COVID-19 has completely altered the way people do business. From remote work to new services, businesses have had to get creative in order to remain open and profitable. But with major changes to services and locations, it's important to evaluate your current insurance policy and communicate any operation changes with your agent.
COVID-19 has completely altered the way people do business. From remote work to new services, businesses have had to get creative in order to remain open and profitable. But with major changes to services and locations, it's important to evaluate your current insurance policy and communicate any operation changes with your agent.Here are some ways COVID-19 has affected businesses and what it can mean for your insurance coverage.
If your business is now supporting remote work...
One report found that 67% of companies expect to work remotely permanently or long-term. Is your business one of them? If so, this can present new coverage requirements or changes to your existing plan.
For example, if you no longer have a physical office space, you should discuss your commercial property insurance with your carrier and if you need to eliminate it or reduce its limit. You may also want to check to see if your commercial property insurance extends to where your remote employees are located for extra protection.
Additionally, you should evaluate your general liability insurance. This coverage protects your business from lawsuits that may occur during business operations. If your workforce is now remote, your liability insurance should also cover areas in which your employees are located so you are completely protected.
If the majority of your team is remote, you also have to worry about an increased risk of cyber threats. Your employees may be using an unsecured network at home, putting your company's information in jeopardy. Before disaster strikes, be sure you're covered: talk with your carrier about cyber liability insurance, which can help protect your valuable data if something were to happen, even remotely.
If your business has opened another location...
Perhaps the pandemic has caused you to open new service locations or has moved your operations online. These location changes require a conversation with your carrier to ensure you have the right protection in place.
More than 85,000 businesses have turned to eCommerce online stores during the pandemic, eliminating the need for their brick and mortar locations for the time being. If yours was one of them, you must talk with your agent — you will need to update your policy to include general liability insurance, cyber liability insurance, and other types of online coverage for your new operations.
If your business has moved locations and you didn't communicate that change with your carrier, your new location may not be covered. That is why it's critical to be open and honest with your insurance carrier so you remain protected.
If your business has switched or adopted a new service...
The pandemic has also caused companies to take up new service methods to remain in business. Restaurants are a prime example: with restrictions on indoor dining, many restaurants have had to turn to delivery in order to stay open. This change in service method requires new insurance coverage like commercial auto insurance, which can protect delivery drivers and company cars.
If your business now offers a new type of service, this also needs to be discussed with your insurance agent. New services can mean new risks and liabilities that aren't currently covered in your existing policy.
Conclusion
Businesses have had to get creative during the pandemic in order to stay afloat. Your insurance agent wants to see you succeed, therefore, they are here to help get creative with your coverage in return. The best thing you can do is communicate any and all changes to your business — physical, operational, or otherwise — so you can get the right coverage to keep thriving. If you have questions about your coverage or are interested in extending your policy, contact us today.