No matter what kind of business you own, you need to have an insurance policy to protect it against losses. However, if you find yourself paying high premiums, you probably feel very frustrated. Luckily, making a few changes can help you reduce your rates. Here are five helpful tips for saving money on business insurance:
Clean Up Your Credit
Many insurance companies take a business's credit history into consideration when determining the cost of a commercial insurance policy. If your business has a poor credit history, an insurance company may assume you have been financially irresponsible and are more likely to make insurance claims. Make an effort to clean up your credit history, so you can qualify for lower insurance rates.
Make the Necessary Updates to Your Building
You will likely get charged higher insurance premiums if your office is located inside an older building that hasn't had necessary updates. If your building has outdated electrical, heating or plumbing systems, for example, it may be considered unsafe. Making updates to your building might seem like a big investment at first, but they will help you save more money on insurance in the long run.
Offer Employee Wellness Programs
Another way you can lower your business insurance premiums is to offer your workers employee wellness programs, like discounted gym memberships and weight loss support groups. Insurance companies realize that healthier employees cost less to insure and may offer you cheaper premiums.
Keep the Work Environment Safe
It is also important to do your part in maintaining a safe work environment. If your employees work in a safe environment, they are less likely to get hurt and cost your insurance company money.
Avoid Making Too Many Claims
The numbers of claims you have made in the past also plays a large role in your insurance premiums. If you have made a lot of small claims in the past, your insurance company may charge you more money for premiums. It may be best to pay for small claims out of your own pocket and only call your insurance company for larger claims.
Business insurance doesn't have to break your company's finances. If you follow these useful tips, you can reduce your insurance premiums and have more money for other business expenses. If you still aren't satisfied with the cost of your premiums, ask your insurance agent about other discounts you may qualify for.
Speak with a company like Bennett Agency for more details.Share