Friday, November 07, 2008

Small Business Owners Warned About Reducing Cover To Save Costs

Insurance companies have been sending out messages warning small business owners about reducing cover on their insurance policies.
With the credit crunch affecting the majority of businesses in the UK, everyone is obviously looking to save money where they can, but reducing cover on their insurance could have a reverse effect. It's easy to remove cover on a shop for perhaps stock, or reduce the sums insured on your buildings or contents, but in the event of perhaps a fire or flood you could be even more out of pocket, not being reimbursed for your loss or if underinsured possibly not being paid enough to get your business back where it was before the claim and putting your business at more risk of going under.
Our recommendation.... Speak to a professional insurance broker who will be able to give you advice on what you should insure and for what amount and only remove the covers which are unnecessary for your business. They should then be able to search the market and find you the right product, and at the right price!!

No comments: