If your business is really taking off, and you’ve decided to expand, then you’ll need to start thinking about updating your commercial insurance policies. When you first started your business, you purchased the right amount of commercial insurance, but as your business grows and changes, so do your insurance needs. The last thing you want is to lose your business due to outdated or insufficient coverage. There are a few situations in which you need to rethink your commercial insurance coverage.
Adding A New Service
As your business expands, you might decide to offer new services to your customers. Adding services to your business does not mean that they are automatically covered by your current commercial insurance policy; if you don’t update your policies, you are likely to end up with gaps in your coverage. For example, if you are adding an online service, then you will need to make sure that you get the correct cyber liability insurance.
Unfortunately, many business owners make the mistake of thinking that their general liability policy covers all liability, but this is not the case. Commercial general liability is not likely to cover all the threats that come with conducting business over the internet, such as data breaches. If your company’s information were hijacked, the cost of recovery could be astronomical, and the loss of customers and your reputation could be even more damaging.
Adding other services could also mean needing more professional liability than you currently have. This type of policy is necessary for any business that offers a professional service or regularly gives advice to clients. Let’s say, for example, that you decide to start offering workshops for customers through your business – in this case, you’ll probably need more liability insurance.
If you’re unsure whether you have the right coverage for your expanding business, EZ will go over your current policies to make sure that you are fully covered. We will evaluate all of your current commercial insurance policies, including general liability, BOP, professional liability, and workers compensation insurance. Then we will determine what you need to add on in order to be fully insured without any gaps that could damage your business.
Adding Multiple Locations
Hooray, your business is growing so much that you need to open another location! When adding multiple locations to your business, you have to keep several things in mind, such as:
- What is the surrounding area like? Do you need more security, such as cameras or metal shutters? Could the weather in the new location lead to property damage?
- Have employees been given the same guidelines and training as at those in the primary location?
- What is the risk of injury to third parties at all locations?
Once you answer these questions, you can assess your new needs. To cover your multiple locations, you’ll probably need more commercial property insurance. In addition, adding more employees means you’ll also need to re-evaluate your workers compensation and employee liability insurance. Each location should have its own set of business insurance policies that meets each of its specific needs.
Upgrading Your Business’ Equipment
Have you recently upgraded all of your computer systems at your business? Have you added more equipment to your office? If so, then your current insurance policy might not include the correct amount of protection for the equipment. If you do not upgrade your insurance when you upgrade your equipment, then you might not have enough coverage for the new items if they are damaged or stolen. The last thing anyone wants is for a very expensive item to get stolen or damaged without any protection to cover the costs of repairing or replacing it. One of our agents will go over all of your upgraded equipment and machinery, and make sure that you are covered properly.
Depending on your type of business, you are likely to need multiple types of commercial insurance coverage. And as your business grows, your commercial insurance coverage needs will change, as well. In order to make sure you are adequately covered, you need to have an agent that knows what kind of coverage you need and how much of it you should have. EZ’s agents are trained to make sure your most important asset, your business, is secured with comprehensive coverage. If you are looking to increase your insurance coverage, or find out if your business has enough insurance for your current situation, our agents can help you determine that free of charge. To get started, enter your zip code in the bar above, or to speak to an agent call 888-615-4893.