There are many costs associated with running a business, and saving money wherever you can is a huge plus. If you’re a small business and looking to decrease your insurance premiums, implementing risk management strategies is the best action to take!
Business Insurance is a necessity, which provides financial protection for claims against your business due to unexpected events. A liability claim for damages or injuries caused by your business or your employees is the cost of doing business. A claim can be due to a slip and fall, from selling a defective product, or providing food that causes an individual to become ill.
Several factors influence your business insurance premiums:
- Type of business and its industry
- Size of business
- Location of business
- Amount of coverage needed
- Deductible amount
- Business’s claim history
However, there are things you can do to reduce your insurance claim expenses, which will eventually have an impact on lowering your insurance rates. Accident prevention and employee safety are key components.
Look at your insurance claims history to identify the most common and take measures to address limiting these occurrences. Is your parking lot a hazard due to uneven pavement? Do your employees know how to detect a product that may be damaged? Do you have food safety standards in place?
Here are some steps you can take now that will eventually lower your rates but not your coverage:
- Assess potential hazards and risks in the workplace to prevent accidents. Making accidents less likely by adding railings or mats on slippery surfaces.
- Train your employees in proper safety guidelines to minimize liability exposure. Do your employees know how to properly use the machines or equipment?
- Maintain a safe environment free of facility or equipment issues. Is there proper signage posted, and are tools in good working order and properly put away after use?
- Documentation of incidents and the procedures followed shows your business’s commitment to minimizing risk and increasing safety.
- Install a burglar detection device or employ a monitored security service to reduce theft.
- Update your fire detection measures beyond the basic minimum. Adding carbon monoxide detection and installing a sprinkler system can greatly reduce your insurance payments.
The professional agents at Charles Leach will work with you to find the best business insurance coverage for you. Call us today at 1-888-275-3224.