How to Select Small Business Insurance

How to Select Small Business Insurance

May 21, 2021

Finding the best small business insurance might not be the first thing on your checklist when you are starting a company. You probably already have a million things to do before the grand opening! But selecting a great agent who can help you get the right coverage in place can help you save money AND take a lot of unwanted stress off your plate.

We love hearing from small business owners who are experiencing new and exciting changes — whether they are expanding their service offerings, buying a new company car or even reopening at full capacity for the first time since the pandemic. These important milestones are typically also a great opportunity to reevaluate your small business insurance to make sure you are getting the best coverage for the best price.

Get the coverage you need, stress-free! Contact an agent at Webb Insurance or continue reading for tips and suggestions about selecting the right insurance for small business owners.

When You Should Buy or Reevaluate Your Small Business Insurance

Some people buy insurance for a small business once and never think about it again. This is a common mistake among small business owners. Renewing the same old policy year after year without speaking to a real-life insurance agent means your protection plan might be outdated. Think about how much has changed since your first year in business! As your company grows and evolves, your coverage needs will also change.

You may need to buy or update your business insurance if you:

  • Start a new company
  • Open a new location
  • Buy a company car or expand your fleet
  • Hire staff or contractors
  • Expand your service offerings
  • Feel unhappy with your current carrier

Having the right protection in place is a key part of your business plan. Understandably, there are a lot of moving pieces to keep track of. But perhaps the biggest, most important reason to plan ahead and reach out to your agent is this:

Your insurance agent can lock in a competitive rate and help you save money.

Not sure what policy your business needs? Some of the most common types of insurance for small business owners are general liability insurance, property insurance, commercial auto insurance and Workers’ Comp.

Your specific needs will depend on the industry your company operates in, as well as state and local requirements, financial goals and objectives and more. Reach out to a local independent agent to set up a consultation about insurance for business owners.

Steps to Buying Insurance for Your Small Business

1. Think about your business plan.

Every company has its own unique risks and challenges. While a construction worker’s biggest concern might be avoiding an injury, a boutique owner may be more worried about receiving a complaint on social media from a disgruntled customer. That is why your coverage should be tailored to your business, instead of buying a cheap one-size-fits-all business owner’s insurance policy online.

An experienced broker can tailor a small business insurance plan for:

2. Find a great agent who cares about you.

If you do not already know someone who sells insurance for small businesses, it is important to find someone you can trust — someone who truly cares about you and takes the time to get to know your company, along with your future goals and priorities. A great broker is not just someone who collects premium payments.

As you are searching for local agents in the St. Louis area and reading reviews, consider reaching out to an independent insurance broker. Unlike a captive agent, an independent broker has the ability to get quotes from multiple carriers with different limits and deductibles. This means you have more options to choose from!

3. Discuss your business goals and future plans.

Opening a new business next year, next month, or even next week? You can reach out to an agent at ANY time with no obligation to get a quote or purchase a small business insurance policy on the spot. In fact, having extra time to plan ahead is very helpful!

For small business owners, planning ahead allows you to figure out how much your insurance premium payment might cost. You can plug this number into your business plan and start building a realistic operating budget.

For your agent, having a little extra time gives them the ability to shop around for the best coverage and the best rate. In fact, the agent can lock in your rate and keep it on standby until you are ready to activate coverage for your small business.

4. Ask about discounts.

Your agent knows better than anyone how to save money on small business insurance. There are several great discounts you may be able to take advantage of, including:

  • Business Owners Policy (BOP): A policy for small- and medium-size companies, which combines business property coverage and business liability insurance.
  • Bundle discount: Offered to small business owners who have multiple policies with the same carrier.
  • Paid in full discount: A lower rate offered to policyholders who pay for an entire coverage period at once, rather than making monthly payments.

Affordable insurance for your small business is a no-brainer. Get a free quote for the protection you need with no obligation to purchase.

5. Keep in touch.

We like to touch base with clients who are small business owners on at least an annual or bi-annual basis. This gives us an opportunity to find out how things are going, talk about the state of the business and discuss any changes or new opportunities. And these consultations are free! Contact our office today if you would like to set up a meeting over coffee or lunch, or to visit our St. Charles office during business hours.

Insurance for Small Business Owners from the Webb Team

Webb Insurance in St. Charles is passionate about supporting our local companies and small business owners. After all, we are a locally owned small business, too! We understand the unique challenges our clients face and have the financial expertise to help. Our agents would love to customize a small business insurance plan specifically for your needs.

Get a free quote for general liability insurance, Workers’ Compensation and other commercial insurance plans on our website, with no commitment to purchase coverage. For more information, contact Webb Insurance online or call the office at (636) 946-0001.

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