Tips for Reviewing and Updating Your Business Insurance

As your business grows and evolves, so do the risks it faces. That’s why regularly reviewing and updating your business insurance policies is essential. At times, your current coverage may no longer reflect your actual needs. Staying proactive can help your business remain financially protected and legally compliant, while also potentially saving you money.

What Are Some Key Steps for Reviewing and Updating My Coverage?

When reconsidering your business insurance package, you should conduct a multistep process that can help you identify any potential issues and address them accordingly. Consider the following strategies:

1. Schedule an annual review. Set a recurring date to assess your business’s coverage needs with your insurance broker or agent.

1. Evaluate business changes. Document any operational, financial or structural changes since your last review, such as opening a new location or a change in leadership.

1. Compare available policies. Shop around to ensure you’re getting ideal value and coverage for your premium.

1. Update coverage limits. Make sure your policy limits reflect your current assets and liabilities, as growth may have rendered previous limits insufficient.

1. Ask about new products. Insurers often offer new or bundled policies that could better suit your evolving needs.

When Should I Re-evaluate My Insurance?

In addition to conducting regular, annual reviews, your business might need to reassess its situation after various events and scenarios. Consider how the following might demand coverage updates:

• Growth—If you’ve added new products, services or locations, your existing policy may not cover these additions.

• Staffing changes—Hiring more employees or changing roles can affect your workers’ compensation and liability needs.

• New assets—Purchasing expensive machinery or moving to a new office space can increase your exposure to risk.

• Regulatory requirements—Laws and industry standards change. Your policy should reflect current legal obligations.

We’re Here to Help

Contact ABC Insurance & Financial Services in Tucson, AZ today to discuss business insurance and evaluate your coverage needs.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.