We had a great time yesterday when the LJM team, their families and some of our clients attended a charity abseil at Old Trafford. We were there to raise funds for The Christie, which is a charity very close to home for some members of the team. We're still getting donations coming in and the total so far is just shy of £1200. Thank you everyone for donating!
Insurers are currently doing more and more to avoid paying claims, make sure you’re claim isn’t rejected because of under-insurance.
Under-insurance affects the amount of money you receive in the event of a claim, but there are some quick and easy steps you can take to ensure you have the right amount of cover in place for your business.
We know that times are tough, but under-insuring your business is a false economy. Yes, you’ll save some money in premiums, but it will affect the amount of money you receive when you come to make a claim.
Here’s an example of how under-insurance could impact your business…
Imagine your business contents should be insured for £100,000 - but you have insured them for only £75,000. There is a major fire and you need to make a claim for £30,000. You might think that the insurance company will pay you the whole of the claim, because it is less than the amount of your sum insured, this is not the case! You only insured for 75% of the value of your business contents (and were therefore only paying 75% of the premium for the insurance you really needed), your insurance company will only pay 75% of the claim. So, you will only receive £22,500. This means that you and/or your business will have to find the remaining £7,500. This insurance principle is called 'average' and applies to most policies.
It’s really important that you check that you’re correctly insured, and that you review your Sums Insured regularly so that your insurance cover doesn’t fall behind as your business develops – like when you buy new equipment…
It’s an easy thing to do, why would you want to waste time and money on insurance when you could be spending it on growing the business.
We speak to businesses that haven't reviewed their Sums Insured for several years. Is it worth the risk? We don’t think so. Why invest time, energy and money into a business if you're prepared to watch it go up in smoke and lose what you have worked so hard for?
Remember, having the right insurance is more important than just buying the cheapest policy!
If you have any questions, please contact LJM Insurance on 0161 406 6786 or by email email@example.com