Contractors and small business owners have to make many important budgetary decisions, but canceling Inland Insurance may be a serious mistake. When a company cancels its professional or general liability insurance, there can be long-lasting consequences. Consider these factors when making the decision to cancel a policy.
Higher Premiums
Canceling and renewing a business policy can increase the monthly premium. However, business owners can avoid these expenses by ensuring that the old policy expires the same day the new one starts. Canceling an errors and omissions policy means that old contracts aren’t covered by a new policy without the correct endorsements.
Adjusting Coverage
If a business owner needs to save money on coverage, they should talk to their agent, who may be able to adjust the policy’s coverage and reduce premiums. If a company can’t meet its revenue projections, it may qualify for reduced coverage at a lower premium. Call a local agent for more details.
Cheaper Coverage Isn’t Always Better
Small business owners are always searching for ways to save, but they should be wary of cut-rate insurance policies. While they may bring some initial savings, they can also leave a company with poor coverage that won’t do its job. When a business owner doesn’t know which company to trust, they should look for an insurance brokerage that sells policies from top-rated providers. It may also help to look for a company that has industry experience, as they can ensure that a professional liability policy includes third-party and other relevant coverage types.
Canceling Workers’ Compensation Insurance Can be Difficult
Workers’ compensation insurance policies provide medical and wage replacement benefits to workers hurt on the job. However, many don’t realize that it also prevents workers from suing their employers for negligence. A small business owner can control costs by implementing safety plans that prevent claims and minimize losses. With these steps, owners can keep workers safe and costs down.
Small business coverage is complex but necessary. Owners work hard to create companies, and they shouldn’t lose them by having poor coverage.
