Why a change to your details could change your premium

Here’s some examples of why it could change.

Changes to your business

If you make any changes to your business, you’ll need to update your business insurance. Say for instance, you’ve taken on new staff, bought new equipment or you’ve landed a bigger contract or changed premises, it’s likely you’ll have to pay more for your insurance. Our prices are based on the information that you give us about your business.

Changing your business activities

A change in your business activities could potentially change the suitability of your policy and your premium. Your business activities are driven by your occupation but also your market and demand. say, you’re a plumber and you decide to install kitchens or you’re a gardener who now builds decking, the cost of your current policy might have to change. Here are some key factors that could make your business insurance go up or down:

  • Removing or adding new or additional employees to your workforce
  • Changing or expanding what your business does
  • Changing the machinery and tools you use

Where your business is based

If your business is located in an area or particular postcode where our data shows high numbers of claims, then premiums in your and surrounding area are likely to be higher too. So, it’s doubly good news if you’re moving to an area where we’ve seen fewer claims – it could be a safer place to locate your business, and your business insurance could cost less too!

Increasing your staff

The number of people you employ will have an effect your premium, and that includes anyone you hire on a permanent, part-time, voluntary or contractual basis.

Customer misrepresentation

It’s important to answer questions honestly so we can judge the risks involved, or put plainly, underwrite your policy accurately and charge the correct premium. Sadly, some customers fraudulently answer questions, to get insurance for less – for example, how many staff they have. Giving false information means your policy might be declared void, and we wouldn’t pay out on any claims you make. It also impacts on other customers being charged more to cover costs of investigating invalid policies and paying out on exaggerated claims.


If you make a claim, the price of your insurance won’t change straightaway, you’ll see the increase at renewal. Even if you weren’t to blame, making a claim with any business insurer could put up the price next year, particularly if the amount that was paid to settle the claim couldn’t be fully recovered from who was responsible. Even if you think it could affect your price in future, it’s important you tell your insurer about any damage, accidents, or incidents involving you or your business. Because if you don’t, it could affect your ability to buy business insurance in future.