The most recent US census shows that there are more than 81,000 businesses in the state of South Dakota, and nearly 1,500 of these businesses are in the small city of Pierre. The most common industries in Pierre are public administration, healthcare, educational services, and construction. Whatever type of industry you operate in, you can protect your investment with business insurance.
A local independent insurance agent can help you build a commercial insurance plan that will provide suitable coverage against all of your company’s potential risks. Contact an insurance agent near you to learn more and to start comparing customized quotes for business insurance.
Why Do Businesses in Pierre Need Liability Insurance?
Liability lawsuits against companies often result in judgments exceeding $1 million. That is why liability insurance is a crucial part of every commercial insurance policy. This insurance can cover the various expenses related to these lawsuits including court costs, legal defense fees, and damages.
All business insurance policies include commercial general liability insurance (“CGL”). CGL has two main coverage components: premises liability insurance which covers third-party injuries, injuries, and damages that occur on your business property, and product liability insurance which covers third-party injuries, illnesses, and damages caused by products your company produces, sells, or promotes.
Most businesses will need to carry additional liability policies in order to be fully covered against all of their liability exposures. An independent insurance agent can make recommendations about which of the many other commercial liability insurance products are right for your particular business. Examples of other liability policies your agent may discuss include:
- Cyber liability insurance: This covers your business if hackers break into your computer system and steal customer data like credit card numbers, social security numbers, or personal data.
- Pollution liability insurance: This covers your business if an accident involving toxic materials used or produced by your company pollutes the land, water, or air.
- Employment practices liability insurance: This covers your business against accusations of illegal practices such as discrimination, harassment, and wrongful termination.
- Professional liability insurance: This covers individuals in professional positions if negligence, errors in judgment, or other mistakes lead to third-party damages.
Talk to your local independent insurance agent to learn more about these and the other commercial liability insurance products that are available to you.
How Does Property Insurance Protect Pierre Businesses?
Commercial property coverage is another major part of every business insurance policy. It is designed to cover loss or damage to your company-owned assets. Hazards your Pierre business may face include accidental fires, property crimes, severe storms, and other serious weather events. A major disaster like a tornado or fire can cause an excessive amount of destruction. It is therefore important to be sure that your coverage levels are high enough to enable you to repair, rebuild, or replace damaged property without your Pierre business experiencing a large financial loss.
Also, be aware that if the Missouri River overflows its banks and your business sustains flood damage, your business insurance will not cover the resultant damage. You will need a flood insurance policy in order to be covered. Fortunately, your local insurance agent can help you supplement your business insurance with an affordable commercial flood insurance policy.
Is Business Interruption Insurance a Good Idea in Pierre?
A major disaster, like the EF2 tornado that touched down in Pierre in 1993, can force you to shut down your business for weeks, or even months, while repairs are made. Business interruption insurance provides your company with a continuation of income during such times.
This optional insurance enables you to have the income you need to cover your monthly expenses, loan installments, employee salaries, and other regular business expenses until you are able to resume normal operations. Most policies will provide this coverage for up to twelve months. Business interruption insurance isn’t a good fit for all businesses. A local independent insurance agent can help you evaluate whether or not is it is right for you.
Do Pierre Businesses Need Workers’ Compensation Insurance?
Workers’ compensation insurance is designed to cover the cost of medical treatments, follow-up care, prescriptions, lost wages, and other expenses related to injuries or illnesses as a result of work activities. Rates for this coverage are based on how dangerous the work is that your employees do. Therefore, a construction worker would cost far more to insure than a clerical worker. The state of South Dakota requires all employers to carry workers’ compensation insurance. There are a few exceptions, however. It is not necessary to cover:
- Sole proprietors and partners
- Farm and agricultural workers
- Domestic servants working less than 20 hours per week
- Independent contractors
- Real estate agents
Unless your employees fall under these exceptions, you will need to purchase coverage to remain compliant with the law. A local independent insurance agent can help you obtain a competitively priced policy through a commercial provider.
What about Employee Benefits for Businesses in Pierre?
- Average amount spent on healthcare coverage by SD businesses: $94,000
- Ranked #1 for most expensive medical insurance costs in the US
- Average annual cost of health care in SD: $6,331/person or $15,780/family
There is no denying that subsidizing health insurance coverage for your employees is expensive. However, many small businesses that do so qualify for tax deductions, and there are cost-saving benefits as well. For example, studies done by human resource professionals have demonstrated that businesses that offer attractive benefits packages are more likely to recruit and retain ideal employees. It has also been shown that workers who have access to healthcare use fewer sick days than those who do not.
If you are interested in purchasing health or life insurance for your employees, an independent insurance agent can help you find good coverage at a competitive price. There are several different healthcare policy types for you to choose from, so you may find it beneficial to receive guidance from one of these local insurance professionals when you are looking for the best plan.
Why Work with an Independent Insurance Agent in Pierre, SD?
Every business has its own specific coverage needs. That is why when it comes to business insurance, there is no such thing as a one-size-fits-all policy. The wide range of insurance products and policy options available to business owners enables you to fully customize your commercial coverage. A local independent agent can help you navigate through your many options while you are shopping for coverage. That way, you can select the policies that are best suited for your particular business.
Contact an insurance agent in or near Pierre to learn more and to start comparing customized quotes for business insurance.
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