Why a Holistic Insurance Partner Matters: Aligning Business, Personal, and Healthcare Coverage

Insurance shouldn’t feel like a full-time job, but for many business owners, it requires an extensive amount of time. If you’re juggling multiple policies, insurance providers, and renewal dates, it can be challenging to get through all the fine print.

A well-coordinated strategy can make all the difference. With one partner managing all your policies – from business and cyber to disability, life, and health insurance – you can finally be sure that your policies fit together without costly overlaps or scary coverage gaps.

How a Hodgepodge of Coverage Can Go Wrong

Most people aren’t insurance experts. When they try to buy their insurance piecemeal, they may end up with coverage gaps because they don’t understand the exclusions and limits in the fine print of each policy. Often, they don’t realize they have coverage gaps until they’re faced with a loss that isn’t covered, and by then, it’s too late to seek coverage.

Consider:

• Larry has auto and home insurance, so he assumes he’s covered for any losses. Then someone breaks into his car and steals some electronic equipment he had in the back. He reports the loss to his car insurance company, but it’s rejected because car insurance doesn’t cover personal belongings. Then he reports the loss to his homeowners policy, and it’s covered, but his sub-limits aren’t sufficient to cover the full value.
• Carla has a small photography business that she operates out of her home, with a studio where she takes portraits. She has homeowners insurance with liability coverage, and she buys event insurance when she’s booked for weddings, so she thinks she’s covered. Then a client slips and falls at her house, and she finds out her homeowners insurance won’t cover the incident because her policy excludes business activities.
• Henry owns a bakery. He does most of the baking himself, but he has a couple of employees to help him. He knows his bakery would fall apart without him, so he purchases business overhead expense insurance. When he has a heart attack and has to step back from work for a while, his policy covers his business overhead costs, including his employees’ salaries – but it doesn’t cover his own salary. Now he’s facing personal debt, and he realizes he needed a disability insurance policy on top of the business overhead expense policy.

Making Insurance Simple and Affordable

Beyond coverage gaps, disjointed insurance programs can also result in unnecessary expenses and hassles.

Many insurance policies can be bundled. Individuals often bundle home and auto, and they may also be able to bundle other policies, such as personal umbrella or boat insurance. Businesses often bundle essential coverage types with a business owners policy, and they may be able to add coverage with endorsements rather than paying for additional stand-alone policies.

Bundling can be advantageous because it often results in a discount. Bundled policies can also help policyholders avoid coverage overlaps that cause them to pay twice for the same coverage. In the event of a loss, bundled policies can also make things easier because you don’t have to try to figure out which policy is responsible for the claim.

However, a bundled policy isn’t always the best strategy. Sometimes, a particular risk drives up the cost of the policy, and combining it with other risks can make everything more expensive. Carving out the risk in a separate policy may be the most affordable strategy.

There’s a lot to consider, and the stakes are high.

Putting the Puzzle Pieces Together

Think of your insurance as a puzzle. There are a lot of different pieces, and you want all of them to fit together perfectly to form a complete picture. You don’t want missing pieces that leave you with coverage gaps, mishappen pieces that don’t fit with the rest of the pieces, or extra pieces that have no place in the puzzle.

A holistic insurance partner can help you put your insurance pieces together to form a comprehensive picture. Does your insurance advisor …

• Handle all lines of coverage? Most people need multiple policies that may span multiple lines. A broker who offers personal, commercial, health, and life products can help you with all your needs and provide a cohesive insurance program without gaps or overlaps.
• Take time to understand your risks? You may not know which types of insurance you need. Your broker should be a source of expertise and guidance. Since everyone’s situation is unique, this is only possible if your broker takes time to understand your needs.
• Specialize in your industry? The most competitive business insurance packages are often only available to agencies that specialize in a given niche.
• Advocate for you? It’s helpful to have someone in your corner, especially when you’re dealing with a loss. Your insurance broker should be your partner, and they should have the industry clout needed to help you navigate underwriting challenges.

Heffernan Insurance Brokers offers personal insurance, business insurance, health insurance, and financial services. Our expert advisors will collaborate to bring in the expertise you need and align coverage, ensuring you have a comprehensive insurance program tailored to your specific needs. Contact us.