SMEs: 4 tips to buy your company’s insurance

To protect your growth plan from unforeseen circumstances that may arise in the course of your activities, business insurance suited to your situation is definitely essential. See how to find the ideal solution.

1- Clearly define your protection needs

Have all the relevant data at hand to allow the registered agent to offer you a complete quote at the best possible cost. A description of your business activities, the annual revenue generated, the territory served, and the total value of your assets are prime examples. All information regarding the location of your company and the vehicles used is also required. This data allows you to properly assess your protection needs.

Ideally, your building and equipment related to your activities should be covered at replacement cost. You must also protect the company’s liability: no one is immune from harm caused unfortunately to third parties. Other protections – against loss or damage to important documents, employee embezzlement and loss of income caused by disaster, for example – can be added to the commercial insurance contract.

Beneva also offers recommendations based on the type of business you run. For example, retailers may qualify for a benefit in the event of a product recall or perishable food losses incurred due to a prolonged power outage. So you can customize your business insurance to your needs and add flexibility!

2- Understand that the award is not the only decision factor

Of course, all protection comes at a cost. The objective, however, remains to not skimp on protections and to have a contract well suited to your organization’s real insurance needs. On the other hand, make sure you don’t pay for protection you don’t need!

View premiums paid as an investment, not just an expense. In the event of a claim, you’ll have peace of mind knowing that the insurance company is keeping an eye on the grain. Entrepreneurs sometimes underestimate the value of their assets or do not have adequate coverage to compensate for losses incurred when disaster strikes. The sustainability of the organization is therefore at stake! So don’t just buy one monthly payment, buy the full coverage that’s right for you. So don’t leave anything to chance!

3- Review your covers at regular intervals

Did you know that it is very important that your file is up to date with your insurance company? As the latter relies on the expertise of actuaries – specialists in mathematics and probability – your premium is established according to the risk you pose to the insurer at the time of underwriting.

Periodically reassess the assumptions that were used when the insurance contract was issued. If the context has changed since then, your prize might be revised up or down, it depends! Therefore, take the time to make a phone call to your insurer: an update of the file will, in any case, facilitate a possible claim, if necessary.

4- Reduce the risk of disaster

Take the time to find solutions to mitigate the business risks you’ve identified in your risk management plan. Your prize will be even more advantageous! Installing a sprinkler system, adding an alarm system to connect to a power plant, or reducing the value of your inventory in favor of a “just in time” method of supply can all work in your favor.

The amounts saved in the renewal of your commercial insurance can then be directed towards your savings. One stone, two birds, knowing that you can now rest easy: your EMS is protected from the risks you took care to identify beforehand. You are therefore well prepared to continue on your path to expected success!

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