Generally speaking, insurance providers calculate business insurance discounts based upon how likely it is that your business will face risk. Adjusters do the math and determine which types of business are least likely to file claims, and those are therefore, the most likely to be offered a discount. There are a number of other factors involved, however, but they are not always easy to understand. Luckily, we at Lane’s are well-versed on how to decipher the world of discounts.
Common business insurance discounts are:
- Safety discounts: If you can show that you are taking measures to reduce risk at your business, such as by creating a comprehensive emergency plan, adding security features like alarms and sprinklers, and doing your best to reduce business crime, you will likely see a reflection of that in your business insurance rates. Keeping your employees from getting hurt to reduce the amount of worker compensation claims can also result in a reduction in rates through a business insurance discount.
- Loyalty discounts: Rather self-explanatory, the longer you stay with an insurance company (especially without filing a claim) the more likely you are to receive a loyalty discount.
- Usage-based insurance discounts: Usage-based insurance (UBI) is available in Alberta to owners of fleet vehicles. Telematics technologies allow insurers to collect and analyze advanced data regarding vehicle usage from devices placed in the vehicle’s engine. Telematics tracks driving habits such as speed, cornering, braking force and frequency, and other key indicators of the way your employees drive. This data allows fleet owners to build their awareness of how their vehicles are being used, and insurance companies to offer more immediate and more valuable discounts to clients who consistently show that they operate their vehicles safely and responsibly.
- Bundling discounts: If you purchase multiple policies from the same company you likely receive a bundling discount. For example, you may choose to insure your home and your vehicle with the same company with which you have business insurance.
- High deductible discounts: Agreeing to pay a higher deductible when you have to file a claim can lower your premiums. Deductibles work to deter unnecessary claims, balancing the agreement between the insuring party and the insured, ensuring that both are always conscious of working to avoid loss and damage.
Insurance companies have a bad habit of hiding their incentives and discounts to make it very hard for you to figure out what is on offer. Even if you may qualify for a discount, companies are not obligated to offer them, or even tell you about them. In fact, it may take your asking outright whether there are any available in order to access them. Don’t be shy: be sure to inquire as to what is your right as a consumer. Better yet, call us at Lane’s to see what we can do for you. We are completely transparent with everything we offer, and are always working to find you exactly the coverage you need — complete with all available discounts.
Are You Paying Too Much?
It may actually be that you are simply paying too much for your business insurance in the first place. Remember, there is competition out there, just like there is for your company. Test your policy against the others through the experienced insurance brokers at Lane’s.
There are many benefits to using an insurance broker, the first being that we work for you, not the insurance companies. Regular insurance agents are only able to provide options from the company they work for, which severely limits their – and your – options. We work with several of the most respected insurance providers in the country, and can compare and contrast their offerings to find you the very best coverage for the least cost to you. In short, we do the shopping for you, and have the knowledge necessary to understand all the fine print to keep your business safe and protected at all times.
Another benefit to using a broker is that we have access to more business insurance discounts than regular providers. This is because we have access to more companies. We can efficiently search the policies available for those that provide discounts to your type of business, or specifically to you, the policy holder.
Types of Business Insurance Policies
There are many different types of business insurance available, with each providing different types of business insurance discounts. And we know exactly how to access them for you. As experienced business insurance brokers, we know the right questions to ask the companies we work with. Contact us at our Calgary, Edmonton, Banff, and Alberta offices.
