Did you hear about the guy who had a helicopter fall on his head?

I bet you are waiting for a punch line – but there isn’t one. I read a snippet in the local news headlines yesterday about a man in British Columbia that had a helicopter fall on his head because he didn’t hear it – apparently he was playing his ipod too loudly.   While a sad and tragic story it does welcome a discussion about knowing your business – knowing your surroundings and always being aware because you never know when something may fall from the sky.

Running a business can be complex filled with rewards and frustrations – when opportunity presents itself, you have to take advantage and act  – giving you an edge against your competition. When branching out into various directions, we often assume that all the bases are taken care of – especially when it comes to your business insurance policy.

Your business insurance policy is a coverage that has to be adjusted and tailored to move along with your business. If your company has been operating as a manufacturer of widgets and decided to expand into warehousing and distributing the complimentary widget to yours, you have altered the nature of your business. Your policy wasn’t designed to insure those operations and in the event of a claim –you would be self-insuring. (not to mention really mad)

For example – a person wouldn’t use a vehicle like a Mini to haul lumber or mortar – it isn’t the right fit.

Annual and semi-annual reviews are essential to maintain properly coverage levels, assess changes in risk class and risk exposure.

The same can be said of your home and personal insurance policies – have you recently completed renovations? Did you just finish your basement and add that new entertainment center  – did you tell your broker?

In the case of a total loss of your home (which is why you have insurance in the first place), the company expects you to rebuild to similar specs to what you lost – or at least what they though you lost. Questions will arise when you request a finished basement and your policy is insured with the understanding that you have an unfinished basement.

Just remember that with everything in life, keep and eye out for risks that you are exposed to and never be afraid to look up.

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