How to Choose a Commercial Insurance Broker

Securing commercial insurance for your business is vital for your long-term success. Liability coverage can protect a business owner in the event of damage or injury to customers, employees or property. An insurance broker works as a liaison between a business owner and his/her insurance company. A broker can find a policy that provides your business with an adequate level of coverage. An uncovered accident or injury could spell disaster for your company. Here's how to find the right broker.


  1. Image titled Choose a Commercial Insurance Broker Step 1
    Determine your commercial insurance needs. Familiarize yourself with federal and state insurance requirements for your business. For example, states require construction companies to carry a certain amount of liability coverage to protect customers.
    • Your commercial insurance should cover your property and equipment in the event of damage.
    • Commercial liability insurance protects a business in the event employees or customers suffer injury or damage on company premises. The business owner must evaluate the risk the company faces and the potential loss that an injury or damage could cause.
  2. Image titled Choose a Commercial Insurance Broker Step 2
    Create a list of insurance brokers offering business or commercial insurance. To make the best decision on the insurance agent you will use for your business, you should seek quotes from several insurance professionals. Explore your options for price and coverage.
  3. Image titled Choose a Commercial Insurance Broker Step 3
    Research an insurance broker before scheduling a meeting. Check with the state to learn whether the broker has the appropriate licenses to conduct business locally. The state can also provide information on complaints against the broker. Ask for references from the broker as well. Any reputable broker can provide the names of clients you can talk to about the broker's business practices.
  4. Image titled Choose a Commercial Insurance Broker Step 4
    Schedule a meeting with a broker to discuss your commercial insurance options. Prepare questions about the liability coverage your business needs and the insurance companies the broker represents. The broker should be able to provide you with reasons for selecting a particular insurer. The broker should be knowledgeable about your liability requirements and other needs of a business in your line of work.
  5. Image titled Choose a Commercial Insurance Broker Step 5
    Review the premium quotes you're given. Consider price, coverage and the professionalism of the broker.


  • Prepare your questions for the broker in advance.
  • Independent brokers do not work on behalf of a specific insurance company and can provide you with several good options.

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Categories: Insurance