Having the proper amount of insurance is an important aspect of being a responsible business owner. However, those who are new to running a business will often lack some of the information and awareness that is needed to maximize the protection offered by this coverage.
Review Your Local Workers' Compensation Regulations
There are many regulations concerning the amount of coverage that a business must have for instances where workers are injured. New business owners will often fail to review these requirements, which can leave them open to a number of different legal issues. If you are unsure as to the local requirements, you should consult with your attorney to understand the legal minimums you should carry. It should be noted that it may be recommended to carry more than this amount, and your insurance agent will help you to estimate your needed coverage.
Regularly Perform Risk Assessments For Your Business
The risks facing a business will change over time. However, individuals will often fail to review or update their insurance policy to reflect these changes. Twice a year, you should take the time to review whether your business has undergone any major changes that could impact its risk profile. Most insurance companies will help their clients perform these types of assessments, which can allow you to enjoy the benefits of having this assessment done by a risk assessment professional.
Designate Specific Employees To File Insurance Claims
When a situation arises that requires an insurance claim to be filed, it is important to avoid mistakes that could possibly delay the claim. To help with this, you should have designated members of management for handling all insurance-related issues. These individuals should be thoroughly trained so that they will be able to complete claims and perform other insurance-related tasks. Due to the importance of your insurance policy, you should also implement a rule for any changes or claims to be reported to the owner or general manager.
Avoid Letting Your Policy Accidentally Lapse
Missing a payment can result in your policy lapsing. If an accident or other issue were to arise during this time, you may be unprotected, which can prove to be financially devastating. Paying for the entire cost of your policy upfront can avoid the risk of accidentally missing a payment. For businesses that may not be able to afford such a large expense, signing up for auto payments can also be an effective option. In the event that you miss a payment, you should contact your agent immediately so that you can purchase new coverage as soon as possible so that you minimize the time your enterprise is unprotected.
For more information about obtaining business insurance, contact a local insurance agency like Cache Valley Insurance Inc.