Any business can be hit hard by costly insurance premiums – and reducing this expense is on the mind of many business owners. Luckily, there are a number of ways you can cut down on this outgoing. In this article, we’ll take you through some key tips you should know for how to reduce business insurance premiums for your commercial company.
8 Ways to Reduce Business Insurance Costs
It may seem obvious, but you really should make sure you do your research thoroughly and shop around for the best deals. However, it’s important that you’re aware of exactly what coverage you need – don’t cut corners to save the pounds, as this can come back to bite.
Look for Group Rates
Does your business have multiple sites? If so, enquire with your shortlist of insurance companies about whether they have any group rates going that will lessen the costs.
Pay Upfront (If You Can)
Insurance companies tend to offer two options: payment plans or the option of paying upfront in one go. While a payment plan may seem appealing, check that you aren’t paying more for this privilege. Hidden costs could mean that paying upfront at the beginning of a plan is actually cheaper overall than paying in installments. To get the best deal, all you need to do is some number crunching before choosing which route to go down.
Install CCTV Cameras
A security system is a surefire way to reduce the risk of break-ins at your premises. It also has the double benefit of reducing the cost of insurance premiums. The mere presence of CCTV cameras is enough to deter many would-be thieves, especially as it’s law to display CCTV in operation signs. A well-designed CCTV system covering the most vulnerable areas of your premises will monitor the comings and goings of your site – and therefore help you save the pounds on your business insurance premiums.
Put Access Control Systems in Place
Control who gets access to your premises. Whether it’s a fob system, a coded door or biometric access control, security isn’t complete without managing exactly who enters certain areas of your premises. This reduces risk of theft and other illegal activities, and keeps the general public away from staff-only areas. Installing access control is therefore another way to enhance security, reduce risks and potentially decrease insurance costs.
Set Up Alarm Systems
No responsible business should be without intruder alarms or fire alarms – indeed, a lack of fire alarm systems is actually illegal. These systems provide valuable warning signals that danger is afoot, allowing you to take action to save lives and protect your assets. Not only are they essential pieces of equipment, but the presence of alarm systems could influence your premium costs – check with your intended provider for more detail.
Maintain High Standards of Health & Safety
Insurance companies often look at your claims history before deciding what rate to charge. Simply put, the fewer claims you’ve filed, the cheaper your insurance is likely to be. Reducing risk at your workplace by maintaining high standards of health and safety is a must. This includes keeping the workplace lawful, hygienic and identifying, and dealing with, hazards. It also means full training of staff on risks and how to mitigate them – this could include fire safety training, and putting out regular communications.
All these actions reduce the likelihood of accidents, which will not only keep employees and customers safe and well, but may also reward you with a lower insurance premium to pay.
Don’t let your busy schedule get in the way of renewing an insurance premium. If left unattended to, premiums will either automatically renew or cease. Make sure that you’re personally involved with the premium renewal – this way, you can inform the insurance company of any changes or new measures that could result in a cheaper premium for the new year.
Fire Action are one of Kent’s leading providers of business security systems – and will design a bespoke system to suit your premises. Our technicians also specialise in the installation and maintenance of security equipment, including CCTV, intruder alarms, access control systems, and much more. Want to discover how we can help your business? Simply get in touch with our team.
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