There seems to be a misunderstanding of how one can best utilize the services of their Insurance Broker other than just purchasing and renewing an Insurance Policy… Today’s business environment is such that it is no longer acceptable for you to not have a close relationship with your Insurance Broker as it is that party that will be helping you minimize your risks by purchasing insurance coverages or helping you to decide which risks you will bear yourself. Complex insurance policy coverage matters are not to be taken lightly. Your Insurance Broker should be part of your Company’s inner circle.
It is important that prior to signing a contract with one of your clients that you provide your Insurance Broker a copy of that contract for comment as to insurance requirements and the indemnification requirements along with your warranty and potential penalties incurred for your future alleged lack of compliance with that contract.
Many times clients will sign a contract and then will then call their Insurance Broker stating that they are being forced to add new coverages because they didn’t read the document for which they signed in their eagerness to acquire a new job. If you have yet to do so, establish uniform procedures for your Insurance Broker to receive "in advance" potential contracts from which you wish to be awarded.
Remember, if you cannot comfortably share the above information with your current Insurance Broker, you need to establish a new relationship with another Broker.