8 Tips for Saving Money With Business Insurance

Money With Business Insurance

Business insurance can be confusing and complicated, especially if you don’t know the specific details about the policies offered by your insurance company. But it doesn’t have to be that way! Business insurance policy basics aren’t hard to understand, and knowing the ins and outs of your business insurance will help you save money and find all the coverage you need in one place. Here are ten tips to help you learn more about your business insurance options and how they can save you money over time.

1) Reduce Risks by Buying Properly

If you want to save money with business insurance, take time to get it right. You can reduce your risks and get a lower premium by buying good liability and property coverage and sufficient but not excessive worker’s compensation. This may sound like common sense, but you’d be surprised how many businesses don’t buy enough insurance. By picking up just a little bit more than you think you need, you could actually save quite a bit of money each year.

2) Know When to Use Keyword Phrases

When you’re writing about how to save money with business insurance, make sure to include money with business insurance in your title. Keyword phrases like these boost your post up in search rankings and allow you to attract targeted traffic. As an added bonus, it makes your content more shareable on social media sites like Facebook and Twitter. If you’re not getting enough visitors from Google, try adding some keyword phrases into your content. You may be surprised by what happens!

3) Divide Your Coverage

Dividing your coverage by separating out your home and business insurance policies can help you save money on your insurance. For example, if you own a business in a low-risk industry and work from home, you might get better rates on insurance than if you had two separate policies. Be sure to compare quotes from different providers before making any decisions; it might be worth taking on some additional risk in order to save on premiums. After all, if you’re trying to save money with business insurance, every little bit helps!

4) Consider Adding Extra Limits

If you’re looking to protect your small business, but don’t want to spend an arm and a leg on insurance, consider adding extra limits or higher deductibles to existing coverages. For example, if you’re already carrying $1 million of liability coverage on your business vehicle but would like some more protection, talk with your agent about raising your limit to $2 million. Remember: always get estimates from multiple providers so you can determine which one provides you with adequate coverage at a reasonable price. It may also be worthwhile to shop around once a year – rates tend to change over time and it never hurts to see what else is out there.

5) Get Fewer Deductibles

Getting a low deductible on your business insurance will save you money. For example, if you have a home or auto policy with a $500 deductible, you’ll generally pay 10% of each claim ($50) before your coverage kicks in. If you opt for a $5,000 deductible on your business insurance policy instead, you’ll pay 15% ($750) before coverage takes effect. 

This makes it crucial to have enough assets set aside to cover that higher deductible. Also, keep in mind that some smaller companies might not be able to afford high deductibles without raising prices—and studies have shown that consumers are willing to spend more money if they don’t see price hikes on their invoices.

6) Take Advantage of Discounts & Special Offers

In most cases, you can save a lot of money on business insurance just by taking advantage of discounts and special offers. Before you start shopping, call your agent or insurance company and let them know what kind of business you run (there are many discounts tailored to specific industries). If your company operates in multiple states, ask about multi-state coverage; chances are good it will be cheaper than buying separate policies. Some agents may also be able to refer you to other companies offering discount rates for loyal customers. That's not only smart shopping—it's a good networking.

7) Don't Overinsure

When it comes to business insurance, you can never be too sure. That’s why you should always, always be overinsured. If your company is one of those that can't afford to pay claims when they inevitably arise, it's not worth getting insurance in the first place. Overinsuring means taking out more coverage than you think you need—the only way to make sure you'll be protected if something happens. As a general rule of thumb, if your annual revenue is less than $1 million, consider protecting yourself against potential risks with liability insurance or errors and omissions coverage—or both. You may also want to protect yourself with crime coverage if thieves are especially active in your area.

8) Look at Payouts in Detail

First, you need to get familiar with your business insurance policies’ payouts. Most small business owners know that they have coverage in case of fire or flood, but you should also take a look at your policies to see how much they’ll cover if someone sues you, if one of your employees injures someone in their home, or if you accidentally injure an employee at work. If any of these scenarios are relevant to your business, consider adding extra liability insurance so that in case something goes wrong with one of them, you’re protected. You can also opt for increased coverage limits in some areas so that when bad things happen, you aren’t out too much money.


There are many ways to save money on business insurance, from bundling policies to getting quotes from different companies. Be sure you have a complete understanding of your coverage and what you will need in your next policy so that you can maximize your savings. One of these tips might be just what it takes to get more bang for your buck with business insurance. For more information contact a local agent who has experience saving businesses money on their commercial coverages.



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