Finding The Right Insurance Provider: A Guide For Sole Traders

Sole traders know that there is never a shortage of things to worry about. When you run your own small business with a staff of one, your to-do list is never ending and if you aren’t rushing to finish the task at hand, you are racing to make sure that you have enough work coming in over the next few months. You are constantly thinking about your accounts, your taxes, your social media profile, whether your website is SEO-friendly, and chasing that previous customer for feedback. 

 

But there a surprising number of sole traders out there who haven’t planned for what happens if something goes wrong. We’re all so dead set on keeping things moving forward that we can sometimes forget about a contingency plan for that event or issue that will send our business off the rails. Insurance is not a luxury that only some sole traders can afford. It is a business necessity, and you don’t want to find yourself in a situation where you wished that you had realized that sooner. However, finding the right provider and the right policy for your business can be easier said than done. You are never going to be short of options, but the finding the right one is the hard part. Here are a few things that you should look for when you’re looking for an insurance provider.

 

Look For A Good Reputation

While the fact that we are all spending much more time online than we used to is bad news for our eyesight and our posture, it has been extremely helpful for anyone trying to sort good businesses from bad ones. Now that we are doing so much more of our business virtually, we have all got a lot more conscientious about leaving customer feedback. Brand loyalty may have changed forever thanks to Coronavirus. 

 

That means that if an insurance provider that you are looking at is not flaunting their excellent review score, that is a huge red flag. You really should not be looking at any insurance provider with a review score lower than 4.5 if you want to be confident in their costs and their services.

 

Look For An Insurance Provider That Fits Your Needs

No two sole traders are the same and we all have our own specific requirements. A freelance engineer, for example, is probably going to be looking at a very different policy to someone who is finding accountant insurance. When you are looking for an insurance policy to cover you and your business, you need to know that they have the kind of policy that works for you. 

 

Commercial property insurance can cover you if something like a fire or a burst water main causes damage to your business property. Professional liability insurance can cover you if a mistake causes delay or legal fees. You can even be covered by commercial auto insurance if you have an accident or a breakdown while driving somewhere for business reasons. A good insurance provider will be able to break down every scenario and tell you what kind of coverage makes sense for you and your business.

 

Look For Hidden Fees And Make Sure You Read Everything Carefully

Thanks in part to the rise in cybercrime over the course of the pandemic, we have all become a lot more wary when it comes to spending money online. While checking that any payment portal you use for the policy is secure is obviously something you should be doing, what you really need to be keeping a careful eye on is the fine print. 

 

A lot of insurance providers out there are more than happy to offer you enticing rates and monthly fees when you sign up, but there could be some serious hidden costs located in the paperwork should you ever need to file a claim. A good insurance provider will be very clear about what you will be liable for in any eventuality, but it always makes sense to go through any documents with a fine-tooth comb. What you don’t want is for the fail-safe that you have paid for in case of emergency to end up costing you more money. 

 

Another thing that you need to be aware if is updating your insurance provider whenever anything changes. It can be anything from changing your location to the number of days a week you work. If your initial policy says something different, it needs to be updated ASAP.