Business Insurance - Watch Out

Below are a few things you should consider to minimize that chance that your business insurance policy will adequately protect your business.

The Insurance Agent or Broker

Find a way to get some information on your agent. Ask him/her for several referrals for businesses similar to yours.

The Referral

Learn from other peoples successes and failures. the referral is a great way to insure a positive outcome. Ask friends and acquaintances who are in the same kind of business about their agent.

Go back to the well

Just because your personal agent handles your car and homeowners insurance, doesn't mean he/she cannot handle your business insurance as well. If your agent doesn't happen to provide the insurance coverage needed for your business, he or she will likely be the best resource for a referral to an insurance agent that specializes in the coverage that you need.

Knowledge is power

Make sure your insurance agent is familiar with your type of business. Here's an example: You own a manufacturing company and your agent specializes in insuring nursery schools. Watch out for the agent who says yes when asked if he or she can cover your business but can't answer simple questions about questions you have.

Ask, ask, ask

Don't forget to ask questions. See our other business insurance resources and develop a list of questions you can ask your agent before you purchase your business insurance policy.

Do your homework

If you are reading this, you are following this advice. It doesn't make sense to buy insurance products 'blindly'. Get an education about what you are likely to need. When your agent starts talking, wouldn't you like to be able to follow the conversation? The only way you'll do that is by doing your homework.

Minimize mistakes

If you have to file a claim, look to fellow business owners for advice. Especially those who have had situations like yours. You will be able to learn from their mistakes.