Some people who are purchasing liability insurance for the first time may be wondering, will paying my premiums up front give me a discount? Actually, there is good news. Most of the time, people typically paid their insurance bills every month. Sometimes, you’ll get a business of any size that wants to pay their bills on a quarterly basis. However, there are occasions when customers want to know the rate for paying their entire annual premium at one time. What is the benefit in doing this?
Obviously, one of benefits is that you don’t have to worry about that bill for the rest of the year. You can simply relax and know that if anything does happen, you have already paid for the support of your liability insurance company. This does not get rid of the deductible for each incident, but when you consider how much you saved paying the annual rate instead of the monthly ways, it does become more affordable. In fact, one of the best ways to prepare or an occasion where you need to pay this deductible is to go ahead and set it aside every month. Choose a savings account that earns interest, even if it’s a small amount. Then, when these situations come up, you’ll have more than enough to take care that need without pulling it from your regular operating budget.
Comparing Annual Insurance Rates
For the rates that will be quoted on annual payments of liability insurance, you will need to price check between various companies. This can be done quite easily, especially when you let the representatives know this is your plan. From the very beginning, they can figure on an estimate that includes one annual payment versus several smaller ones. Thankfully, the Internet is available for this process 24 hours a day. That means you can save time and money working on one project. Remember though that sometimes the size of the liability insurance provider company determines the kind of discounts they can offer you. It also may depend on the amount of policy claims that are typically filed in your area.
Comparing Discount Availability
Once you have determined which liability insurance company is most attractive to you, then ask them how quickly you can have a policy up and running. There will be certain procedures where the documents need processed, but usually their systems can handle this pretty quickly. If you make sure that you have a budget that can handle the first liability insurance payment right away, then there won’t be any delays on your end of things. This will give you some peace of mind as you operate your company from day to day. Even though you may just be starting out, the moment you start to work with employees or customers, you are facing liability hazards.
Don’t take any chances by not having an insurance policy. Learning the answer to, will paying my premiums up front give me a discount, is just the first step. Then, you need to follow up with those representatives and make sure they have all the necessary answers they’re looking for. Usually, they will take care of calling you back or replying by e-mail, whichever is more convenient for you. The key to remember is that you are protecting your establishment first so that it can be successful for the next several years. If this is your main source of income, then every penny you paid towards liability insurance protects the income of you and your family.