Purchasing the right type and amount of business insurance is a crucial part of setting up any new company. However, once your policy is in place, it’s easy to forget about it as you begin focusing on the day-to-day operation of your organization. Unfortunately, this could end up being a costly mistake. Meeting with your insurance agent every year to review your policy will help ensure your business stays properly protected. Here are some of the top reasons it’s important to keep your coverage updated.

Why You Should Do an Annual Review of Your Business Insurance

1. Company Growth

As your company grows over the years, it’s likely your liability will increase. If you’re generating more revenue, hiring more staff, and accruing more equipment or inventory, there will be a higher risk of loss. Often, expansion requires a business to move locations. A bigger facility and different neighborhood can also impact your coverage. An insurance agent will consider all these factors to help determine if you need to add protection or raise your policy limits.

2. Changes in How You Do Business & What You Offer

Business practices typically change and evolve with time. You may be utilizing different technologies to store data and complete transactions than when you first bought insurance. In turn, your company could be more vulnerable to cyber crimes. Additionally, any time you offer new products or services you may need to revamp your professional liability coverage or purchase endorsements for your policy. 

3. Ability to Get a Better Price 

Reviewing your business insurance regularly will also prevent you from paying more than necessary for coverage. Your insurance agent can check to see if you qualify for any new discounts or if another provider can offer you a lower premium. Rates are constantly fluctuating, so the only way to know if you can cut costs is to explore your options frequently. 

Whether you’re looking for a new business insurance policy or it’s time to go over your existing coverage, Cundiff & Company Insurance can help. Their team of experienced insurance agents understands that each company has unique coverage needs, and they will take the time to make sure you’re suitably protected. Entrepreneurs in and around the Somerset, KY, community have been relying on them to provide reliable and competitively priced products for over 40 years. Call (606) 679-8379 to request a free quote, and visit their website to learn more about the services they offer.