The end of the calendar year is a suitable time for businesses to review their operations, budgets, business forecasts, and most importantly, their insurance policies. Many things can change over the course of the year that can make your insurance policies insufficient. Adding new employees, creating new product categories, and investing in new equipment are all reasons why your insurance needs may change.
So, how can you ensure that your company has the right policies and amounts? A year-end review is the answer to that questions.
What to Examine Before Heading to Your Insurance Agent
Before you contact your insurance representative to go over your business policies, you first need to have every possible bit of information that relates to them. Here are some things to think about:
Business Changes – How has your business changed over the year? Did you move to a larger location? Have you added on employees or a new line of products and services? The answers to these questions can help your agent assess your policies to see if any new ones need to be added on.
Examine Your Property – Physical assets, also known as the property and items owned by your company can consist of everything from your computers and desks to your manufacturing equipment and the buildings themselves. With the price of real estate and goods rising, you need to make sure that you have enough coverage to replace or rebuild, as necessary.
Check Your Employees’ Coverage – Things like workers’ compensation limits and requirements can change at a moment’s notice, as they are set into place by the government. Consider reviewing your current coverages to ensure you know what you currently have and what you possibly need.
Organize All of Your Documents – There are numerous documents that the insurance company may need in order to ensure that the right changes are made to your company’s policies. Things like tax records, deeds and lease agreements, accounting statements, and more may be needed. It’s important to have them ready to go when you meet with your agent.
Insurance Policies to Examine
Businesses tend to have BOPs, or Business Owners’ Plans, which consist of building insurance, a general liability policy, and any other relevant commercial plans all rolled into one package. It’s a good idea to include these insurance policies on your list of ones to examine at the end of the year. In addition, there are others to think of as well, including:
Cyber Liability Insurance – If your company doesn’t have cyber liability insurance, or you’re worried that your coverage is inadequate, now is the time to adjust your policies. Even the smallest businesses need to be wary of and prepared for cyber thieves.
Specialty Plans –Review any specialized coverages (manufacturing, commercial auto, warehouse, tools, and equipment) to confirm it still fits your operations and limits.
Have Questions? Contact Charlotte Insurance
Want to learn more about insurance needs for businesses of all types and sizes? Contact Charlotte Insurance. Our agents can explore and explain all available options and put together the insurance coverage plan your business needs.