What Type of Information Should I Have Handy When Applying for Insurance?
There’s nothing quite as frustrating as getting halfway through an insurance application only to realize you don’t have the information you need to finish it. Spare yourself that headache by having the following information on hand before you apply for business insurance quotes.
General Liability Insurance & Professional Liability Insurance Quotes
Most small IT business owners typically purchase General Liability Insurance (third-party injury coverage) and Professional Liability Insurance, also known as Errors and Omissions Insurance (coverage for work-related errors).
To apply for these policies, you’ll want to have the following information ready:
- Basic details about your business, including years in operation, physical location, and services you provide.
- Number of years you’ve been working in your industry.
- Types of clients or industries you work with.
- Number of employees and / or contractors who work for you.
- Percentage of work contractors perform for your business (if you use them).
- Revenue for the last three years (approximations are okay).
- Projected revenue for next year, and how much of it you anticipate will come from your largest customer.
(Wondering why carriers want to know where your revenue comes from? We explain the logic here: Relying too Much on Big Clients.)
After you get through the basics on our insurance application, it will ask detailed questions to get a sense of your business and how it operates. Be ready to give a breakdown of:
- The types of services you provide to customers (e.g., web hosting, SEO, creating websites, repairing computers, etc.).
- The percentage of your total business revenue each service represents.
We’ll also need to know if you’re in the habit of using contracts with your clients and if legal counsel has reviewed them. If you do use contracts, make sure you have one handy because you’ll need to tell us whether they:
- Include indemnification clauses in your favor.
- Clearly state the ownership rights, licensing, and use of any materials or intellectual property created for or during an engagement.
- State that any materials or intellectual property created don't infringe on the intellectual property rights of others.
Commercial Property Insurance Quotes
Commercial Property Insurance can cover your office building and your business property against theft and certain weather events. To apply for a Commercial Property Insurance quote, have the following information ready:
- Itemized list of the business property you want to insure.
- Details about your office, including the physical address and whether it’s owned or leased.
- Building information, including its construction (brick, wood frame, etc.) and the year it was built.
- List of safety features, such as fire extinguishers, sprinkler systems, burglar alarms, etc.
- The year updates were made to the plumbing, heating, roofing, and wiring if the building was constructed before 1991.
If you haven’t already, this would also be a good time to make sure you have receipts and photos of your business property in case you ever need to file a claim.
Workers’ Compensation Insurance Quotes
If you have employees or hire contractors, you may need Workers’ Compensation Insurance. To apply for quotes, you’ll need…
- Descriptions of the type of work your employees or contractors perform.
- Payroll information for all workers.
If you aren’t sure whether or not you need Workers’ Comp, read our article “Top 10 Workers’ Comp Insurance Questions” for more information.
Good to know: For any business insurance quote, be ready to provide details on any past commercial claims you’ve made, as well as any lawsuits filed against your business in the past five years.