A poll by the Canadian Federation of Independent Business (CFIB) showed that 83% of their members cited business insurance premiums as their single biggest expense. Wow! It’s a wonder some businesses can afford insurance coverage at all!
But there are ways you can lower your business insurance premiums.
Here are 5 tips to help you reduce your commercial insurance costs:
- Shop around! This sounds like a no-brainer, but who has the time, right? Don’t skip this step. There can be huge differences in prices between insurance carriers and this might very well turn out to be the smartest thing you do to keep your premiums manageable. And shopping around isn’t just for price—reputation and past performance is key! Does the insurance company you are about to sign with have a good reputation for customer service, or will they leave your claim hanging for months? Do they have a good track record with respect to defending their clients in court, or will you have to drag them kicking and screaming? Ask your broker.
- Look into the group rates available to you as a member of a business or professional organization. The bigger the organization, the more likely it will be to offer discounted insurance rates to its members. But don’t forget to compare!
- Look over your present policy with your insurance broker. He or she will help you find ways to lower your premium. Maybe raising your deductible will lower your premiums? Or maybe you don’t have to insure your entire fleet of vehicles bumper to bumper. What about discounts available if you bundle your policies? Your broker is trained to advise you on these discounts and a host of other things you might never think of. And on a side note, business insurance is tricky and complicated, so seek out an expert in the field—your home insurance agent may be a pal, but might not be the best person to advise you on business insurance.
- Lower your risk. Insurance companies may offer steep discounts if you install alarm systems and sprinklers. They may also lower your premiums if you get your place of business inspected for insurance risks. Don’t forget to ask your insurance agent about these possibilities.
- Review your insurance policy every year with your insurance expert to see what savings can be had. For example, if you’ve sold property, outsourced part of your operation, upgraded your alarm system or reduced your fleet of vehicles, there might be significant savings available to you.
At Klondike Insurance, we’re experts in commercial insurance in Edmonton. What started as a tiny one-room office over 50 years ago has grown into a full-spectrum insurance agency with experts to advise you on your commercial insurance needs in Edmonton.
Contact us at Klondike Insurance for a quote on commercial insurance in Edmonton. At Klondike Insurance we’ll help you find the most cost-effective solution to your commercial insurance needs in Edmonton.