Let’s face it, it’s not the most exciting subject to read about, but I believe it is your duty and obligation as a business owner to read your Business Insurance policy. If you don’t understand it, it’s your agents, or my duty and obligation, to help you understand it. Your business is most likely one of your largest investments, not to mention one of your biggest dreams, so understanding your Business Insurance policy could make or break you, should a major loss/claim occur. Below are just a few of the reason why I believe you should read your Business Insurance policy today!
Exclusions. Every insurance policy has them. If you have never read your policy, how do you know what is excluded from your policy? Over the past few years we have seen a lot of rain here in Austin, TX. The rain seemed to come all at once, so when this happened some businesses took on water and it damaged property. Obviously they wanted to file a claim, however, flood is excluded. Flood Insurance is a separate policy purchased through the National Flood Insurance Program. If you do have a Flood Insurance policy, and you're reading this, read your flood insurance policy for exclusions. Bottom line, insurance policies have exclusions and you should know what they are before a loss occurs.
Know Your Coverage and Deductible. Its a good idea to be familiar with your coverage and verify what you thought you would be getting is actually what you are getting. For example, is your personal property covered at Actual Cash Value or Replacement Cost? What about your deductible? Most of this information can be found on the Declarations Page of your insurance policy. Take the time to review your policy, because reviewing at the time of loss, might be too late.
Things Change. Property limits can change, so reviewing your Declarations Page is a good idea. This is probably the easiest section of your policy to understand as it has most of your coverages and limits listed. If it's been a while since you started your insurance policy, and your business has grown significantly, your policy should grow too. It may even be time to look at getting an Umbrella or Workers Compensation.
These are just a few reason why you should read your Business Insurance policy. I could list many more, but I wanted you to have time to get your policy out and read it now. Remember, if there's something you don't understand, it is my duty and obligation to help you. Contact me, if I can help.
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