While insurance premiums have risen significantly in recent years, they appear to now be stabilising. That's good news for small business owners who've struggled to absorb the increases.
Even so, it pays to keep shopping around and comparing your options, White says. Doing so will help you find the policies that represent the best value for your business.
Increase your excesses
Your excesses – the sums you agree to pay when claiming on your policies – can make a big difference to the price of your premiums.
Provided you have a reasonable savings buffer to draw on, should you need to make a claim, raising your excesses can be a way to reduce insurance costs.
“There's no one-size-fits-all solution and that's why it pays to seek expert assistance”
Understand what you're covered for
All insurance policies have criteria to which customers must adhere. Failure to do so may mean cover is denied in the event of a claim.
Of late, insurers have become stricter about enforcing these criteria. That means it's critical for you to understand what you can and can't do in order for your policies to remain valid.
For example, if your home-based business conducts a high-fire-risk activity like welding, your standard building and contents insurance may not cover you for fire.
"Provide potential insurers with accurate and complete information about your operations so they can assess the risk properly and offer policies that will give you the protection you need," White advises.
Ask for help
Working out what type of insurance cover is appropriate for your business and how much you should spend on it isn't always easy and getting it wrong can be expensive.
Small business owners are often under-insured and can find recovering from an accident or incident challenging as a result. Meanwhile, over-insuring could see you spending hundreds or even thousands of dollars a year on cover that you just don't need.
There's no one-size-fits-all solution, and that's why it pays to seek expert assistance, White says.
"A broker takes the time to understand your operations and the risks you face and can help you determine what's right for your circumstances," he says.
Cover for the year to come
Insurance is there to protect you when things go wrong.
A broker can help you find the cover you need to help safeguard your small business from accidents and incidents in 2024 and beyond.
Contact your broker today if you'd like to review your current policies or discuss your requirements.
Important
This article provides general information rather than financial advice. The content of this article, including any information contained in it, has been prepared without taking into account your specific objectives, financial situation or needs.
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