that are used to determine workers compensation coverage. This is because different jobs come with different levels of hazard. For instance, a firefighter faces more on-the-job dangers than a graphic designer. If you assign the wrong codes to employees, whether intentionally or accidentally, your business may wind up paying more for coverage.
Want to get great coverage for your business? Call your independent insurance agent today for personalized assistance.
Get a free quote. Call The McCallum Insurance Agency at 440-899-2700 for more information on Westlake business insurance.