There’s no better time to check your insurance cover than the New Year. After a tough 2021, it’s more important than ever to ensure your business has the best protection in 2022.
There are a few key points to remember when analysing your insurance cover.
1. Risk assessment
Make sure to identify all the potential risks that could be faced by your business over the year (within reason). If the worst comes to worst you want to be prepared to minimise damages. After you’ve identified all possibilities, rank the risks based on both severity and likelihood. This will allow you to be as prepared as possible when dealing with your insurance company or a broker. The ranking will also let you visualise how you want to cover your business in the safest and most secure way.
2. Identify changes
Identify any changes that have occurred within your business over the last year. This includes any changes in markets, employees, management, equipment, infrastructure, logistics, etc. With any small change comes new risks and responsibilities for your business so it’s important not to assume that the previous cover is suitable. These changes will need to be analysed and taken into consideration when exploring your insurance cover and whether your pre-existing cover can remain adequate.
3. Develop some key management strategies
With your broader team, it is imperative to cohesively develop management strategies based on the aforementioned risks. There are ways to internally manage and mitigate risks within your business, such as stringent health and safety procedures and recovery plans.
4. Select the appropriate covers
After mapping out exactly what your business needs covered, it’s now time to select the appropriate covers. Speaking to an insurance professional or broker is a great way to make sure you’re aware of your options, leave no stone unturned, and adequately select the necessary covers that give your business the required protection.
The importance of protecting your business cannot be underestimated. Remain informed and ask as many questions as possible when selecting your insurance cover. You’ll have the safest and most secure year yet!