With the UK economy slowing down, we’re all feeling the pinch. Many businesses are having to tighten their belts, and are understandably reviewing where savings could be made. So, what better time to review your business insurance too?
At FMB Insurance Services, we’re on hand to offer you no-nonsense and impartial advice on your insurance. Whether you’re unsure about what cover you actually need, or would like some advice on what limit of cover you require, we’re here to talk you through things.
This month we look to give you our top tips on how to make sure you have the most comprehensive cover in place, with the most suitable insurer.
Nigel Geary, Relationship Manager at FMB Insurance Services, recommends an annual review of your insurance and comments: “Insurance needn’t cost the earth and conducting a review will help to ensure you have the cover that is right for you. In the insurance market there can be a lot of jargon used, so finding a provider that can cut through this and tell you how it is could make a real difference. This helps you know exactly what you’re buying, why you’re buying it and at what cost.”
1. Check that you are only covered for the risks you are exposed to
If you no longer do work in a particular area and have no plans to do so again, especially if it is considered a high risk, then see if you can get this removed as it could bring the premium down.
2. Check that the level of your public liability is sufficient for your needs
As a rough guide, £1million is the minimum limit of indemnity, £2million is most common, and £5million or more is for those companies involved in larger contracts, or as a requirement by a third party.
3. Check that your employers’ liability cover is based on the correct details
Your employers’ liability is based on either a head count of the number of manual employees under your supervision or your wage roll, so make sure these are up-to-date and accurate. With the head count option, you should also notify your provider as and when any change to your workforce occurs.
4. Get your tools cover in order
If you have tools cover, check that the sum insured is still up to date. Tools cover can be divided per employee, so it’s always worth checking these figures are accurate.
5. Contract works: Beware the pitfalls
If you have contract works cover, make sure your sum insured reflects the value of the work you are contracted for. The values typically come in fixed bands, so just check you are in the correct band, but beware - contractor’s policies do not contain an average clause, so if you under-insure and a claim occurs, you could end up having the claim rejected.
When choosing an insurer, be sure to understand what you are and are not covered for, and read the small print! Remember, it is too late to check how suitable your policy is once a claim has occurred, so if in doubt, either call your insurance provider or contact FMB Insurance Services and we’ll be on hand to help.
For a free, no obligation quote, simply contact FMB Insurance Services on 0845 602 1037 or email fmb-insurance@ars.aon.co.uk
You can also visit their website (www.fmb.aon.co.uk)
