1. Avoid Losses – Insurance is similar to your credit. The cost is typically lower for those with better claim histories. If you are having more frequent losses or more costly losses, your premiums will reflect that because it may suggest there will be more losses in the future. Some businesses may struggle to obtain insurance at all or it won’t be affordable if the loss history is too bad. However, if you have hit a streak of ‘bad luck’ or are unable to correct certain risks, do not worry! By working with the right independent insurance agent, they can help with loss control, risk improvement and negotiating on your behalf.
2. Manage Risk – As mentioned above, the cost of claims and/or the frequency of them can negatively impact your insurance costs. Create a safety culture at your company and be sure to make it publicly known. By enforcing the employee handbook, use of Personal Protective Equipment (PPE), safe driving, caution signs, safety meetings, drug testing, etc., you can make your business more appealing to insurance companies to compete on. Ask your independent agent about specific actions you can take or implement to reduce your premium.
3. Choose a higher deductible – The deductible is the amount of money you pay before your insurance policy kicks in. As you increase your deductible, the more of a discount the insurance company can provide. Be sure not to set your deductible so high that it will become a financial burden on the business after a loss. Determine your “pucker factor”- the level of stress or amount you can afford.
4. Shop around – The cost of insurance will vary from company to company, so it can be helpful to have several options where companies are competing for your business. By working with an independent insurance agent, you can also save time on “shopping” for insurance the right agency has access to the top companies. It is important to compare coverage and price for the best value. REMEMBER, the cheapest isn’t usually the best!
5. Bundle or Package Policies – You can maximize additional discounts by combining multiple policy types with the same carrier such as Property, Liability, Workers Compensation and Business Auto. However, it may not always be to your advantage as some companies provide better coverage or value added services than others. You can also often buy more coverage on a Businessowners Policy (BOP) than to buy coverages individually.
6. Work closely with your independent agent – All and all, there are a number of ways you can positively impact the bottom line with the right insurance solution. The more you share with your agent, the better they can help protect your business. The right agent won’t try to sell you as much insurance as they possible can but rather be an expert buyer of insurance on your behalf and implement strategies to help your business. 

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The information on this Blog/Web Site is not intended to be a substitute for professional insurance or legal advice. Always seek the advice of a licensed agent in your state pertaining to insurance and legal issues.