New Year-Is it possible to be too thin?

by Gretchen Houghton

Resolutions.  Every year it seems there is a huge surge of people that hit the gym to work off the holiday goodies they have been eating as well as everything else the year has added to their waistlines. While there are major health advantages to losing a few pounds, are there areas where it is possible to be too thin?

Yes.  It is possible to be too slim with your company’s insurance coverage.  As litigation increases from year to year and insurers try to cuts costs, more and more policies become too thin and exclude (or simply omit) many different types of coverage.  A simple property exclusion could end in a bad result for a company should there be any damage, and a management liability exclusion could result in personal liability to the individual, creating substantial damage to personal wealth. 

As you plan for the new year and a new budget, it is vital that you take into consideration your insurance coverage and costs. There are a great number of policies out there that do not get reviewed annually and therefore are not keeping up with current legislation and/or price competition in the market.  Some renewals contain exclusions that may not have been in the prior policy.  Many renewals happen without revisions or competitive quotes; they are simply automatic – which could be troublesome if left unchecked. 

It is possible to slim down too much with your insurance policies.  Like our waistlines, we need to keep a close eye on them.  Check with your broker or agent to make sure your coverage isn’t too thin and leaving you cold.