Companion to "Buying insurance without getting played."
Make carriers compete: one independent broker plus one direct quote is enough to see the spread. Ask the seven questions before you pay anything, and write the answers down. Price is the last thing to compare, not the first.
"I do [exact description of your work, in plain words: what you do, where, for whom]. Here is what I need to know before I pay anything."
| Question | Answer |
|---|---|
| 1. What does this policy exclude for a business like mine? (Show me the exclusions page) | |
| 2. What are the per-occurrence and aggregate limits, and what is the deductible? | |
| 3. Does the policy cover my specific activity as I described it, in writing? | ☐ Yes, in writing ☐ Verbal only |
| 4. What happens at renewal: can the price change, and by how much did it change for clients like me last year? | |
| 5. Do you run a premium audit at the end of the policy year, and on what: payroll, revenue, or both? | ☐ None ☐ Payroll ☐ Revenue ☐ Both |
| 6. Can you issue a certificate of insurance the same day a client asks for one? | ☐ Same day |
| 7. When something happens on a Saturday afternoon, who do I call, and how fast does a human answer? |
| Quote | Carrier / broker | Premium | Limits | Deductible | Exclusions noted |
|---|---|---|---|---|---|
| Quote 1 (broker) | $ | $ | |||
| Quote 2 (direct price check) | $ | $ |
When the two quotes differ, ask both brokers to explain the difference in one sentence. The one who says "I do not know, let me check" is worth keeping.
| Exclusions page read, asking one question: when my worst day happens, does this page say the policy pays or points somewhere else? | ☐ |
| Endorsements (add-ons and carve-outs specific to this policy) reviewed | ☐ |
| Coverage of my actual work confirmed in writing; a cheaper policy that excludes your actual work is a donation to the carrier | ☐ |
| Premium audit exposure budgeted (policies priced on estimated payroll or revenue get trued up at year end) | ☐ |
| Payment: monthly preserves cash in year one; annual carries a discount; BOP bundling usually cheaper when you need both GL and property | ☐ Monthly ☐ Annual |
| Buy the day the risk starts, not before and not after; first COI expected from: | ☐ Dated |