Why Should Small Businesses Get an Annual Insurance Checkup?
An annual insurance checkup helps small businesses stay protected, save money, and adapt to changing needs. It ensures that your coverage reflects the latest changes in your operations, employees, or risks—so you’re not left vulnerable.
Key Takeaway: An annual insurance review can uncover coverage gaps, cut unnecessary costs, and ensure your business is protected as it grows and changes.
What Is an Annual Insurance Review?
An annual insurance review is a yearly assessment of your insurance policies to make sure they still match your business’s current operations, size, and risks. It’s more than just a formality—it’s a key way to safeguard your livelihood.
BDI recommends every small business, no matter the industry, schedule this checkup with a trusted advisor.
Why It Matters for Small Businesses
1. Stay Aligned With Business Changes
Small businesses grow fast. You might have:
- Added new services
- Bought equipment or vehicles
- Opened a new location
- Hired more staff
These changes can all impact what coverage you need.
2. Avoid Being Underinsured
According to a Hiscox survey, 75% of small businesses are underinsured. This means many companies could face major losses if disaster strikes and they’re not properly covered.
3. Keep Up With Legal Requirements
New laws or local regulations may affect what insurance you’re required to carry—especially for:
- Workers’ compensation
- Commercial auto
- Cyber liability
4. Save on Premiums
Reviewing your policy helps eliminate duplicate or outdated coverage. You might also qualify for new discounts or bundles.
Key Areas to Review Each Year
Your BDI advisor will walk you through these checkpoints:
✔ Property and Equipment
Make sure updated values are reflected in your policy.
✔ Revenue and Payroll Changes
Increased income or employee count could mean needing higher coverage.
✔ Business Interruption Limits
Confirm that these limits can realistically cover your current operations in case of disruption.
✔ Vehicles and Drivers
Double-check that every vehicle and driver used for business is properly insured.
✔ Cybersecurity
Cyber threats are always evolving. Don’t overlook this vital protection.
✔ Contracts or New Locations
Leases or structural changes to your business often bring new liabilities.
Tips for a Successful Insurance Checkup
- Bring Your Numbers: Revenue, payroll, inventory, and equipment details from the past year.
- Be Honest About Changes: Even small ones—like hiring a part-time employee—can affect your coverage needs.
- Review Claims History: Past claims can highlight future risks to prepare for.
- Ask About Updates: New products or policy bundles could improve your coverage or lower your cost.
How BDI Can Help
At Barnard Donegan Insurance, we’ve been advising small businesses since 1911. Our faith-driven approach means we treat your success like it’s our own. With personalized reviews and expert insight, we help small businesses like yours stay protected and thrive in any season.
Contact us today to schedule your annual insurance checkup and ensure you’re covered for the road ahead.Reach out to a BDI advisor →
People Also Asked
1. How often should a small business review its insurance coverage?
At least once a year, or anytime your business experiences a major change—like moving, expanding services, or hiring new staff.
2. What types of insurance should small businesses review annually?
Common ones include general liability, property, workers’ comp, commercial auto, cyber liability, and professional liability.
3. Can reviewing my insurance help me save money?
Yes! You may find outdated or duplicate coverage to eliminate, or discover discounts you now qualify for.
