Top Business Insurance Questions People Ask biBerk

You can get fast support online. You can also call 1-844-472-0967. 

In a nutshell, business insurance is coverage that protects your company from unexpected losses and expenses that can result from things like lawsuits, accidents, and property damage. 

At biBerk, we offer different policies for different risks. For example, a commercial auto insurance policy provides protection from liability from using company-owned or leased vehicles. It can also cover the cost of damage to your vehicles. General liability insurance is another type of policy most small businesses need. It covers many risks, including things like lawsuits over non-employee slip-and-fall injuries and accidental damage to customer property. A professional liability policy can protect your company if a client says you made mistakes in your professional advice or services that caused them financial harm and they sue. These are just a couple of examples. biBerk offers coverage for every common business risk.

Your business insurance requirements are based on things like the type of work you do, legal mandates in your area, and other factors. Our licensed insurance professionals are experts at helping companies understand their insurance needs, and they’re happy to answer questions or offer recommendations. It’s also a good idea to reach out to government agencies in your area to learn about mandatory coverages. 

Multiple factors affect the cost of business insurance, including the type of policy, your company’s industry, size, claims history, and others. You can find out what you’ll pay for a particular type of coverage by getting an instant, self-service, online quote whenever it’s convenient for you.

An audit is a review of your business operations that determines if you paid the correct amount for your policy coverage. It may be required for the completed coverage period and to maintain your policy. The law requires an audit of workers’ compensation policies when the coverage period ends. An audit may be required to renew professional liability (errors & omissions) insurance, general liability insurance, or a business owners policy (BOP).

Audits happen after your workers' comp, professional liability, general liability, or business owners policy coverage period. We’ll email you when your coverage period has ended with information on the audit process, including the documents needed and steps to take. We do all we can to make the audit process understandable, quick, and efficient.

When your original policy was written, the calculated premium (the amount you were charged) was based on estimated payroll, exposures, revenue, and employee classifications that need to be verified after your coverage has expired (or upon cancellation). Your participation in a premium audit may be required by state law. The process is a way to review your records and operations to determine the actual risk exposure and make any necessary adjustments to the premium charged.

For example, let’s say you own a small coffee shop and are nearing the end of your workers’ compensation coverage period. When you started your policy, you estimated you would have $150,000 in payroll for the year. The premium you paid for the year was based on that figure. It turned out to be a slow year, and you only paid $120,000 over the policy period. We will actually cut you a check because you overpaid for your workers’ compensation insurance. If, on the other hand, you had a higher payroll than expected, you could be required to pay the difference between your estimated and actual insurance premium.

If your policy requires an audit, we will mail and/or email you after your coverage period has ended with information on the audit process, including the documents needed and steps to take.

We’ll need you to complete our online audit form or the paper form mailed to you when each policy period ends. Then, you’ll need to submit the following documents:

• Payroll records over your policy period
• Tax/reconciliation documents if you had employees:
  • Federal Quarterly Tax Returns (IRS Form 941)
• Tax/reconciliation documents If you did not have employees:
  • Profit & Loss Report or General Ledger over the policy period
• If you made payments to subcontractors/independent contractors (non-employee labor):
  • Transaction report over the policy period showing payments to each subcontractor/independent contractor
  • All 1099 NECs (Non-Employee Compensation) issued in most recent calendar year
  • If the subcontractors/independent contractors had their own workers’ compensation insurance, their Certificates of Insurance (COI)

If you don’t submit these documents by the requested date, your premium may increase.

Yes, policy audits are required in any situation where workers' compensation coverage has begun—even if coverage ends prematurely for any reason.

If you don’t participate in the required audit, we have no choice but to estimate your payrolls. That will result in a substantial increase of 100% or more of your original premium. We’re also required to report to your state agency that you didn’t comply with the audit process.

The time it takes us to complete an audit depends on the nature of your business and coverage. You can streamline the process by having your documents prepared before the end of your policy period.

A premium in insurance is the amount you pay on a regular basis, either monthly or yearly, to maintain coverage for your business. It’s important to pay your premium (manually by making a payment or by signing up for Autopay so that you always have coverage.

Generally speaking, your premium is based on the size of your company, your industry, claims history, and other factors. For a worker’s comp policy, your premium depends on your rate and class code, which categorizes job risks. The class code sets the rate for every $100 of your payroll, multiplied by your premium basis. A year-end audit (typically required by law) ensures accuracy. Other factors that can influence your premium are state surcharges, a minimum premium, and your claims history.

We estimate your premium based on current payroll, but adjustments may be necessary at year-end due to business changes. These include hiring, termination, overtime, raises, and job function changes. If you overpay, you get a refund. If you didn’t pay enough, we bill you for the difference.

To make an online payment, log into our payments page using your policy number and associated phone number. It’s quick and easy!

Changes to your coverage (adding or removing a vehicle or driver to your commercial auto policy, for example) can affect your policy premium. Whenever your policy is changed, you’ll receive an email notification.

Updates to your policy may affect your premium. We'll provide information about changes to your coverage and premium after the review period.

To review your premium and due date, log into our payments page.

It may impact your premium since all insurers consider claims history when setting new and renewal premiums. 

Renewing a policy is easy—just make a payment during the new policy period. If you're signed up for Autopay, policy renewal happens automatically. Please note: You may be required to pay outstanding fees to renew.

It can. Changes to premiums may be necessary because:

• Your business operations change. If you modify the products or services you offer or your business grows, your premiums may change.
• Your policy or claims history changes. If you file claims or modify your coverage in some way, your premium may change. 
• The business environment changes. Conditions like inflation and others can make premium changes necessary for the continuation of adequate coverage.

Updates like mid-term policy changes may affect your premium. We'll provide details when you request a policy change. 

That depends on the type of insurance. For example, audits are often mandatory for workers' compensation, professional liability, general liability, and business owners policies. Audits aren't a requirement unique to biBerk. In fact, they're required by law for specific policies, regardless of the insurer.

Manual payments are subject to installment fees. To avoid installment fees and missed payments, we recommend enrolling in Autopay. Autopay saves you time and money and ensures you have continued coverage through automatic renewals upon successful payment. It’s easy to set up and use this feature.

If you're enrolled in Autopay, your policy will automatically renew at the end of your coverage period when we receive your payment. Visit the Autopay login page to enroll in Autopay or update your automatic payment method.

If you're not enrolled in Autopay and your policy is eligible for renewal, you'll receive a billing notice 30, 60, or 90 days in advance of the new policy’s effective date. You have to make the required down payment in advance of the renewal policy’s effective date.