When looking over business insurance quotes, something you’ll notice right away is how complicated and detailed they can be. Nonetheless, there’s no need to let the complexity of insurance quotes to stop you from selecting the right one for your business.
All you need to know is what to look for, and that’s exactly what we’re going to cover in this article to ensure you get the best possible insurance coverage for your company.
Here are the top three key things you will want to look for in business insurance quotes:
- How Is Payment Billed?
Perhaps one of the biggest factors you have on your mind when looking for an insurance quote is how payment is billed. Generally speaking, payment will be billed either from the insurance company (referred to as direct billing), or from the insurance broker (referred to as agency billing).
Between these two, agency billing is definitely the more common option. The broker will collect the full payment from you either via check or wire, and the policy will then become effective at that point. If you’re a little limited on cash, credit card options are usually available as well.
- Analyze The Limits Of Liability
The heart and soul of any business insurance quote is the limits of liability. The limits of liability effectively outlines the amount of money that the insurance carrier you are considering will pay for both the duration of the policy period (referred to as the aggregate limit) and any single claim (referred to as the occurrence).
You need to make sure that these amounts are satisfactory and fair to you. Something else to be aware of is that if your company is in the pre-revenue stage, then you should expect coverage to be a little more expensive than you may have anticipated. This is only natural, however, since companies that are more established will be less of a risk. Therefore, as your own company continues to grow, coverage will lower in the future.
- Check The Retentions
Finally, be sure to check the retentions of your insurance quote. Also known as the deductible, retentions are simply the amount of money that you have to pay (out of your own pocket) for every claim that is made on your policy.
This means if your quote gives you a fifty thousand dollar claim with a five thousand dollar deductible, your insurance company will pay forty five thousand while you will then have to pay the remaining five. Generally speaking, the higher the retentions are on your quote, then the less the premium will be as well.
Finding the Best Business Insurance Quote For You
Finding the absolute best insurance quote for your business doesn’t have to be as hard or intense as you may have initially anticipated. The three factors we have covered in this article will be the top things to look for the next time you’re shown a business insurance quote.