Opposite Day: Make These Changes to INCREASE Risk at Your Small Business

Topics: Small Business

Every year on January 25, people around the nation celebrate Opposite Day, or National Opposite Day, by doing things in a way that conflicts with how they are usually done. For instance, eating dessert before dinner or wearing shoes on the wrong feet. Or, saying the opposite of what is meant – yes means no, left means right, keep talking means be quiet, goodbye means hello – you get the picture.

Small Business Insurance Tips for Opposite Day

opposite day small business tips

If you’re a prankster at heart, then Opposite Day is the holiday for you! To keep in the spirit of the day, we’ve compiled a list of Opposite Day “tips” small businesses should keep in mind to help them manage risk. However, each tip explains why you should do the exact opposite of what is listed.

Opposite Day Tip #1: Don’t Customize Your Insurance Coverage with a Businessowners Policy

Reality: If you’re a small- to medium-sized business, a businessowners policy, also known as a BOP, can help protect your company from a variety of risks, saving you from financial losses while also improving your overall stability. The benefit of bundling these coverages into one businessowners policy is that it is usually less costly than buying each type of coverage separately. Additionally, you might also find having one BOP to review helps save you time and ease confusion, with less documents to keep track of for reference.

Opposite Day Tip #2: Do Not Implement a Loss Control Program

Reality: Reducing risk at your small business is key to your success. This is why it’s so vital to implement loss control best practices designed to keep your employees and/or your customers safe, as well as to protect your business assets. A robust loss control program helps manage and reduce risks that allow your business to save on its bottom line, decreasing hazards that can lead to workers’ compensation claims.

Opposite Day Tip #3: Keep Thinking a Data Breach Can’t Happen to Your Small Business

Reality: Risks for a data breach at organizations of all sizes continues to rise with each passing year. In fact, 2017 was a record-setting year for data breaches, with a total of 1,579 breaches, a number that rose 44.7 percent from 2016. By October 2018, 4.5 billion records had already been compromised. For this reason, small- to medium-sized companies should not only create a data breach policy, but they should also have cyber liability insurance to keep them protected from potential financial loss and other damages that come with cybersecurity attacks.

Opposite Day Tip #4: Ignore the Benefits of Carrying Workers’ Comp Coverage

Reality: Workers’ comp provides payments to most types of employees who get injured on the job, regardless of who may be at fault. Every state has its own workers’ compensation laws and programs, so if you aren’t sure what’s required by law for your specific location, visit the U.S. Department of Labor’s State Worker’s Compensation Officials page. Workers’ compensation coverage protects an injured employee in a broad range of situations, covering both short- and long-term issues due to legitimate workplace accidents or carelessness, paying for medical care and related costs, retraining and lost wages until the employee can return to work. It also provides compensation if the employee suffers permanent disability.

Opposite Day Tip #5: Trust Your Employees Will Never File a Lawsuit Against Your Company

Reality: The threat of being sued is possible for any business, large or small. And, smaller and mid-size organizations may not have the means to dedicate an entire department to employment practices like a larger corporation. Employment practices liability insurance can help cover your business from some of the most common types of charges an employee may make, such as alleged discrimination, sexual harassment and retaliation, emotional distress, defamation of character, or wrongful termination or demotion. The policy will apply to all employees of an insured business, from full-time employees to temporary, seasonal, independent contractors and part-time employees.

Small Business Insurance Solutions from AmTrust Financial

AmTrust-appointed agents have the experience and knowledge your small business needs to ensure its success. For more information about our small business insurance solutions, please contact us today.

This material is for informational purposes only and is not legal or business advice. Neither AmTrust Financial Services, Inc. nor any of its subsidiaries or affiliates represents or warrants that the information contained herein is appropriate or suitable for any specific business or legal purpose. Readers seeking resolution of specific questions should consult their business and/or legal advisors. Coverages may vary by location. Contact with your local RSM for more information.

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