The rural life around Murray, KY and the rest of the Jackson Purchase is peaceful and calm. It may not look like a real center for business on the face of it. But with Murray State leading the way, entrepreneurs of all kinds are setting up their operations in the region. Whether your business is a tech startup or a diner serving the local population, it’s a great place to be. To be successful over the long haul, however, every business needs insurance to protect against losses of many kinds. Kentucky small businesses are growing every year, and they need reliable insurance:
- During previous years, there were 340,746 small businesses in Kentucky.
- A total of 686,517 employees worked for small businesses.
- The total liability claims amounted to $3,723,405 in losses.
To find the right Murray commercial insurance, talk to your Independent Insurance Agent. Your agent knows the area and knows the laws that will help you navigate the complex array of options necessary to fully protect your business. A strong relationship with your agent will help the agent understand your business and find the coverage you need. The most important insurance for your business is general liability. This covers you against any claims from people, other than your employees, who are on your property. This coverage is what protects you against any lawsuits stemming from an injury that takes place on your property.
You need to have a solid policy because the liability from any claim based on an incident on your property is nearly unlimited. A recent Travelers Business Risk summary reported that 60 percent of all businesses reported their biggest concern was medical cost inflation, with 30 percent saying that they felt unprepared for this risk. Medical costs related to injury are the main reason why incidents at your location can become very expensive.
Product liability coverage is similar but covers any claims related to your products away from your property. Recently, the Insurance Information Institute found that 71 percent of product liability awards and 53 percent of medical malpractice awards were for more than $1 million. This is much more than any small business can cover by itself and shows why solid liability coverage for both property and products is critical.
Business Interruption Insurance for Murray Businesses
You never know when a catastrophic event may force your business to close for a period of time. The reasons include fire, storm damage, vandalism, water pipe break or anything else that you would reasonably not foresee happening. When you can’t open the doors in the morning, business interruption insurance has you covered. It is based on the revenue you would have received if you had been able to open, estimated from your history. This is essential to maintaining your business through the worst times and seeing it through to better days ahead.
Property Insurance for Murray Businesses
Beyond being covered for the times when your business can’t operate, you have to have insurance to put it all back together again – as quickly as possible. Coverage for your property is essential, especially in a place like Murray, where tornadoes and other storms can put you out of business without much notice.
There were 119 natural disasters across the U.S. in recent years, but only 61 percent of the resulting damage was covered by insurance. A staggering total of $9.7 billion in losses had to be covered by the business owners themselves. That is more than an expense that many small businesses can’t handle on their own – it may be the difference between a business coming back after the storm and not. This is why a good insurance policy that covers your property is critical in Murray.
Workers' Compensation for Murray Businesses
Kentucky state law requires “workman’s comp,” as workers' compensation insurance is commonly known. This covers your employees’ expenses when they are injured on the job, regardless of whether they were from a single incident or over a long time. Workman’s comp pays them based on the wages they cannot earn when they are unable to work for a period of time.
Across the U.S., the average cost of workman’s comp is $1.27 for every $100 in wages in recent years, which is an average of $612 per employee. The cost of workman’s comp premiums is based on the work that employees do, taken from tables assembled from data acquired from similar businesses. A new business has to pay the premium listed in the tables, but once you have a claims history. this is adjusted to reflect your business.
Employee Coverage for Murray Businesses
Employee-based insurance is more than just workman’s comp. There are many other kinds of insurance that you may want or need for your employees:
- Health plan insurance: This is now required by law for companies with 50 or more employees. Even if you don’t have a business this large, you may want to provide this as an option for your employees.
- Life insurance: It’s important to cover your most important employees should something untimely happen to them. They may also want to at least be able to buy into protection for their families through your business as well.
- Disability insurance: This is like life insurance, but it pays out when an employee cannot work anymore for any reason.
Kentucky ranked 25th nationally for health insurance premium spending by small businesses, precisely average. The total cost came to $697,974,000 for employee coverage alone. The average spent for health care coverage on a single employee by businesses in Kentucky in recent years was $5,077 and for a family, $15,463. The cost to your business may vary quite a bit from this based on whom you hire – their ages, lifestyles, smoking and many other considerations. Making sure you have the best employee insurance for your situation is one of the many reasons why a close relationship with an Independent Agent is vital.
Cyber Crime Insurance for Murray Businesses
Of all the protection that you may think of for your business, one that may not have made your list is protection from cyber crime. Yet there is a growing need for protection from the liabilities of cyber crime very year. Identity theft is not a major problem in Kentucky, ranking 43rd overall for these kinds of crimes. Despite this, there were still 2,358 reported cyber crimes in recent years. The right policy makes all the difference to protect you from this growing threat.
Whether you are a new small business or an expanding one, contact your Independent Insurance Agent for all your Murray business insurance needs. An agent will get to know your business and put many years of experience to work to find the insurance that will keep you in business. By obtaining multiple quotes, your agent can also help you compare options and find the best price. A close relationship with your agent is critical for any business.