Understanding Your Business Insurance Quote
Before you purchase a business insurance policy, it's important to compare quotes from different providers. Here's what you need to know about business insurance quotes, including how to get one and deciphering the terminology.
After doing your research on business insurance, deciding on your coverage, and contacting insurance providers, you’ll receive a business insurance quote. If you’re new to business insurance, you may be wondering how to read your quote and the next steps to take.
We’re here to walk you through everything you need to know about business insurance quotes, including how you can get a quote, understand the terminology, and determine whether you’re getting a good deal. Keep reading to learn more about understanding your business insurance quote.
Table of Contents
- What Are Business Insurance Quotes?
- How To Get A Business Insurance Quote
- Business Insurance Quote Terminology
- How To Compare Business Insurance Quotes
- Are You Getting A Good Deal On Your Business Insurance?
- The Bottom Line On Business Insurance Quotes
- FAQs About Business Insurance Quotes
What Are Business Insurance Quotes?
At its most basic, a business insurance quote is a document that shows what you could expect to pay for a policy from an insurance provider.
Each business quote will be different due to the unique needs of each business and factors such as industry, number of employees, past insurance claims, and deductibles.
Whether you’re shopping for business insurance for the first time or are looking for more affordable coverage to replace an existing policy, it’s important to understand exactly what you’re looking at once you receive your quote — something we’ll explore in more detail throughout this post.
How To Get A Business Insurance Quote
Getting a business insurance quote isn’t difficult, although understanding your quote may be a little confusing if you’re new to business insurance.
There are a few steps to take before getting a business insurance quote. You’ll need to determine the type of policy you need, set a budget, and choose prospective business insurance providers. Once you’ve taken these steps, you’re ready to receive a quote. Here’s how to get your business insurance quote:
- Contact An Insurance Professional: You can work with an insurance broker (who is committed to finding you the best insurance versus selling a policy for their specific company) or an insurance agent who works for a specific insurer.
- Gather Your Documents: Insurance companies will need certain documents and information in order to give you a business insurance quote. This may include tax statements, employee records, leases, and bank statements. Note that additional documentation and information may be needed later if you opt to purchase the policy.
- Submit Your Information: After gathering your information, you’re ready to receive your business insurance quote. Many insurance providers allow you to receive a quote online, while others may require you to call in for your quote.
Business Insurance Quote Terminology
Business insurance quotes may contain terminology you haven’t heard before. Here’s a quick breakdown of what to expect when reading your quote:
How To Compare Business Insurance Quotes
There is more than just the premium to consider when you’re comparing business insurance quotes.
Just because a policy is cheaper than another doesn’t mean it’s the best option for your business. In fact, you might find that the reason the policy is so much cheaper is that it doesn’t provide the coverage your business needs.
Consider the following when comparing multiple business insurance quotes:
- What is covered (qualifying events)?
- What isn’t covered (exclusions)?
- What are the policy limits and deductibles, and do these meet the needs of your business?
- Can this policy grow with your business?
- How soon can you get coverage?
Are You Getting A Good Deal On Your Business Insurance?
The best way to tell if you’re getting a good deal on your business insurance is to compare your quotes carefully and with the help of a professional.
An experienced third party can help you see potential gaps in your coverage, high deductibles that can make your premium more expensive in the long run, or fine print that could leave you with insurance that doesn’t provide the coverage your business needs.
The Bottom Line On Business Insurance Quotes
Once you figure out the language and what to look for, understanding your insurance quote and how to compare it to other quotes is quite simple. But never be afraid to reach out to an insurance professional if you have any questions.
Have more questions about business insurance? We’ve got resources for you. Start by determining if you need business insurance. If you do need insurance, avoid sticker shock with an understanding of how much business insurance costs. Then you can kick off your search with our picks for the best small business insurance companies.