One important step in opening up any business, especially a franchise, is getting the proper business liability insurance. Having proper insurance for your store will protect both you and your business in various situations. But before you begin speaking with representatives from an insurance company, be sure to consider the following tips.
1. Compare Quotes
Never sign up for the first insurance quote you get. Most franchisors will recommend an insurance agent to use, but you should still seek out at least two or three additional quotes. Also be sure to compare more than just the fees. You should decide on an insurer based on the quality of their coverage, not who has the lowest monthly fee.
2. Look for Package Deals
Most insurers have bundle packages that give you a discount for having them handle all of your insurance needs. If you already have insurance for your car or home you might try calling your insurance company to see if they offer a discount for adding business insurance to your package.
3. Be 100% Honest
Never lie to an insurance agent with the hope of lowering your premiums. You could end up with the wrong type of insurance, which could cost you thousands in the long run.
4. Lookout for Overlaps
Avoid duplicate or overlaps in your insurance policy. You want to make sure you are only paying for what you need, and not paying for coverage you already have.
5. Get Yearly Reassessments
Make sure your business insurance is reassessed every year. If your business grows or shrinks you may find yourself without the proper insurance coverage. Additionally, if you own your property any increases or decreases in the value could affect your premium.