Every business should have a website. It is an amazing advertising tool that tells potential customers who you are and what you do. What you may not understand is just how it could affect your business insurance policies.
Most Commercial Insurance companies are using your website to verify that your business classified correctly, that the amount you are being charged is correct for what you do, and see if there is anything that you do that increases that risk they will change your policy. This can be in two forms, they can either make your rate go up or it may give them a reason to cancel your Insurance coverage.
The General Liability policy has each business written as a class code. If you run a Daycare and have a Daycare Insurance package you are rated on a class code specifically for daycare’s. If your website showed you have a daycare and you also do swimming lessons in your pool they may split your business by classes, they may put you in the higher rated class code, or they may cancel your policy (since they don’t write people that give swimming lessons). If you aren’t giving swimming lessons for some reason or have it as a separate business, then you should remove it.
How should you create your website?
It should say just what your business will do, and only that. There can be a fine line between advertising for customers and having that increase your insurance coverage’s. At a bare minimum it can cause an Insurance Company to ask questions. Make sure you update it regularly as well to remove or add services you offer. All Insurance Companies and Insurance Agent’s what to classify your business correctly.