When was the last time you updated your business insurance? It is very common for companies to think about their coverage for liability. But updating your policy to reflect your current property is also important.
All small businesses need to take into consideration an annual review of their property insurance. This is a main component to your plan. Yet, many do not review it often enough. This might lead to trouble if your policy isn't keeping up with your business as it changes.
Have You Added Real Estate to Your Business?
A good place to start is with any investment in new real estate. This could be new land, but it also could be parking, sidewalk areas, or even landscaping areas. Also consider any additions; if you expand your building, it adds square footage to the property. Your business insurance agent needs to know the actual risk at your property. Be sure to update this type of investment as soon as it occurs.
New Assets Within the Business
For a small business, investments in equipment and furnishings can be substantial. It is important to have a business insurance policy that reflects this added value. Most policies cover equipment of all types - including kitchen equipment, computers, and machinery. They can also usually cover furnishings within the location.
The technology you add should also have coverage. For example, if you add a security system to your property, update your agent. That security system could offer a discount on your coverage. It also has significant value. It should be a part of your property coverage.
Outdoor Changes
Businesses often make changes to their property's exterior. This could warrant an update to your business insurance as well. The addition of new signage may be important. This is especially true when you upgrade things like electronic readers and billboards. Those items are often expensive to repair or replace. Some property owners may add new outbuildings as well.
Any changes you make to your property need coverage. A basic business insurance policy will offer coverage for most assets. However, this coverage does have a limit. You do not want to reach that limit in the event of a significant accident.
You also need your coverage to fit the value of your location. This can help you keep your investment safe.
Take a closer look at your current policy. Make it a plan to update it on an annual basis. Work closely with a Park & Associates agent when you update your coverage.