Each commercial venture is different. That means they take on different risks and progress at different rates. When it comes to the commercial insurance that protects companies, many business owners have a ‘set it and forget it’ mindset. If your business doesn’t experience significant changes throughout the year, this may be an appropriate method. However, there are a few situations that, when they happen, can impact your insurance costs and coverage. Here are just a few times in which you should review your commercial insurance in Nassau County, NY and ensure you have the right coverage for your needs.
When to Review Business Insurance
- Your business significantly grew or shrank
Perhaps 2020 has been kind to your business and increased the demand for your service or product. Perhaps you were hit hard by the pandemic and had to let a few employees go as your profits shrank. Whatever the case, when your business changes size – for the better or worse – you need to update your insurance policies. While you aren’t required to contact your insurance provider when your business fluctuates, if you do, your insurance agent can help you stay on top of how much your business should have and how much you should be paying.
In the case of a large increase in revenue, you’ll owe back money for the entire time that your business exceeded your original revenue estimate. If you lost employees, you will need to update your workers’ compensation insurance, too. Keep your agent in the loop, whether your business is speeding up or slowing down.
- Your locations, products, or services changed
When you open, close, or relocate, it will influence your insurance needs. Always notify your insurance agent when big changes happen among your business locations. Be sure you have the right locations listed on your policy so that the right building and property are covered. If you sell a new product or service that is quite different from your current list, you should notify your insurance agent. He or she will be able to update your insurance coverage to reflect this change – new services come with new risks, after all.
- You made improvements to reduce your risks
Has your business improved its risk management program? How about its safety procedures? Whether you update systems or implement safety procedures, there are many ways you can reduce your business’s chance of risks and hazards. Let your insurance agent know so that they can update your policy. You may potentially have earned a discount by doing this, too.
These are just a few situations when you should review your commercial insurance. For the commercial insurance to protect your business, contact the team at Northeastern Group. Serving New York and beyond, we are here for you during this challenging time.
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