Maybe you work for yourself, or maybe you’re employed by a huge multinational business. In either case, there are plenty of rewards to be had in saving cash. If you work for yourself, you will find that any money you save will come back to your own pocket. Any savings you make will ultimately be making their way into your personal salary at the end of the year.
As an employee, there are also a number of benefits. You will generally find that your bosses will be impressed with any ways you can find to save their business money. You will find that there are promotions and raises to be had as a result of proactive behaviour. And therefore you will find that saving money for your employer is truly worth your while.
One of the largest costs of any modern business is insurance. Whether you’re a simple administration company or an international logistics operation. You will always find that insurance is a key outgoing cost of your day to day operations. It is therefore one of the easiest areas to target as you begin looking to save money.
You should be doing this in any number of ways. First of all you should be thinking about the ways to inspire those below you to have the same concern that you do. An incredibly popular means of achieving this is by creating an office space that is open and shared. Many new businesses are favouring open place offices in place of the cubicles that went before them.
The idea behind this is to create a shared space where communication will happen naturally and informally. In an atmosphere such as this, it is easier to implement a larger money-saving drive within your business. You can make saving cash a shared mission that is a part of your company’s mission statement. And you can easily direct a particular initiative to engage with insurance costs.
Once you’ve inspired everyone else to work along the same lines as you, you can look into the particularities of saving ideas. And with the support of a team, you will be able to more thoroughly brainstorm concepts. You personally might have struggled to come up with a way to keep new insurance costs for the new company fleet down. But if you have a whole team at your disposal you can discuss their ideas. You may have been looking to insure the whole fleet with a corporate insurer, but they may point you to Auto trader trucks. In this instance you would save a fair bit of money by exploiting the personal expertise of your employees, rather than simply buying the insurance wholesale at a huge cost. They will have been helped by you to suggest their own practical insurance saving projects. By motivating them and enabling an open space for ideas, you will all be responsible for the great savings.
But there are plenty of other ways to lessen your insurance costs at work. Whether you’re looking into insuring vehicles, operations or buildings you should be looking to reduce the room for risk. Insurance is predicated on the idea of risk. If there is a higher risk that something will go wrong, then there is a higher chance that you will need to make a claim. And if there’s a higher chance that you will be making a claim, then there is a higher chance that the company will pay out. The more risk there is in a business, the more expensive their premiums will be.
So cut down on the premiums by finding ways to cut out risk. Maybe insuring your fleet for the entire business will not make sense, as some drivers will be inexperienced and hold a poor record. In a case such as this it is worth thinking about how to use a policy differently. Maybe it is worth hiring a driver, as the insurance will go down enough for you to pay him a part of the difference. If an operation is high-risk then you should be thinking about how to cut out that risk in general, as that is also risk to your profit.
You should also be thinking about the ways by which you can change your insurance coverage. It will often be the case that an insurance company will try to sell you comprehensive coverage through scaremongering tactics. They will emphasise the disaster that it would be to you and your business if something happened and you were not insured for it. That may be right, but you need to be thinking about insurance objectively. Yes, the companies do have to accept a level of risk, but they also have to make a profit. They do this by selling you things that you don’t need, and comprehensive insurance can often be a part of this.
Be objective and think about what is a plausible risk to your company. Think about what disasters have ever befallen you, and think about whether they are likely to happen again. If you are paying a premium for insurance that covers an event that will never happen, then you have fallen for the scaremongering tactics of the insurers.
This points to a general philosophy around insurance, and one that should be present in your work and home life. You should be thinking objectively rather than emotionally. Everyone wants peace of mind when it comes to being insured, and in many ways this is exactly what insurers are counting on. If you can motivate yourself to begin looking to insurance for savings, then you will be on the first step to cutting down on your outgoings. If you can create and atmosphere that motivates your coworkers to do the same, then you will be well on your way. If you then spark an initiative to have them pile in their own ideas, then you will have some viable first steps. And if you can cast off the temptation to think emotionally then you will be sure to succeed.