Make sure you read your insurance policy

Insurance is a wonderful thing our society has created and has become essential in the business world.  It is important for policyholders to actually read the policy over and review what it covers and, more importantly what it doesn’t.  Most business owners looking for insurance are concerned with the cost of insurance rather than the coverage.  This is a fine approach until catastrophe strikes, like last October 2013 with Hurricane Sandy left many business owners without enough coverage. An insurance agent in New Jersey will likely be very qualified to advise on the proper business insurance coverage given their familiarity with known business and weather risks.

With Sandy policyholders were most worried about flood insurance. Standard property insurance and business owners policy do not have flood insurance in them.  It is a separate policy that you property must qualify for.  A recent article in BestWeek discusses the lawsuits being filed by business owners and homeowners against brokers for not presenting the right flood coverage options to their clients who lost property in the storm.  It’s amazing to see how many people are interested in what the insurance policy covers after a loss has occurred.

Preparing for the unknown is what insurance is all about.  Your broker should review the policy with you until you fully understand it but it is not their responsibility to make sure your read the policy.  Reading an insurance policy is about as much fun as going to the dentist, but with a thorough review of your policy you will make sure it is everything you need.

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