Insurance, How Importance Is It?

When you look to obtain a business insurance quote you will either be asked to declare certain information or complete a proposal form. This information will be used to provide you with a quotation and should you choose to accept the quote and accept an insurance policy, this information will form the basis of the policy that is taken out.

It is a two way street between you, the business owner and the commercial insurer. You declare information, including sums insured’s, values, security and construction details and an insurer then provides a contract of insurance which outlines their obligations to you, usually financial or re-instatement, in the event of an insured peril operating. This will also apply, in a business sense, to commercial property owners insurance.

For many businesses nowadays, their insurance will define the types of security that needs to be in place. Usually, depending on the amount of stock and it’s theft attractiveness and/or the value of other contents (such as business computers), you will be required to have an intruder alarm.

Now, we are not intruder alarm or security experts. But you can appreciate that “intruder alarm”, could mean anything from a top of the range system that tells an alarm company via GSM that there is an intruder all the way down to a system that you buy from the local DIY store for 50 and self install.

Many, many years ago, intruder alarms were all just audible only. A metal bell on the outside of the building usually rang when there was a break in. Thieves decided that the best way to deal with this was to use spray foam and fill the bell with this. Then, they would go back a few hours later, break in and the bell would not make a sound. Things have of course moved on. But, the self installed system is not as good as a professionally installed, and annually maintained, intruder alarm system.

So, when you are asked by your business insurance broker to declare whether or not you have an intruder alarm system, ask them exactly what type of system is required. Even if you take over a new premises, and there is a defunct system in place, it can usually be taken over by an approved company. Whilst wireless seems to be everywhere nowadays, intruder alarms that work through wires tend to have less innocent activations.

It is important to check any quote you receive to see whether the system needs to be audible only (one that just rings) or one that it monitored by either yourself (ie one that dials a mobile upon activation) or by an alarm company.

Also, there are two main bodies which monitor, approve and allow intruder alarm companies to be members, if they meet certain criteria. It is much more likely that your commercial insurance company will want the alarm to be installed, and importantly maintained (usually once a year) by a company that is a member of one of these bodies. They are either the National Security Inspectorate (which was NACOSS) or the SSAIB (Security Systems and Alarms Installation Body).

Any company that uses vehicles as part of their business will need to have the right kind of insurance. Choosing the kind of fleet insurance you need will depend on a number of different factors. Every state has their own requirements that need to be met if a vehicle is to be operated on public streets; however, additional requirements will need to be met in some circumstances.

For example, a company that provides transportation of any type to their clients or customers will likely need to have higher insurance coverage. It is essential that customers who trust a company to provide transportation are adequately protected in the event of an accident or injury. This includes companies that operate shuttle services, taxi cabs, limousine service, or any other type of service that involves operating a vehicle with customers on board.

While each state will vary according to the required insurance and minimum coverage amounts, every state will require fleet insurance of some type. The best way to find out what is needed for your particular business and location is to speak with a knowledgeable and experienced insurance provider. Insurance agents that are accustomed to writing fleet insurance policies will know how to help you maximize your coverage while keeping premium costs as low as possible.

When looking for fleet insurance for your company, be sure to speak to several different insurance providers. Just like with your personal automobile insurance, insurance rates for businesses can vary tremendously. It can be very cost-effective to spend some time comparing different policies and rates offered by various agencies. The important thing to remember is that you need to be sure that you are comparing similar policies. As deductibles go up, premiums often go down; the same is true with policy limits and coverage amounts. This makes it essential that you are looking at policies with the same deductible and limits.

Of course, comparing the different premium costs is just the beginning when trying to find the right fleet policy for your needs. It can be extremely important that the company you choose is one that offers great customer service. Check on the company’s claims department and find out how long it usually takes to get a claim resolved. An insurance provider that leaves you waiting for weeks or months before a claim can be settled might end up costing your business a lot more than the minimal savings you found with a less professional provider.