Union Business Insurance

Complete Guide to Union, NJ, Business Insurance

Wholesale flower shop led by young business owner

The birthplace of Mallomars, Union City is a great place to own a business. In fact, Bergenline Avenue, which runs the length of this city, is the longest commercial avenue in all of New Jersey. More than 300 stores, restaurants, and other businesses can be found lining this bustling street. Business insurance helps to keep these enterprises profitable.

Independent insurance agents can help you identify the risks that are unique to your particular business and can recommend the appropriate insurance products to cover against them. Find an insurance agent near you for help building a comprehensive, yet affordable, business insurance policy package for your company.

Does Union City Business Insurance Provide Liability Protection?

When you consider that liability lawsuits against businesses frequently result in judgments exceeding $1 million, it is easy to see why liability coverage is one of the most important parts of every business insurance policy.

All business insurance policies include commercial general liability insurance (also referred to as CGL). CGL insurance includes two main coverage components:

  • Premises liability insurance: This covers third-party injuries, illnesses, or property damage if they occur as a result of an accident on your business property. 
  • Product liability insurance: This covers your Union City business if products you produce, sell, or promote cause injuries, illnesses, or property damage to others.

CGL coverage alone is not enough to fully shield most businesses from all of their liability risks. Your insurance agent can help you determine whether additional commercial liability coverage products are a good fit for your company.  Some liability insurance products your agent may recommend include:

  • Professional liability insurance:  This covers individuals in professional positions against damages they may cause to others due to errors in judgement and other professional mistakes. This can cover several kinds of professionals ranging from real estate agents to doctors.
  • Employment practices liability insurance: This covers a business in the event that a current or former employee accuses the company of engaging in illegal business practices such as harassment, discrimination, retaliation, or wrongful termination.
  • Cyber liability insurance: This covers businesses that store customer information electronically in the event that there is a data breach and sensitive customer data is accessed by hackers. It can pay for damages as well as provide restitution to those affected.
  • Environmental liability insurance: This covers business that use or produce toxic substances. It helps cover the cost of restitution and cleanup if an accident results in these substances polluting the land, air, or groundwater.
  • Liquor liability insurance: This covers businesses that sell or serve alcoholic beverages if they are named in a liability lawsuit related to injuries or damages caused by an intoxicated patron.

Having the right kinds of coverage will ensure that your business is suitably protected against all its potential liability risks. Talk to your local insurance agent to learn more about these and other commercial liability products.

Does Union City Businesses Insurance Offer Property Coverage?

Hazards such as property crimes, accidental fires, and severe weather events can cause damage to your business-owned property. That is why all business insurance policies include commercial property insurance.

  • Number of federally declared disasters in New Jersey since 1953: 51
  • Most common reasons for declared disasters in New Jersey: Severe storms and hurricanes

Commercial property insurance is designed to cover business-owned property such as computers, tools, machinery, inventory, and office furniture. If this property is lost or damaged by a covered event, your insurance company can provide your business with compensation that will enable you to repair or replace these items.

Sometimes certain business property requires specialized property coverage such as inland marine insurance, contractor equipment insurance, or boiler & machinery insurance. Your insurance agent can advise you about any specialized coverage that may be relevant to your business.

It is important to note that even though hurricane damage is typically covered by commercial property insurance, flood damage is not.  This is true even if the flood is the direct result of a covered hurricane. If your business is at risk, your local independent insurance agent can also help you obtain a commercial flood insurance policy through the National Flood Insurance Program (NFIP). 

How Does Business Interruption Insurance Help Union City Businesses?

What if there was a fire at your place of businesses and the building and its contents were damaged by fire, smoke, and firefighting efforts? Or what if a severe storm led to long-term road closures and electrical outages? 

While your policy’s commercial property insurance could cover the cost of replacing lost or damaged items, your business may need to remain closed for a long time while repairs are made. Can your business finances handle the long-term lack of revenue? These are the times that business interruption insurance can prove vital.

Business interruption insurance is designed to provide your company with a continuation of income during times that it must shut down for an extended time due to damages caused by covered event.  It enables your business to continue to pay regular expenses, such as loan installments and employee salaries, until normal operations can resume.

Do All Union City Businesses Need Workers’ Compensation Insurance?

In New Jersey, nearly all businesses that have employees are required to carry workers’ compensation insurance. There are a few exceptions. For example, it is not necessary to cover sole proprietors with no employees or workers who are already covered under federal protections (such as railroad workers).

Workers’ compensation insurance is designed to cover the costs associated with injuries or occupational illnesses that your employees may suffer while doing their jobs. It can cover medical treatments, follow-up care, disability payments, and, in the worst cases, provide survivor benefits to family members following an employee’s death.

Workers’ compensation insurance protects your employees’ finances while shielding your business from liability lawsuits. Rates for this coverage vary according to the risks associated with the jobs your employees do. Therefore, it will be far more expensive to insure a roofing contractor than it would to cover a waitress at a diner.

Polices can be purchased through a commercial provider or, with approval, businesses may self-insure. 

What about Insurance Products to Include in Employee Benefits Packages?

Even though providing your employees with subsidized health care coverage can be expensive, it can have money-saving advantages for your business. Human resource managers have demonstrated that offering your employees benefits such as life insurance and health insurance can help you attract and retain a team of highly talented workers.

  • Average amount spent on healthcare coverage by NJ businesses: $1,568,586
  • Ranked 3rd for highest medical insurance costs in the US
  • Average annual cost of healthcare in NJ: $6,086/person or $17,530/family

There are many different types of coverage available. With the high costs associated with these insurance products, shopping for a suitable coverage can sometimes be daunting. So how do you go about finding the best and most affordable insurance policies for your workers?

Your local independent agent can offer trustworthy advice and can explain the pros and cons of your various options. That way, you can make an informed decision when purchasing coverage.

Why Work with an Independent Insurance Agent in Union City, NJ?

Building an all-encompassing business insurance policy for your Union City business can be complicated.  This is especially true for those who are unfamiliar with the ins and outs of commercial insurance products. 

Independent agents make shopping for coverage easy. These agents can help you identify the various risks faced by your business and can ensure that you have the right policies in place to protect your business against them. Contact an insurance agent in or near Union City to get more information and to start comparing customized quotes for business insurance.

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