subject: How to choose the right business insurance policy [print this page] How to choose the right business insurance policy
Everything in life is about making the right choices. It is exactly the same in business, in that the more time you spend researching and considering different options, is inversely proportional to how much you are likely to save or how much profit the business is likely to make this is no difference when looking for your business insurance policy.
Even if you have only been in business for a few months you can look back and will see a few decisions which did not go the way you wanted or planned and others that turned out better than expected. But, there is a limit to how much time you spend in researching every decision you make. Sure you will make some mistakes along the way but if you have got to the stage of running your own business, then you are already likely to be astute enough to see through a bad deal when you see one.
To save you time when making certain decisions, there are a whole host of businesses and individuals out there where their sole aim or purpose is to try and assist you in getting the best deal. As far as your business insurance is concerned, these companies are called insurance brokers. A broker's role is to look around the various insurers in the market place to see what is the best deal available to you. An intermediary on the other hand, does not necessarily go to the wider market. Technically they can only have one market for each type of risk and they can still sell their services as being able to search the market for you, which is not quite true.
A business insurance broker must apply for and receive a formal authorisation and regulation from the Financial Services Authority. If they do not have an FSA reference number (usually a 6 digit code) then they are quite simply not allowed to trade.
So, when you are looking to choose the right policy, you need to make sure that you choose the right broker to do the job for you. Some brokers specialise in non-business insurance, others specialise in much larger, multi-national, arrangements. What you want is a broker that specialises in the requirements of the SME, small to medium enterprise market. Most brokers will be happy to deal with you and those getting quotes for you are free of charge. They earn their commission from the successful sale of a policy, so it is in their interest to get you the best price quote for the widest possible cover.
welcome to Insurances.net (https://www.insurances.net)
