The Simmonds Business Insurance Index™ - November 2010

Notes for For Insurance Buyers - November, 2010

Here's my read of the current marketplace for upcoming business insurance renewals:

Renewal Premiums: -5%
Renewal Coverages: Liberal Terms
Buyer's Outlook: Long-Term: Prices Flat

No change from October. No change in the index and no change in my advice.

I see no change in the current insurance marketplace and no signs of prices firming up. With no competition for your account, you will see your premiums stay about the same. With competition on the renewal, you will see reductions and improvements in coverage.

At the end of the renewal, negotiations continue to push for coverage enhancements. Ask the underwriter to throw in earthquake coverage or the elimination of an exclusion.

Here are some of the things I am asking for:

--Earthquake
--Flood
--Defense costs outside the limit of liability on professional liability
--Lower deductibles
--Expansion of debris removal limits
--Per location aggregates on general liability
--Wage/hour claim defense costs on employment practices liability
--Removal or limitation of the known dishonest act exclusion on crime insurance
--Per loss deductible to combine property insurance and inland marine deductibles
--Employees as insured on auto policy
--Cybercrime