Help keep your claims history clean by mitigating these four risks
Business insurance is there to replace or repair damaged or lost property and equipment. However, whenever you make a claim, your monthly premium can go up. One way to cut down on making claims is by implementing a comprehensive risk management strategy. Here is our guide to four common risk areas in business and the strategies to control them.
- Fires, workplace injuries, cybercrime, and liability issues are business risks
- There are several steps you can take to mitigate these risks
- Avante Insurance ensures you have the right insurance to protect your business
Risk #1: Fire
Fire is one of the most common risks for businesses. Industrial and manufacturing plants also face fire risks. You should always have fire extinguishers and smoke alarms on hand, but there are other steps you can take to protect against fire risks, such as:
- Inspect electrical systems and control panels.
- Clear out excess clutter.
- Ensure proper disposal of hazardous materials, such as rags/towels used to clean chemicals, oils, or paint.
- Follow manufacturers’ guidelines when disposing of chemicals and other hazardous materials.
- Keep your machinery well-oiled and maintained.
- Follow all smoking guidelines and regulations, including setting up designated smoking areas and educating employees about proper cigarette disposal.
- Follow OSHA fire prevention guidelines.
Risk #2: Workplace injuries
If an employee is injured on the job, workers’ compensation insurance will help pay for their medical bills and lost wages. Your goal should be to reduce the risk of injuries so you don’t have to pay claims. There are many things you can do to prevent workplace injuries, including following industry safety regulations. Other preventative actions include:
- Don’t rush to get things done as this can lead to mistakes and accidents.
- Keep your eye on the weather if you’re working outdoors to avoid injuries from things like lightning and extreme heat or cold.
- Use the proper safety equipment recommended for your industry.
- Keep workspaces clean and free of debris and spills.
- Avoid blocking exits and doorways.
- Clean up hazards that could cause employees to trip, slip, or fall.
- Implement safety protocols and ensure employee training.
Risk #3: Cybercrime
Cybercrime is a growing threat for small businesses. If you store customer/client/employee data or personal/financial information, you are at risk of a data breach or other cybercrime. Not only would you have to alert customers or clients, but you can also be sued for negligence.
These days most businesses need cyber liability insurance, but again, if you make a claim you could face higher premiums. Mitigate your cybercrime risks by:
- Establish cybersecurity measures to protect sensitive data
- Train employees about best practices for handling and protecting private data
- Implement safety protocols and protections for mobile devices
- Only give access to team members who require it
- Use the latest encrypting software to protect sensitive data
- Update your software as directed
- Only collect and keep the data you actually need
- Control the number of places where data is stored or saved
- Have a plan for properly disposing of data
Risk #4: Liability Issues
There are several kinds of liability. The first relates to injuries or damage to someone else’s property. You’re probably familiar with this type of liability. However, did you know you can also be sued for libel or slander because of something you or an employee said online about a client?
There are steps you can take to reduce liability issues, including:
- Implement a social media policy and train employees about proper online conduct
- Have someone on staff monitor or manage social media activity
- Only post appropriate content on your page
- Make sure you obtain the right to post copywritten images or materials
Take the necessary steps to keep your commercial claims history clean
Commercial insurance is necessary to protect your business, but you don’t want to continually use it. Making claims can drive up your premiums, which will affect your bottom line.
Avante Insurance can help you find the right policy for your small business. We handle a wide range of commercial insurance needs, including:
- Commercial property
- General liability
- Commercial auto
- Workers’ compensation
- Professional liability
- Cyber Liability Insurance
- Employment practices
- Commercial umbrella
- Loss of income
Contact us to talk about your business needs and request a quote. We will ensure you have the right coverage to protect the enterprise you’ve worked so hard to grow.
This blog and website are made available by the publisher for educational and informational purposes only. It is not to be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state.