Whether you’re a business owner or an individual, you’re probably interested in controlling your expenses, and insurance costs are no exception. You may ask yourself why your policy’s cost increased.
Remember that insurance premiums are tied closely to costs for labor, materials and medical care. As these prices go up, it takes more insurance dollars to pay claims.
Another cause may be the number of claims on your policy. When losses are high, risk may be higher than estimated; premium adjustments may be needed to offset the increased risk accepted by your insurance company.
Here are some things you can do:
- Choose higher deductibles. It’s expensive to fund small losses with insurance. In most cases, it is more cost effective to reduce premiums by accepting higher deductibles.
- Receive a multi-policy discount in many cases when you have more than one policy with your carrier.
- Be safety conscious and install safety devices. Policyholders with no losses get the best rates and possible credits toward premiums.
- Stay with a company that has a record of cost control, benefiting you with competitive rates.
Get the best value for your insurance dollar by choosing insurance from a company with superior coverage, excellent claim service and professional local agents.
Courtesy of Cincinnati Insurance Company