I recently received a request from a reporter from a national magazine asking about actions a business can take to survive a recession.
My response:
Companies that bid their insurance can save 20 to 40 percent on their coverage.
The current property and casualty insurance marketplace is as competitive as any in recent memory. Insurers want to keep good customers and gain new business.
An orderly, well-planned bid process can result in both coverage enhancements and lower rates.
Even if a company does not want to go to bid, there are actions that can be taken to control premiums:
-Review coverage for value. Make sure you have the coverage you need but reconsider the frills.
-Review premium basis to reflect the current economy. Payroll and sales numbers are used to determine premium. Perhaps the policy estimates overstate expectations. Why let the insurance company use your money?
Regular bidding is the single most effective tactic to control premiums and optimize coverage. See my booklet on the subject.
My response:
Companies that bid their insurance can save 20 to 40 percent on their coverage.
The current property and casualty insurance marketplace is as competitive as any in recent memory. Insurers want to keep good customers and gain new business.
Even if a company does not want to go to bid, there are actions that can be taken to control premiums:
-Review coverage for value. Make sure you have the coverage you need but reconsider the frills.
-Review premium basis to reflect the current economy. Payroll and sales numbers are used to determine premium. Perhaps the policy estimates overstate expectations. Why let the insurance company use your money?
Regular bidding is the single most effective tactic to control premiums and optimize coverage. See my booklet on the subject.
No comments:
Post a Comment