Bargaining on the Policy Price

Once you've selected a company or agent that you'd like to go with, you may want to see what you can do about reducing the price you've been quoted. Here are a few tactics that you can employ to get the price down:

These tactics may be more effective with businesses with more than a few employees under the policy. If you only have two or three employees, you may not have much choice but to pay what is quoted.


If you get a really good proposal from a company that offers coverage that's competitive with other plans you've looked at but the price is way below what others have quoted you for the same coverage, you may be getting "low-balled."

Low-balling is a tactic used by some insurance companies and agents to get your business. They will give you an artificially low price just to get your business. It may sound like a good deal, but when you go to renew the policy next year, the price will soar, possibly forcing you to go through the whole process of finding a vendor all over again. Or, in order to avoid that, you may end up paying a lot more than you would have, had you not taken the low bid in the first place.

If it sounds too good to be true, it probably is.