Key Takeaways
- Re-check limits so inflation and rebuild costs don’t leave you underinsured.
- Make sure business interruption coverage matches how you operate today.
- Update workers’ comp and EPLI based on staffing changes and expanded roles.
- Revisit cyber liability as threats, vendors, and response plans evolve.
- Audit COIs so a lapse doesn’t turn into your problem.
It’s that time again. Now that the new year is upon us, it’s time to make some updates to your business’ insurance policies. Doing this at the beginning of each year can help ensure your company has the best protection in place for today’s risks and tomorrow’s changes, with enough coverage for anything that may come up unexpectedly.
If you’re unsure where to start, use this January checklist as your guide. It pairs well with a broader year-end insurance review and helps ensure your business insurance stays aligned with your operations.
1. Reassess Your Coverage Limits
There’s such a thing as being underinsured – having coverage on paper, but not enough when you actually need it. Inflation, supply chain issues, and rising rebuild costs can all turn “reasonable” limits into a shortfall.
Review property values, replacement costs for buildings or warehouses, equipment replacement costs, and liability limits. If you’ve added new assets recently, don’t assume your policy automatically kept pace, especially if you’re investing in new equipment in the new year.
2. Update Your Business Interruption and Loss of Income Coverage
You and your partners don’t control the weather, supply chains, or a surprise shutdown that disrupts operations. Make sure your business interruption insurance reflects current income projections, realistic restoration timelines, and any dependent property needs based on your current business structure.
3. Review Staff-Related Coverage (Workers’ Comp & EPLI)
Staffing changes matter. New hires, layoffs, role expansions, and operational shifts can change your risk profile quickly.
January is a smart time to confirm workers’ comp details are accurate and to evaluate whether Employment Practices Liability Insurance (EPLI) aligns with your real-world people risks, especially if your company has grown or restructured.
4. Evaluate Cyber Liability & Data Protection Needs
Cybercrime keeps evolving, and even small companies are targets. Now is a good time to review your cyber liability insurance policy, confirm liability limits, and pressure-test your response plan – especially around vendor access and how quickly you can contain an incident.
If you haven’t revisited this recently, your cyber liability coverage should keep pace with how your business handles customer data, payments, and third-party systems.
5. Reconfirm Vendor, Tenant, or Contractor COIs (Certificates of Insurance)
You should be checking COIs at least once a year. If a vendor, contractor, or tenant lets a policy lapse, or provides a non-compliant certificate, your business could end up exposed when something goes wrong.
Audit COIs against your leases and contracts, confirm limits and additional insured requirements, and fix gaps early. If you need to collect or update documentation quickly, you can request a certificate as part of your January cleanup.
Have Questions? Contact Charlotte Insurance
Want to learn more about insurance updates your company should make in January? Contact Charlotte Insurance. Our agents can explore options and help put together the insurance coverage plan your business needs.