We live in a fast-paced world where we constantly need to evolve to keep up with the demand of an ever-changing business environment.
Think about all the changes your business has experienced in the past 12 months.
Have you had an increase in turnover? Set up in a new geographic location? Have you increased your staff numbers or expanded your products and services?
Changes to the structure or operations of your business, no matter how big or small, can significantly impact the running of your business, in turn potentially altering your insurance needs.
Keeping your insurance broker informed on changes to your business can allow them to assess your cover suitability and check that you are adequately protected.
Some of the things to update your broker include:
- Changes to your business products or services - you are only covered for the business activities that you have declared to your insurer and they have agreed to cover you for. You could have additional liability requirements if you’ve introduced new products or services since you last reviewed and updated your business policy. A quick call or email to your broker can allow them to check your policy to ensure that you have appropriate protection in place.
- Acquisition of new assets, property, or equipment - acquiring any new assets of significant value may affect the amount of business insurance cover you need. Your broker can help you assess the coverage needs for your new asset and match this with the appropriate insurance product.
- Increased turnover - A sudden or substantial revenue increase may mean you’ve taken on a larger client base, your existing clients are asking you to do more, or your contract values are higher than before. These could mean you’re underinsured, covered only under certain policy conditions, or not covered at all. Chatting with your broker if any of these apply to you is a good idea.
- New company names, address, or structure – moving to a new address, changing your business name, or entering a new business structure could all mean taking on additional risk, and your insurance should be revaluated. Simple changes like this don’t always result in a premium increase but must be checked off with your broker so that your policy reflects the right cover and details.
Why passing on this information is important
Failure to keep your broker informed or misrepresenting any information given to your insurer could result in your business being under or incorrectly insured.
Insurance companies use the information you provide to assess the suitability of taking on your business risk.
If they can prove that you have withheld or distorted any of the information you provided, they may:
- reject a claim
- reduce the amount of a claim pay out
- increase the cost of the premium in the future
- cancel their contract with you
You don’t want to leave yourself financially exposed by leaving anything out, so provide as much information to your broker as you can and keep your insurance journey together fully Informed.
Contact us today if you need to advise of change of circumstances.
