As your business grows, so do its associated risks. Whether you are offering new products, increasing your headcount, expanding your operational structure, or shifting to a new location, all these moves come with inherent risks. And these changes demand that you scrutinize what your existing business insurance policy does and does not cover so you can add more protection.
So, have you reviewed your policy lately? Many things can happen in just a short span of time. Thus, you need to set regular policy reviews with your agent to make sure your coverage addresses the evolving needs of your business. Insurance providers recommend that you review all the policy details at least once a year so you can add more protection as your risk exposures and liabilities increase.
Here are different ways to scale your insurance needs with business growth to ensure everything is fully protected:
Business location upgrades
If you move or add business locations or renovate your property, you need to review your property insurance to cover the changes. Doing so ensures that you get maximum protection and can deal with an unfortunate incident without the need to dip into your savings.
Changes in employee headcount
If you decide to increase the number of workers in your company, you should also upgrade your coverage. Aside from updating workers’ compensation insurance to avoid fines and penalties, you may consider adding group health insurance, mental health benefits, and even retirement insurance.
New product lines or service offerings
You might already be aware that you are taking on more risks when you introduce new products or services. Protect your good reputation and your network of clients by adjusting your current business insurance policy to provide comprehensive coverage. Consider including product liability insurance or updating your professional services insurance. It’s also a good idea to have personal and advertising injury as an add-on to pay for claims arising from marketing your new product or service.
Computer system upgrades
If you invest in new computer systems and digital technology, your business may be prone to cyber-attacks. A cyber liability insurance policy can cover your digital assets and liability should your sensitive files and data get compromised.
Additional equipment and vehicles
Business expansion means new equipment and additions to your fleet of commercial vehicles. Make sure your policy covers all perils associated with your business equipment and vehicles. Update your equipment breakdown policy, commercial property insurance, and commercial auto insurance. You can opt to include riders as well to give further coverage.
For assistance in determining which of your business insurance policies requires adjustments to cover new business risks, get in touch with us today.