Why companies could benefit from comparing business insurance
Business insurance is an essential requirement for most firms that want to ensure they do not face unnecessary threats to their finances.
Such policies protect against claims that could potentially disrupt company finances while they tend to vary in price depending on provider and policy type.
Despite this, three quarters of small businesses do not shop around to find better business insurance, according to research from constructaquote.
This means companies could be overpaying for their cover, finance that could be much better spent on other aspects of business.
Of those firms who said they did not shop around, more than half blamed a lack of available time while 38% suggested they did not know where to look.
A further 23% assumed they has the best deal with their current insurance provider and did not check to see if that was actually the case.
Confusing quotes from insurance providers caused another 16% of respondents in the survey not to compare deals while the remaining 9% were unconcerned with the policies of their business.
Of those that did look for better deals by shopping around, 68% found a better deal by opting for a new insurance provider.
Finding time to solve insurance problems and hunt for new policies can be difficult for small firms given the levels of work they face.
However, searching for better deals could be highly beneficial for the companies concerned and could even result in higher levels of cover.
In some instances, claims could spell disaster for smaller companies should they be faced with fines or excessive costs.
While business management plans can look to ensure that some finance is available to cover such instances, company administration could still be a threat.
Therefore, hunting for more comprehensive insurance cover could provide additional peace of mind should something go wrong.
By Phil Smith