Mon – Fri | 6 a.m. – 5 p.m. PT

Small Business

5 Signs That it’s Time to Consider Changing Your Business Insurance Provider

Next Insurance Staff image
By Next Insurance Staff
Jul 16, 2019 min read

Running a small business can be a major leap of faith. There are so many unknowns, and many responsibilities to juggle. Having reliable insurance is an essential part of building a steady and sustainable business model.

Why is insurance so important? Because it's your safety net. It's what protects you from many small business risks and enables you to continue growing and thriving in your profession. With insurance, your business is no longer vulnerable to unnecessary losses and lawsuits. Furthermore, having insurance assures your customers that you are a serious professional with all your bases covered - and that you care that they'll be taken care of in the unlikely event of a mishap.

If you've been with a business insurance broker for many years and you're happy with them, there may not be any reason to switch. Then again, it could be that you're happy with them because you don't know that there are better options out there. Are you really getting the high-quality insurance your business deserves?

Thanks to the digital revolution, getting insurance for your business has never been easier. Many insurance companies offer automated online business insurance services, and signing up is as easy as a few clicks of the mouse. The average cost of small business insurance has dropped. Companies can offer much better and faster support than before. Your business deserves the best, most affordable business insurance service available, and if that's not what you're getting, you owe it to yourself to make a change.

Below are 5 signs you may need to find a new insurance provider.

Issues in the Past

There's no reason to stay with a company that hasn't treated you well in the past. If you find that they've been consistently unhelpful and unresponsive, or if they have refused you coverage for things you think they should have covered, it might be time to consider taking your business elsewhere. You deserve better.

Slow or Inefficient Services

If you find your insurance company difficult to deal with, don't assume that that's just how it is. You paid good money for insurance. You deserve a positive, pain-free experience. Anyone you speak to at the company should be responsive, supportive and helpful. You should have someone to turn to with any question or concern, and that someone should answer you promptly and clearly. If you make a claim, you should receive your approval and your payout within a reasonable time frame. If these criteria haven't been met with your current provider, it may be time to move on.

Outdated Insurance Terms

Even if you're happy with the service you've received from your insurance company, things are always changing. If your insurance policy has stayed the same for many years, it's likely that there are better options available now. A good, up-to-date insurance company should be able to offer you updated terms that reflect changes in the industry as well as your long-term relationship. If they can't, you may want to think about shopping around. Compare business insurance policies at various companies, and then come back to your insurance broker with what you found. This will put you in a better negotiating position if you'd like to stick with your current insurance provider - or, if they can't offer you anything better, you'll have already done the necessary research into better options.

High Insurance Price

Small business insurance plans shouldn't cost an arm and a leg. According to a survey conducted in 2017, small business insurance rates average at around $1,281 per year, with the median cost being a little more than half that amount at $584. The survey showed that the average rate had risen significantly since their previous survey in 2014, but the median rate rose only slightly. That indicates that most small businesses are paying less than $1,000 annually for their insurance. How does that compare to what you're paying now?

Ask other professionals in your field how much they are paying for insurance. If it looks like others in your industry are paying significantly less, it's time to renegotiate your terms or switch providers. As in the previous section, knowledge is power here. Get as much information as you can before approaching your insurance provider to renegotiate.

Nickling and Diming

It could be that you're paying a decent rate for your insurance, but at the end of the year you still find that insurance has swallowed up more than its share of your budget. How is that happening?

It might be because your company is nickling and diming you. Some insurance companies try to squeeze every last drop out of their clients by charging for every little thing. Do they charge for a certificate of insurance to show clients and prove that you're insured? Do they exclude essential coverage from your basic general liability insurance policy and then charge you for additional insurance? If you find yourself forking out more than you planned on additional insurance costs - don't assume it'll be like that with every company. Consider changing providers.

Why Next Insurance Is a Good Bet

We know we're biased, but if you're thinking about switching, we hope you'll consider Next Insurance.

Our mission is to empower small businesses to thrive without worrying about things that might go wrong. We specialize in providing insurance to small businesses in multiple industries and we're passionate about making it possible for those businesses to succeed. We craft tailored insurance policies for our clients that include exactly the coverage they need and leave out everything they don't. That makes it possible for us to provide the best coverage possible at the most affordable price. Most of our customers pay as little as $1 per day.

Transparency and good customer service are of utmost importance to us, and we'll never nickle and dime you. With our Live Certificate, you can provide proof of insurance to your customers at the click of a button.

You don't have to take our word for it. Check out our reviews to see what customers just like you are saying about their experience with Next Insurance.

Next Insurance Staff image
By Next Insurance Staff
Check Prices
Check Prices