In a world where the business landscape and the economic outlooks have rapidly changed, Ann Anderson of Anderson Insurance Agency sounds a warning bell to the small business owners and commercial insurance holders of Frisco. She cautions, “If your circumstances have changed, your insurance might need to change.”
When I sat down with Anderson to discuss the post-COVID-19 state of business in Frisco, she emphasized that, for many of her clients, needs have shifted or focuses have pivoted since March.
Anderson, as always, has great advice for commercial clients and small businesses who have shifted in products or services, feel new risk vulnerabilities, or need to change their offerings in the face of changing times.
First, when it comes to your relationship with your insurance agent, oversharing is welcome. Anderson emphasizes,
Tell your insurance agent EVERYTHING that has changed for you, everything about your situation. Have you cut employees? Have you changed your services to accommodate current needs? Have your changed the way you deliver products to customers? Your agent needs to know all of this.
Secondly, have a serious talk with your agent about where the relationship stands. Anderson says you shouldn’t assume that unknown risk is less expensive than paying a marginally higher premium upfront.
She can tell dozens of stories of small business owners she personally knows who didn’t know the details of their coverage or assumed that premiums of a particular risk would be too expensive – only to find out that unplanned events or disasters were in fact far more devastating than the few extra dollars a month that thorough protection would have cost.
During this part of the conversation, Anderson’s enthusiasm for the work that Farmers does was evident. Her passion for caring well for her clients and for advising well the business community of Frisco is uncontainable. Anderson assures her clients,
Our information is probably going to get you the best premium. Give us thorough information – it’s not automatically going to make your premiums dramatically more expensive but it can help us identify critical loopholes that could terrorize your business.
Finally, trust, but verify. Anderson urges commercial clients especially, but individuals as well, to ask more questions than seem necessary:
Ask about everything. What are the lease requirements for your building? Which assets are protected if someone sues you? What exactly is covered by your business interruption insurance?
Anderson uses the shelter-in-place orders of last March as an example, when many businesses had to cease operations or lost money because they couldn’t operate as normal. Plenty of Anderson’s own customers assumed that they knew what their business interruption insurance covered — and plenty of them assumed incorrectly, losing money as a result.
Another area that Anderson sees frequently mis-navigated is that of workers’ compensation. Have you had to cut employees? What has changed about the services you offer or the way you deliver those services in light of the current climate?
Healthy businesses are prepared businesses — prepared for whatever life throws at them. New risks and vulnerabilities for many businesses were revealed by the tumultuous environment produced by mandatory shutdowns and pandemic-related concerns.
A conversation with your insurance agent and an updated look at the protection provided by your premiums is well worth your while. Anderson notes that such conversations frequently save her clients money — she’s often able to find an area where premiums can be lowered.
Don’t have a reliable agent or didn’t realize how complicated the world of business insurance can be? Anderson Insurance, your local Farmers agency in Frisco, can point you in the right direction and get you started on a secure track.
Monday-Friday: 8:30 am – 5:30 pm
6500 Preston Rd, Ste B11
Frisco, TX 75034