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Bottom Line Up Front

  • You purchased commercial insurance when you first started your business, but changes may require updated coverage.
  • New assets like commercial facilities, vehicles and equipment need to be added to your policies to ensure comprehensive coverage.
  • Don’t forget to check whether new employees and technology are covered by your existing insurance policies, or if you’ll need to update them.

Time to Read

3 minutes

August 16, 2022

If your business is growing, you’ll want to be sure your commercial insurance is up to date and adequately sized to your business. Here are some of the most common growth-related changes you might encounter in your business and how to ensure you’re sufficiently covered for each.

Additional Employees

If you’ve recently expanded your staff, be sure your workers’ compensation insurance covers this expansion in your team. This is especially important if the new employees are doing jobs new to your business, such as operating a new piece of equipment or vehicle. While many workers’ compensation policies automatically cover additional employees, you don’t want to run the risk that yours doesn’t.

You should also be aware of steps you can take internally to mitigate your workers’ compensation risks, such as ensuring your new employees are trained properly. Some insurance carriers offer pre-employment screening assistance to help mitigate risk.

New Location(s)

If your business has moved to a brand-new location, or if you’ve expanded into additional facilities, be sure these properties are evaluated by your agent for sufficient insurance coverage. For instance, do any of your facilities face high-risk hazards, such as flooding or hurricanes? Does your property have any walls, equipment or land adjacent to high-risk property, such as a storage tank containing flammable liquids? 

Additionally, if your new property is in a different geographic area than your previous ones, be sure that your coverage complies with regulations that apply to that location or state. Your agent can assist you in gathering this information.

New Technology

As your business becomes increasingly tech dependent, your needs for protection against cyber-fraud and hacking increase. If you’re armed with the right type and amount of insurance coverage, your losses may be covered in certain situations, such as your business temporarily stopping due to hacking, notifying customers of a data breach or addressing breach-related lawsuits. 

Additional Commercial Vehicles

If you’ve expanded your fleet of commercial vehicles, make sure that each vehicle is properly covered for its intended use. Be careful if any of your employees use their personal vehicles to conduct company business. You’ll want to check with your agent to see how such use might affect your coverage. If needed, impose strict guidelines on how and when your commercial vehicles are to be used to minimize risk.

Additional Equipment or Space

If you’ve purchased new commercial equipment or added onto an existing facility, you’ll want to be sure these assets are factored into your coverage. Keep an updated record of your equipment and facility expenditures, including purchase date and cost. This will go a long way toward facilitating your property insurance coverage and expediting any claims.

Don’t Risk Your Business by Forgetting Insurance

Commercial insurance is a must-have for any business owner. There are many different types of business insurance with varying requirements based on your state or jurisdiction. Check your existing policies any time you make a change to your business to make sure you’re fully covered. 

Next Steps Next Steps

  1. Take stock of your business’s assets and any recent changes you’ve made to your operations. If you’ve added new employees, technology, equipment or vehicles, or if you’ve changed facility locations, go through your current policies to make sure your coverage still applies.
  2. Consider the risks that are unique to your business, such as the potential for data breaches or physical damage to a warehouse of inventory. Check on your existing policies or research new policies that will cover these risks.


This content is intended to provide general information and shouldn't be considered legal, tax or financial advice. It's always a good idea to consult a tax or financial advisor for specific information on how certain laws apply to your situation and about your individual financial situation.