In 2008, 258 Nebraska businesses filed for bankruptcy. Many of these bankruptcies could have been avoided if the companies had been covered by suitable insurance. As a business owner in Seward, you can protect your company by backing it up with a comprehensive business insurance plan.
Building a business insurance policy package can be complicated, but you do not need to figure it out on your own. Independent agents can help by identifying all of your company’s specific risks and exposures and then finding the best and most affordable policies to cover each of them.
Set up a one-on-one consultation with an independent insurance agent near you to get more information and you can soon be comparing customized business insurance quotes.
Why Is Liability Insurance Important for Businesses in Seward, Nebraska?
We live in a litigious society, so it is a good idea to be prepared for the possibility that your business may one day find itself on the wrong end of a liability lawsuit. Even if the courts ultimately rule in your favor, these lawsuits can grow quite expensive by the time you have paid your lawyers.
That is why commercial liability insurance is arguably one of the most important parts of every business insurance policy package. This insurance is designed to cover court costs, legal fees, damages, and other related expenses if your company is sued for a covered event.
There are several different liability insurance products available. You will need to be certain that you have the right kinds of coverage in place to protect your business against each of its liability exposures. A local independent agent can help by identifying your company’s potential liability risks and recommending the appropriate types of policies to cover against each of them.
The following are examples of some of the many types of commercial liability coverage you may want to consider for your Seward business.
- Premises liability insurance: This covers third-party injuries, illnesses, and property damage that occurs due to incidents on your business property for which your company can be held responsible.
- Product liability insurance: This covers third-party injuries, illnesses and property damage that is caused by defects or design flaws in products your business produces, sells, or promotes.
- Commercial vehicle liability insurance: This is mandatory if your business owns and operates vehicles. It can protect against the increased liability costs your business faces if one of your drivers causes a collision while operating a company-owned vehicle.
- Cyber liability insurance: This is ideal for businesses that store sensitive customer information electronically. It can cover your business’s financial obligations and liabilities if criminals access your company’s computer systems and steal information such as your clients’ financial or personal details.
- Employment practices liability insurance (EPLI): This is ideal for any business that has employees. It can cover against accusations of illegal employment practices such as harassment, discrimination, retaliation, and wrongful termination.
- Pollution liability insurance: This is ideal for businesses that sell, use, or produce toxic substances. It can cover cleanup costs and damage if an accident or disaster leads to these substances getting into the environment and polluting the ground, water, or air.
You can learn more about these and many other commercial liability coverage options by consulting an independent insurance agent in Seward.
Can Seward Business Insurance Cover All Your Business Assets?
Commercial property insurance is designed to pay for loss or damage to your business-owned property such as computers, tools, machinery, merchandise, inventory, office furniture, supplies, and outdoor signs provided the damage is caused by a covered event.
In Seward, businesses are most likely to experience property loss or damage due to accidental fires, wildfires, property crimes, and severe weather events like electrical storms, windstorms, tornadoes, hail, heavy snows, ice accumulation, and freezing temperatures.
Fortunately, all of the hazards mentioned above are covered by commercial property insurance.
Sometimes, it is necessary to also carry specialized property insurance policies in order for your company’s assets to be fully covered. Your insurance agent may recommend that you supplement your commercial property with products such as these below.
- Commercial flood insurance: This is important because flood damage is not covered by commercial property insurance. Businesses located near waterways like Big Blue River and Plum Creek are most at risk, but when heavy rains fall, drainage systems can become overwhelmed and flash flooding can occur just about anywhere in this city. Fortunately, business owners can purchase up to $500,000 in both structural and contents coverage with an affordable policy through the National Flood Insurance Program (NFIP). A local independent insurance agent can show you how.
- Inland marine insurance: This is important if your company owns expensive portable property. It is can cover these items whenever they are being transported to or from another location or are being temporarily stored away from your place of business, such as at jobsite or in a warehouse.
- Bailee's insurance: This is important if your company performs services like alteration, maintenance, or repair work on expensive items owned by your customers. It is designed to cover loss or damage to your customers’ property whenever it is in your business’s custody, care, or control.
An independent insurance agent can help you be sure that all of your business assets are appropriately covered, and that your coverage limits are high enough to enable you to rebuild, repair, or replace, if necessary.
How Can Business Interruption Insurance Can Help Seward Businesses?
The risk of tornado activity in the Seward area is 110% greater than the national average. One of the worst to strike in the area was an F4 twister that touched down less than 5 miles from the Seward city center in 2001. This tornado caused about $1 million worth of damage to area homes and businesses.
Major disasters like tornadoes and structure fires can do more than just damage your business property. They also have the potential to force your company to remain closed for an extended time while repairs are made.
Disasters in Nebraska
- Number of federally declared disasters in NE since 1953: 72
- Most common reasons for declared disasters: Severe storms, floods, and wildfires
- Average number of tornadoes in NE per year: 57
- Amount paid out in business insurance claims in NE in 2019: $3,632,370,000
A closure that lasts for weeks, or even months, can be financially devastating for businesses, especially small companies that don’t have a lot to fall back on. Business interruption insurance was designed to provide a solution to this problem.
Business interruption insurance can provide your company with a continuation of income during the times it must endure a forced long-term closure due to damage caused by a covered event. That way, your business can afford to keep paying regular monthly expenses such as rent, utility payments, loan installments, and employee salaries even while it is temporarily unable to generate revenue.
Talk to a local independent insurance agent for help determining whether business interruption insurance is a good fit for your Seward business.
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Do Seward Businesses Need Workers’ Compensation Insurance?
Employees sometimes get injured on the job. If this happens at your place of business, workers’ compensation insurance can protect your company against potential liability lawsuits.
Workers’ compensation insurance is designed to cover the cost of medical treatments, disability pay, and other expenses related to workplace injuries and occupational illnesses. If a work-related injury is fatal, this insurance can also provide long-term benefits to surviving family members
In the state of Nebraska, all businesses and contractors with at least one employee are required by state law to have workers’ compensation insurance.
There are a few exceptions. For instance, it is not necessary to purchase coverage for sole proprietors, federal employees, railroad workers, independent contractors, domestic servants, certain employees of agricultural operations, and most volunteers.
The cost of workers’ compensation is based mainly on the number of employees you have and types of jobs they do. The more likely they are to suffer significant injuries on the job, the higher the price for coverage will be. Therefore, it would cost more to cover a worker at a pet food manufacturing plant than it would to cover an instructor at Concordia University.
A local independent agent can help you compare rates from a few competing providers so you can be sure you are getting this mandatory coverage at a competitive rate.
What about Insurance Products for Employee Benefits Packages?
Studies done by human resource professionals have shown that when businesses offer competitive employee benefits such as employer-matched 401(k) or 403(b) plans, paid vacation and sick time, life insurance, and health insurance, they find it easier to recruit and retain a talented pool of employees.
When you put together an employee benefits package, you will find that there are many different health insurance products available for you to choose from. For instance, health insurance policies may be HMOs, PPOs, or managed care plans, and can have varying copays, deductibles, prescription plans and coverage levels. This can make it difficult to determine which policies make the best choices.
A local independent agent can explain the pros and cons of each of your options so that you are best able to make an informed decision. Your agent can also obtain a variety of policies and rates that you can review and discuss together. That way, you can be sure that no matter which plan you choose to go with, you will be getting it at a good price.
Why Work with an Independent Insurance Agent in Seward, NE?
When you are looking for appropriate coverage for your Seward business, an independent insurance agent can save you time and money. Unlike shopping around online, when you work with an independent agent, you can get personalized guidance and advice as you build your business policy package.
Because they are not tied to a single insurance company, independent agents can shop around to help you find the best and most affordable insurance policies to meet all of your company’s coverage needs.
Find an independent insurance agent with an office near you to learn more. You will soon discover how easy it can be to build a comprehensive and competitively priced business insurance policy package.