Important to notify insurance company of potential liability claims

When trying to manage their insurance policies, many business owners make the decision not to turn in potential claims and decide to take care of them on their own. By paying for small claims, such as property damage, etc, they strive to keep claim frequency down and in turn keep renewal premiums down. One area of insurance they should not try to manage though is potential liability situations/claims. Most policy conditions require prompt notification of any potential liability claims to the insurance company and if a claim isn't turned in promptly, the policy language does note that the company can deny a claim due to late notification. It's important to do this early on since information/memories are still fresh and it gives the insurance company time to completely investigate the potential claim. The potential for a liability claim is most likely the small business owner's greatest area of risk, whether they operate a restaurant, cleaning service or any other business that offers a product. While the average business owner strives to keep claims down, they aren't doing themselves any favors by trying to manage potential liability claims since the possibility exists for claim denial and possible long term financial consequences for the insured.
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Comments

  1. Josh Ray11:48 AM

    This is so true, I have seen way too many business owners try and handle things on their own because they're scared to call their insurance agent. Thanks for the great blog.

    ReplyDelete
  2. Anonymous9:04 PM

    I recently came across your blog and have been reading along. I thought I would leave my first comment. I don't know what to say except that I have enjoyed reading. Nice blog. I will keep visiting this blog very often.


    Joyce

    http://www.webtraffictrigger.com

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