IT Business Owners: 6 Things to Look for in a General Liability Insurance Quote
If you’ve ever comparison shopped in your life, you know there are no real apples-to-apples comparisons. That rule holds for small business insurance: no two General Liability Insurance policies are exactly the same. Still, if you want protection for your technology business, you’ll have to choose one.
Here are six variables to consider as you compare quotes.
1: Premiums in General Liability Insurance Quotes
This one is obvious: price. Of course the amount you have to pay for coverage will affect your buying decision – and you should never pay more than you need to. But if your comparison of Commercial General Liability policies starts and ends with premium, you may miss out on key coverage your business needs.
2: Carrier Ratings in General Liability Insurance Quotes
Insurance is a highly regulated industry. One way business owners benefit from that is by the ratings given to insurance carriers. A. M. Best grades every insurance carrier on a scale pretty similar to what’s used for high school papers (e.g., AA is better than B).
When you’re looking at your General Liability quotes, check for “Carrier Rating” in the upper left-hand corner. That grade will indicate how financially sturdy the carrier is. Obviously, stronger carriers are better than weaker ones.
(Quick note: TechInsurance mostly works with top-rated carriers, so if you’re comparing quotes from us, expect high ratings.)
3: Liability Coverage & Limits in General Liability Insurance Quotes
While your policy as a whole comes with an aggregate limit and an occurrence limit, it’s pretty common for a policy to include sub-limits as well. For example, you might have a $10,000 limit for immediate medical care for people injured on your premises.
Most of these are pretty standard from one policy to another, but they’re not always. Depending on the type of work you do or whether you receive clients in your office, the sub-limits listed in your quote could have an impact on your choice.
4: Property Coverage in Commercial General Liability Insurance Quotes
Standalone Commercial General Liability Insurance only offers property coverage for things belonging to third parties that are damaged on your business premises. But if your GL policy is bundled with Commercial Property coverage into what’s called a Business Owner’s Policy (BOP), you may also have coverage for your business property.
That coverage comes at an increase in premium, but a BOP is often cheaper than the two policies would be separately. So if one of your quotes looks a lot more expensive than the others, check to see whether it’s a bundle. Choosing that one may actually end up saving you a bundle.
5: Deductible in General Liability Insurance Quotes
You’re probably familiar with the concept of a deductible from your health insurance. Before you can receive benefits on a business insurance policy, you must first pay the deductible. Policies with higher deductibles typically have lower premiums and vice versa, so if you’re looking to save money, consider asking your agent about increasing your deductible.
One word of warning, though: make sure you can actually afford your deductible, whatever it is. If you can’t, you won’t be able to enjoy any of the benefits of your insurance policy.
6: Fine Print in General Liability Insurance Quotes
If you’re still not sure which policy makes the most sense for you after considering the five items previously mentioned, it’s time to dig into the fine print. Check here to see whether the policy offers a seasonal coverage increase (e.g., if you have a busy season), whether it has any special limits or coverage restrictions for injury at your office, how it handles theft and damage, and more (your agent can help you sort through these details).
Ready to compare quotes for your business? Start an application today.