3 Ways to Save on Business Insurance

Bundle your policies: Insurance companies want more business from customers, and bundling all of your policies with a single insurer is giving that company what it wants. This often means discounts across the board on your policies.  Another bundling option for small businesses is called a business owner’s policy (BOP), which is a single policy that includes property and liability coverage, along with additional coverages of your choice. This option is often a cheaper way to get comprehensive coverage for businesses that employ fewer than 100 employees and earn less than $1 million annually.

 Pick a higher deductible: A deductible is the expense a covered business is responsible for paying when filing a claim; the insurer will cover the rest of the costs following a covered event (up to policy limits). Choosing a higher deductible will often decrease monthly premiums, but it also means that your business will have to pay a higher amount when making a claim. It’s recommended that you pick the highest amount that your business can feasibly afford at any given time so you can enjoy lower premiums year-round.

 Install security features: Insurance companies calculate premiums by how much of a potential risk a business poses. You can reduce the risk of a covered event occurring on business property by installing security features, such as burglar alarms, security cameras, smoke alarms, fire sprinklers, a stronger firewall on computers, etc. These devices will require an initial investment, but they help make your business much more secure. This added security can reduce your premiums and/or qualify your business for a safety discount.