by Michael Rogers of USInsuranceAgents.com
The world currently is at the point where every organization is encouraging business owners to invest in green, eco-friendly businesses. It was set in motion by the need to reduce the world’s carbon footprint. People should learn to think green in any idea they set out to implement. Companies and industries were cited as some of the major contributors to the degeneration of the environment. Some people feel the enormous register of green businesses is just a wave which will die down with the emergence of something else. Ideally, it should not be a wave.
In response to the call to action, to make the world eco-friendly, the government provides tax credits and incentives. Other benefits include reducing water and energy costs for business. Despite the idea having such an important objective, starting a green business has particular advantages and challenges. The most important and beneficial ones are uncovered below:
Insurance premiums.
Since green businesses are now part of the business world, insurers have been forced to come up with policy options, protecting a business going green. Some of the green endorsements provided by insurance companies cover the cost of environmentally certified materials and equipment for commercial properties, whether they were green initially or not. It is a beneficial clause for people with buildings they may want to go green during repairs and equipment replacement. The primary benefit is allowing a business owner to switch up their company to green certification during damage repairs.
Going green is a venture far from being initially cost effective. The insurance policy covers for green business will provide covers for the expensive designs and equipment. It is, therefore, important to consult with your insurance on available coverage. Replacing a green building takes longer than the conventional buildings. Such a time factor will require a business owner to extend the time for business interruption coverage.
Safety and resilience for properties.
Insurance covers for green business require a particular standard of construction so as to provide coverage efficiently. Green properties are built to withstand storms and other weather tragedies. The properties are improved in terms of impact resistant windows, hurricane shutters, reinforced doors and roof traps. Such specifications protect any property from significant damage.
Hybrid vehicle insurance.
Green insurance incentives are in variety. Some insurance companies offer green businesses personal or auto insurance discounts for hybrid vehicles and electric cars. The covers are inclusive of green commercial vehicles. Insurance policies are always being renewed. It is, therefore, important to keep up with the changing trends in covers for green automobiles.
Water conservation systems.
Green certification requires some level of compliance when it comes to water management systems. The systems conserve water and cut down on water costs. Some of the modifications include low flow toilets, creative water-saving landscaping, reusing water and revamping cooling systems.
Solar energy generators.
Most green companies use solar energy generators for backup. Unlike the conventional generators that use diesel, solar generators use clean and safe alternative renewable energy. There are other green generators to choose from such as biodiesel, and hybrid generators.
Customer relations.
Going green is a trend and as such, so many people are following it. Starting a green business means an available target market, which appreciates green efforts. Going green for a business can be in two forms.
- Using recyclable materials, in the business.
- Supporting green movements financially.
It is also important to make an investment in a business that has a higher likelihood of giving returns. People going green are always on the lookout for green products and services.
Healthy working environment.
Businesses with healthy work environments register more productivity than those that are not. Such places people rarely take medical leaves and the business does not have to spend so much on medical benefits, necessary for workers in unsafe environments. A green business can either go organic regarding food or use eco-friendly products.
Tax incentives.
The government provides incentives for businesses going green. They are in the form of tax credits that increase the financial bottom-line. Considered green requirements by the state include
- Use of renewable energy such as solar power
- Electric or hybrid automobiles.
Sadly, some business analysts feel going green is a wave that will most likely be replaced by another concept. Such analysts predict massive losses for all businesses that have identified with just green, when the wave is no longer attractive. Others differ and insist investing in eco-friendly systems is not a trend but a lifestyle requirement.
Michael Rogers is one of the most experienced experts in USInsuranceAgents.com’s team. During the years of professional experience he managed to gain all the necessary qualities that currently make him a unique person who is able both to fulfill the responsibilities of Director of Operation and Insurance Educator.
