Watertown is home to nearly 2,500 businesses of varying size and scope. The most common industries in this South Dakota city are manufacturing, retail trade, and construction, but businesses of all types have found success here. If you are a business owner in the Watertown area, it is important that you protect your investment with a comprehensive insurance plan.
Choosing the right business insurance can be difficult. Fortunately, you do not need to go it alone. Independent insurance agents in Watertown can help you build a solid coverage portfolio by identifying your company’s risks and determining which policies can best cover them. Find an insurance agent near you to get started.
Liability Insurance Is Important for Businesses in Watertown
Commercial liability insurance is designed to cover court costs, legal fees and damages if your company is sued. Because commercial lawsuits can frequently result in judgments exceeding $1 million, this insurance can prove extremely valuable. All business insurance policies include commercial general liability insurance or CGL. Your company’s CGL has two main coverage components:
- Premises liability insurance: Designed to cover third-party injuries, illnesses, and property damage due to accidents on your business property.
- Product liability insurance: Designed to cover third-party injuries, illnesses and property damage due to defects in products your business produces, sells or promotes.
An independent insurance agent can identify any additional liability risks your business may face, and can recommend the appropriate policies to cover against them. Examples of some of the many business liability insurance products available to you include:
- Liquor liability insurance: Designed to cover businesses that sell or furnish alcoholic beverages in the event that an intoxicated patron causes injury or property damage to others.
- Employment practices liability insurance: Designed to cover your business against lawsuits related to alleged illegal business practices such as discrimination, harassment, and wrongful termination
- Errors and omissions insurance (E&O): Designed to cover individuals in professional positions against lawsuits for damages caused by errors in judgment and other professional mistakes
- Cyber liability insurance: Designed to cover damages if cybercriminals hack into your computer system and steal important customer data such as credit card numbers and personal information.
You can learn more about these and your many other commercial liability coverage options by consulting a local insurance agent.
Property Insurance for Small Businesses in Watertown
Watertown businesses may experience property loss or damage due to such hazards as structure fires, property crimes, hail, heavy snows, gusty winds, and other severe weather events.
- Number of federally declared disasters in SD since 1953: 83
- Most common reason for declared disasters: Severe Storms
That is why all business insurance policies include commercial property coverage. It is designed to cover your business-owned property—including merchandise, furniture, signs, tools, and machinery—if it is damaged by a covered event. Bear in mind that flood damage is excluded from the coverage so you may also need to buy a commercial flood insurance policy.
Certain business property needs to be covered by specialized policies like contractors equipment insurance or boiler & machinery insurance. An independent insurance agent will be able to help you make 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 damaged property.
Business Interruption Insurance for Watertown Businesses
Major disasters can do more than just damage property. They also have the potential to force businesses to remain closed for an extended period while repairs are made. An F3 tornado that touched down 2.4 miles from the Watertown city center in 1983 caused millions of dollars’ worth of damage in the area that took several weeks to repair. What would be the state of your business finances if you had to close down for weeks, or even months, while repairs were made after a major disaster?
Such a closure can be financially devastating, especially for small companies. That is why, in times of disaster, business interruption insurance can prove vital. Business interruption insurance is designed to provide companies with a continuation of income when a covered event leads to a long-term closure. That way, your business can continue to pay monthly expenses and employee salaries even while it is unable to generate revenue. Talk to your local insurance agent to learn more about this important coverage.
Watertown Businesses Need Workers’ Compensation Insurance
Workers’ compensation insurance (sometimes referred to as “workman’s comp”) is designed to cover the cost of medical treatment, lost wages, and other associated expenses if an employee is injured or becomes ill on the job. This insurance can also provide family members with financial compensation in the unfortunate event that a workplace accident is fatal. In the state of South Dakota, with few exceptions, all employers are required to cover their employees with workers’ compensation insurance. This includes part-time as well as full-time workers. Failure to carry this coverage can result in fines and prosecution.
The cost of workers’ compensation is based on your company’s overall payroll and the types of jobs your employees do. You can expect it to cost far more to cover a crew member at a construction company than a cashier at a deli. Your local insurance agent can help you find great coverage through an insurance company that specializes in covering businesses like yours.
Employee Benefits for Businesses in Watertown, SD
Studies conducted by human resources management professionals have shown that when companies offer their employees benefits such as paid vacation and sick time, life insurance, and healthcare coverage, they are better able to attract and retain highly skilled workers.
- 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
When it comes to buying business health insurance, you will find that there are many different products available to choose from. This can make it difficult to decide which plan is the best to include in your employee benefits package. Local independent agents can explain the pros and cons of each of your various options and can answer your insurance-related questions.
Why Work with an Independent Insurance Agent in Watertown?
Every business has its own specific risks and exposures. That’s why insurance companies make it possible to fully customize your commercial coverage. An independent agent can help you acquire the best insurance to cover your Watertown business. These agents work with multiple insurance companies to find you appropriate policies at competitive prices.
Contact an independent insurance agent with an office in or near Watertown to learn more. You will soon discover how easy it can be to build a comprehensive business insurance portfolio.
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