{"id":1517,"date":"2020-01-22T15:27:00","date_gmt":"2020-01-22T21:27:00","guid":{"rendered":"https:\/\/www.insuringky.com\/blog\/?p=1517"},"modified":"2020-06-08T16:27:38","modified_gmt":"2020-06-08T22:27:38","slug":"business-insurance-costs","status":"publish","type":"post","link":"https:\/\/www.insuringky.com\/blog\/business-insurance-costs\/","title":{"rendered":"Business Insurance Costs"},"content":{"rendered":"\n
\"\"
Managing your cost of insurance<\/figcaption><\/figure><\/div>\n\n\n\n

Businesses price their products to cover the costs of production as well as their labor, sales marketing, and other major expenses. Prices also reflect some post-sales costs such as handling repairs or replacements under warranty. At one time many industries used a pricing strategy for their products that failed to reflect their true costs. A once-popular assumption was that lower prices would promote increased sales and the higher sales volume would make up the cost difference. The strategy wasn\u2019t successful. It hasn\u2019t worked for the auto industry, the computer industry or the insurance industry.<\/p>\n\n\n\n

The problems of the\ninsurance industry became apparent within the turn of the century and were\ndrastically exasperated by several natural and financial catastrophes. Events\nsuch as terrorist attacks, hurricanes, housing market and banking meltdowns all\nsubstantially affected the insurance industry. The insurance industry\u2019s\nattempts to gradually correct their pricing had to be sped up; substantially!<\/p>\n\n\n\n

\"21st
Why are insurance premiums so high?<\/figcaption><\/figure>\n\n\n\n

For much of the 21st\nCentury, insurance companies have had to handle many more claims being\npresented many years after their policies have expired. In the case of\npollution, asbestos and employment practices; the industry is being asked to\nhandle losses that policies weren\u2019t designed to even cover.<\/p>\n\n\n\n

Well, what can a\nbusiness owner do to minimize their high insurance cost? Before considering\nsacrificing the amount of protection a business carries just to save money,\nconsider alternatives. Some other solutions would be:<\/p>\n\n\n\n

1. Review your coverage:<\/strong><\/strong><\/p>\n\n\n\n

a. Take a close look at your insurance. Could you increase the\ndeductibles to lower your premium?<\/p>\n\n\n\n

b. Are you carrying physical damage coverage on commercial\nvehicles that aren\u2019t worth it?<\/p>\n\n\n\n

c. Are you insuring items you could replace out of pocket? Are\nthere pieces of equipment that are insured when they could be replaced from\noperating funds without submitting a claim?<\/p>\n\n\n\n

2. Review your exposures:<\/strong><\/p>\n\n\n\n

a. Could you reduce the premium by installing an alarm system or\nfire protection system? Would these premium savings offset the cost of the\nsystem?<\/p>\n\n\n\n

b. Could you implement safety programs that would reduce the cost\nor make the insurance company more interested in providing coverage? For\nexample: driver safety programs, back to work programs, safety training in\nproper use of equipment and job functions.<\/p>\n\n\n\n

3. Identify your insurance goals:<\/strong><\/p>\n\n\n\n

a. Do you need an insurance company that can provide loss control\nservices?<\/p>\n\n\n\n

b. Do you need an insurance company that can provide claim-handling\nservices for your Workers Compensation insurance?<\/p>\n\n\n\n

c. Do you need an insurance company that will allow you to make\npayments by phone or on-line 24\/7?<\/p>\n\n\n\n

d. Do you need an insurance company that has a local agent\/representative that can assist you in your insurance solutions?<\/a><\/p>\n\n\n\n

Shopping and price are\nnot the only issues in insurance. What you don\u2019t know can cost you more in the\nlong run than you could ever save in premiums. Discuss your situation with an\ninsurance professional and make the choice that works for you.<\/p>\n\n\n\n

\n\n\n\n

COPYRIGHT: Insurance Publishing Plus, Inc. 2016<\/em><\/p>\n\n\n\n

All rights reserved. Production or distribution, whether in whole or in part, in any form of media or language; and no matter what country, state or territory, is expressly forbidden without written consent of Insurance Publishing Plus, Inc.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

Businesses price their products to cover the costs of production as well as their labor, sales marketing, and other major expenses. Prices also reflect some post-sales costs such as handling repairs or replacements under warranty. At one time many industries used a pricing strategy for their products that failed to reflect their true costs. A […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1,69],"tags":[1934,1939,1976,1978,1981,1980,1982,1972,1974,1979,1977,1975,1973,1985,1987,1986,1988,1984,1983,1935,1940,27,1937,341,1938,1953,1961,1955,1962,1958,1965,1957,1966,1950,1944,1948,1951,1946,1942,1954,1963,1956,1964,1949,1943,1960,1959,1952,1945,1970,1967,1969,1971,1936,1941],"class_list":["post-1517","post","type-post","status-publish","format-standard","hentry","category-insurance","category-unmanned-aircraft","tag-ga-insurance","tag-ga-insurance-premiums","tag-i-nee-help-with-ky-business-insurance","tag-i-need-help-with-ga-auto-insurance","tag-i-need-help-with-ga-business-insurance","tag-i-need-help-with-ga-car-insurance","tag-i-need-help-with-ga-commercial-insurance","tag-i-need-help-with-insurance","tag-i-need-help-with-ky-auto-insurance","tag-i-need-help-with-ky-car-insurance","tag-i-need-help-with-ky-commercial-insurance","tag-i-need-help-with-ky-homeowners-insurance","tag-i-need-help-with-ky-insurance","tag-i-need-help-with-sc-auto-insurance","tag-i-need-help-with-sc-business-insurance","tag-i-need-help-with-sc-car-insurance","tag-i-need-help-with-sc-commercial-insurance","tag-i-need-help-with-sc-homeowners-insurance","tag-i-need-help-with-sc-insurance","tag-in-insurance","tag-in-insurance-premiums","tag-insurance","tag-insurance-premiums","tag-ky-insurance","tag-ky-insurance-premiums","tag-lowering-auto-insurance-premiums","tag-lowering-business-insurance-premium","tag-lowering-car-insurance-premiums","tag-lowering-commercial-insurance-premium","tag-lowering-ga-auto-insurance-premiums","tag-lowering-ga-business-insurance-premiums","tag-lowering-ga-car-insurance-premiums","tag-lowering-ga-commercial-insurance-prem","tag-lowering-ga-homeowners-insurance-premiums","tag-lowering-ga-insurance-premiums","tag-lowering-homeowners-insurance-premiums","tag-lowering-in-homeowners-insurance-premiums","tag-lowering-in-insurance-premiums","tag-lowering-insurance-premiums","tag-lowering-ky-auto-insurance-premiums","tag-lowering-ky-business-insurance-premium","tag-lowering-ky-car-insurance-premiums","tag-lowering-ky-commercial-auto-insurance","tag-lowering-ky-homeowners-insurance-premiums","tag-lowering-ky-insurance-premiums","tag-lowering-sc-auto-insurance-premiuns","tag-lowering-sc-car-insurance-premiums","tag-lowering-sc-homeowners-insurance-premiums","tag-lowering-sc-insurance-premiums","tag-reduce-ga-insurance-premiums","tag-reduce-insurance-premiums","tag-reduce-ky-insurance-premiums","tag-reduce-sc-insurance-premiums","tag-sc-insurance","tag-sc-insurance-premiums"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t