The mark of a New Year is often a time of reflection on the year past and preparation for the incoming year.  During this time of transition, millions of Americans look back and plan forward; whether it is in the form of setting New Year’s resolutions, goals for yourself or your business or declaring a word to focus on for the upcoming year.  Do you also make a habit to review your insurance policies annually?  Whether it is a task you take care of at the beginning or end of the year or something you complete throughout the year at renewal time, it is very important to review your policies annually.  2020 was a year FULL of change for many, were there any changes to your household or business operations that could impact your insurance policies or premiums? 

Personal Insurance Review

The questions to ask yourself when considering a personal insurance review include:

• Have there been any changes to your household residents?
• Any new drivers of your vehicles or changes in previously listed drivers?
• Any changes in the use of your vehicle? (i.e., driving personal vehicles for delivery services)
• Did you have any children away at college? Are you curious how your homeowners’ coverage extends to them and when is the appropriate time to set up their own renters polices?
• Does your family have any upcoming weddings or special events that you need assistance with additional liability coverage?

You may be interested in knowing that possible premium discounts can be available for newer roofs or other home improvements.  Have there been any updates to your home’s roof, electric, heating system, air conditioner or plumbing?  Notify your trusted guide to insurance if you have completed any of these improvements so we can update the year with your carrier and check if it has any impact on your policy’s premium.  Have you done any renovations or remodels to your home?  To ensure proper coverage is in place at the time of loss, we want to have the coverage limit on your property in line with the current replacement value.  This is also true for the contents of your home as well – furnishings, jewelry, collectibles, or hobby items – have you made any significant purchases or inherited any items that would increase your content value or require individual coverage?  Many policies only provide a specified limit for such items so it is important they are accounted for ahead of time should a loss occur. 

Business Policy Review

The questions to ask yourself when considering a business insurance review are similar in nature to personal insurance but centered around operations and employees instead of household members.  Things to think about include: 

• Have you hired any new employees or experienced any turnover and need to update the drivers on your commercial auto policy?
• Do you have any newly acquired autos or pieces of equipment or machinery?
• Have there been any significant changes to your revenues or projected revenues that may impact your premium?
• Have there been any changes or modifications to your products, services, or business operations?

Businesses were faced with an abundance of change in 2020 and many found creative ways to modify operations and adapt to the new normal brought about by COVID-19.  Now more than ever it is important to review your insurance policies with your trusted guide to insurance to confirm if any of the changes or modifications to your operations are accounted for accordingly with regards to your insurance policies.  There are many factors that could trigger an impact on your coverages – such as a business that did not previously offer delivery services modifying to now include delivery due to COVID-19.  There are also many factors that could have an impact on your policy’s premium and weighted revenues, such as a reduction in payroll, annual sales, or revenues. 

If you find yourself questioning if your same policies and coverages from the year prior continue to fit your needs in the new year, reach out to one of our trusted guides to insurance to complete a review of your policies.