Business Insurance Planning

Other companies in Mermaid Waters

Description

Obtaining a reasonable price for your business or property insurance is obviously very important, however, rarely are any two insurance policies the same. Commercial insurance policies are structured differently to domestic policies. If you under insure your house or contents the insurer will typically pay claims up to the limit noted in your policy.

On the other hand, with commercial insurance if you are under insured the insurer will typically reduce the claim paid by a formula based on how much they assess that you are under insured. For example, Where a factory was insured for $1 Million and had a fire which caused $700, 000 of damage. If the insurance assessor establishes that the new replacement value of the factory was $1.5 Million, the likely payout for the claim would be around $583, 000. This leaves the property owner $117, 000 out of pocket. By paying about $500 more per year for the correct insured value the fire damage would have been fully covered, except for the policy excess.

In commercial insurance there may also be an exclusion or a limitation within the policy wording or the schedule which applies to your policy. For example, it is no use for a sign writing business to have a height limit of 10 metres above ground level in their public liability policy if they install signs above this height. It may have been a cheaper premium but in the event of damage involving a sign erected at 15 metres above ground level the damage caused would not be covered.

To properly protect your business or property you need professional advice to try to avoid the pitfalls that may occur. Putting a good insurance plan in place is a bit like putting on a parachute before taking off in your own aeroplane. You dont buy the cheapest parachute if it isnt going to help you when you need it most.

We have been in this business for over 20 years and use our experience to evaluate the insurance providers offer for your cover to try to obtain the best value for you

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