My Business Insurance Was Non-Renewed…What Should I Do? (BE PROACTIVE!)

My Business Insurance Was Non-Renewed…What Should I Do? (BE PROACTIVE!)

When your business insurance policy is non-renewed, it can feel like the rug has been pulled out from under you. Unfortunately, in today’s market, non-renewals are becoming increasingly common. The good news? You do have options.

Here’s what you should know and the steps to take if you find yourself in this situation.

Why Was Your Business Insurance Non-Renewed?

There are two main reasons carriers issue non-renewals:

1. Claims History – If your business has had frequent or severe claims, the insurer may see you as a higher risk.
2. Carrier Appetite – Sometimes, it’s not about you at all. Carriers regularly adjust which industries and risks they cover, leaving certain businesses without renewal options.

Step 1: Ask Your Agent for Clarity

The first thing you should do is contact your agent to ask why your policy is being non-renewed. Understanding the reason will shape your next steps. While rare, you can also ask if there’s a chance the non-renewal could be reversed.

Step 2: Explore New Carrier Options

Your agent should market your account to multiple insurance companies well before your renewal date. If your current agent only works with one carrier (captive) or a direct online insurer, you may be limited. In that case, consider working with an independent insurance agent who has access to more markets and industry-specific carriers.

Step 3: Consider the E&S Market

If standard insurance carriers won’t provide coverage, your agent may recommend the Excess & Surplus (E&S) market. These insurers specialize in higher-risk or unique businesses. While coverage terms may be more restrictive, it’s often the best solution to avoid a gap in coverage.

Step 4: Strengthen Your Risk Profile

Insurance companies want to see that you’re taking proactive steps to reduce risk. If you’ve had claims, demonstrate improvements such as:

• Safety training programs
• Equipment upgrades
• Formal risk management plans

If your claims history is clean, make sure your agent highlights that when presenting your business to underwriters.

Step 5: Review Coverage Carefully

When you secure a replacement policy, compare it against your previous coverage:

• Limits – Are they equal to or better than before?
• Deductibles – Are they manageable for your business?
• Exclusions – Are there new gaps you need to be aware of?

If time is tight, prioritize getting at least basic coverage in place to avoid a lapse. You can always adjust and improve terms later.

Step 6: Think Long-Term

Use a non-renewal as an opportunity to improve your business’s risk profile and strengthen your insurance program. Building a track record of strong operations, safety practices, and a clean claims history can make your business more attractive to carriers in the future.

Final Thoughts

Non-renewals are stressful but not the end of the road. With the right agent and proactive steps, you can secure coverage that protects your business and even come out stronger in the long run.

📞 Need help navigating a non-renewal? Contact us today to discuss your options and protect your business.