Managing your insurance is not just about your policy renewals. As your business changes, your insurance must change.
Your insurance is determined by your exposures.
Certainly the renewal process is important. However, there needs to be a regular chance to review and update coverage during the policy year.
You buy insurance as a part of a plan to manage risks – insurance does not create risk – insurance is a tool to mitigate the impact of risk. For example, you have the exposure of employees causing an accident while driving their personal car on company business. You transfer that risk to your insurer when you buy non-owned auto insurance.
As your exposures evolve, your insurance should evolve.
Open claims should be reviewed at least quarterly. Halfway through your workers’ comp year, you need to push adjusters to reduce open claim reserves.
Monthly walk-throughs help to identify hazards that have developed.
If nothing else, talk with your insurance advisor a few times a year to update him on changes you have made to your operation. You’ll also hear of emerging insurance issues – if your advisor is any good. You can get help with budgeting for the future.