While some smaller companies may choose to operate without business liability insurance as a way of cutting down on operating costs, this is not the wise choice to make.
The cost of defending against just one lawsuit can be devastating, even when insured,
but without insurance, you could be literally pushed into extreme debt, or the settlement could even bankrupt your business.
Having small business insurance in Florida will likely save your company from a major financial disaster should one arise, plus there are many ways in which business owners can reduce their policy rates. There are several steps you can take, for example, implementing a sound quality control or risk management program. Both are designed to keep small business insurance coverage costs low.
Other ways to reduce costs
Shopping around for coverage, reading up on what is covered (and what is not), and reviewing policy plans from several insurers can help reduce rates. Be sure to shop and compare what different agencies are offering for similar policies.
Consider purchasing a package of policies, otherwise known as a BOP. When receiving an insurance quote on a BOP, be sure to understand what is included in the coverage. BOPs don’t include every type of insurance, for instance, Professional Liability (PL) coverage is not included in a BOP.
Some companies, because of their niche market, will often require specialized insurance to safeguard against unique risks. Insurance brokers understand this and will know what coverages are necessary and also where to go for the best rates.
In order to better understand what small business insurance coverage you might need, look at other businesses within the same industry. Researching recent legal actions and settlements from businesses operating in the same field can provide useful information, and you should also talk to peers about their experiences, along with their level of coverage.
Since the need for safeguarding your company with small business insurance in Florida is imperative, a little due diligence can help you to find the best coverage at the best rate. You need to protect your business from costly litigation and provide a solid foundation for success. This policy can be one of the most important steps you take in ensuring your company’s survival.