What is an insurance renewal?
Insurance policies typically only last one year, which means you have to undergo a renewal process. Essentially, a renewal process is where you decide either to stay with your current provider/broker or switch to a new one. It is also important for your insurer, as they will need to re-evaluate your business and any changes that have occurred over the last 12 months.
Why has my insurance premium increased from last year?
As you will be well aware, a lot can happen to a business in a year! Changes to a business can mean that your insurance premium (what you pay for your policy) can increase. Whilst there is a multitude of different reasons why your premium can increase, it could include; claims and accidents, changes to business details such as size, rising inflation, a promotional discount that has run out, and geopolitical events. You can ask your broker for more information as to why your premium has increased.
Should I use a comparison website for my business insurance?
Whilst comparison websites are quick and convenient, the cheaper options tend to be basic policies that are not tailored to your business needs. This is where a broker can help. They work with the insurers to build policies that suit your business needs in their entirety, meaning you won’t be caught out by a loophole or lack of cover when making a claim. Brokers also work with your business throughout the year, so you can easily make changes to your policy and have expert advice on call.
Five Top Tips to Reduce Your Renewal Stress
- Get in touch with your broker early.
Brokers understand policy wordings inside-out and know valuable add-ons that will protect your business, properly. By getting in touch with your broker early and keeping them updated throughout the year on any business changes will give them the maximum time to search for the best deal that doesn’t compromise on safety. If you do not currently have a broker, you can find a local broker who specialises in your sector here – https://konsileo.com/brokers/
- Set a reminder in your calendar. If you do not have a broker, or you’re just super busy, it can be easy to miss the reminders that your insurance provider sends. So, we recommend setting your own personal reminder in your calendar or notes app so you’re notified in plenty of time. As we said before, the best prices for renewal tend to be around 20-27 days prior to lapse date, so being prepared for this can save you a lot of hassle!
- Pay annually rather than monthly. Setting up direct debits are easy to do and mean you don’t have to part with a large sum up-front. However, they do work out as more expensive as you are essentially taking out a loan. Budgeting so you can pay your insurance annually will save you money in the long term.
- Keep all your insurance documents in one place. This seems like common sense, but the rise in electronic documents means they are much easier to misplace in the digital sphere. By putting all your documents in a pinned folder on SharePoint or other cloud storage, it makes both your and your broker’s job easier!
- Review your business activities in advance. Not in the productivity sense, but in terms of evaluating the needs of your business. Perhaps you’re the owner and single employee of a business but are looking to recruit – you will then need to take out an Employer’s Liability policy. It is essential to tell your broker about any changes such as this so they can accurately assess your risks.
Here at Konsileo, our Client Directors are experts at reducing renewal stress. Get in touch to start your renewal process today!
