Maritime Employers Liability Insurance (MEL) is a specialized form of insurance coverage that is designed to protect employers in the maritime industry from liabilities and damages that may arise from the work-related injuries or illnesses of their employees. While MEL coverage is a vital form of protection for employers in the maritime industry, it can also be a significant expense. Fortunately, there are several ways to save on MEL insurance premiums while still maintaining adequate coverage. In this blog, we'll discuss some of the most effective ways to save on MEL insurance costs.
Work with an experienced insurance broker
An experienced insurance broker who specializes in MEL insurance can help you find the right coverage at the best price. They can help you assess your risks and exposures, identify any gaps in your coverage, and negotiate better terms with insurers.
Implement a comprehensive safety program.
Implementing a comprehensive safety program can help you reduce the frequency and severity of work-related injuries and illnesses, which can result in lower MEL insurance premiums. Your safety program should include regular safety training, hazard identification, and mitigation, incident reporting and investigation, and ongoing safety audits.
Maintain a good claims history.
Maintaining a good claims history is critical to securing affordable MEL insurance coverage. Insurers use your claims history to determine your risk level and set premiums, so it's important to take steps to reduce the number and severity of claims. This includes implementing a robust safety program, addressing safety concerns promptly, and thoroughly investigating and documenting any incidents.
Consider higher deductibles
Increasing your deductibles can help you reduce your MEL insurance premiums. However, it's important to weigh the cost savings against the potential financial impact of a higher deductible in the event of a claim.
Shop around for coverage
Shopping around for coverage can help you find the best rates for your MEL insurance. It's important to compare the coverage, limits, and deductibles offered by multiple insurers to ensure you're getting the best value for your premium dollars.
In conclusion, MEL insurance is a critical form of protection for employers in the maritime industry, but it doesn't have to break the bank. By working with an experienced insurance broker, implementing a comprehensive safety program, maintaining a good claims history, considering higher deductibles, and shopping around for coverage, you can save on MEL insurance costs while still maintaining adequate protection for your business.