South Dakota Self Employed Insurance
How to find a local expert today
Written by
Candace Jenkins is a licensed insurance advisor with over a decade of experience. She is also a writer and loves to write on all things insurance. Candace writes for TrustedChoice.com on a continuous basis and is here with the facts about all your insurance inquiries.
Reviewed by
Jeff Green has held a variety of sales and management roles at life insurance companies, Wall street firms, and distribution organizations over his 40-year career. He was previously Finra 7,24,66 registered and held life insurance licenses in multiple states. He is a graduate of Stony Brook University.
In South Dakota, there are 86,550 small businesses in operation. When you have little cash flow, the right coverage has to fit your budget. Self-employed insurance can get pricey if you're not a licensed professional.
Fortunately, an independent insurance agent can help you find an affordable policy. They have a network of options so that you're obtaining the best price. Connect with a local expert for tailored quotes today.
What Is Self-Employed Insurance?
In South Dakota, you'll have many options when choosing your insurance coverage. Some will apply to you, and others won't. Take a look at some policies that you may want to consider:
- Health insurance
- Disability insurance
- General liability insurance
- Business property insurance
- Business equipment breakdown insurance
- Life insurance
- Professional liability insurance
- Commercial auto insurance
- Commercial umbrella insurance
- Cargo insurance
Health Insurance Options for Being Self-Employed in South Dakota
When you are self-employed in South Dakota, you'll be responsible for your commercial insurance. From professional liability to workers' compensation, you'll have a lot to consider. Since you won't have a boss to provide health care, these options will be available for you to choose from:
- Private health insurance: This can be obtained through an independent agent and go through some of the household named carriers. At times, this route can be pricey depending on who's included in your plan.
- Medical sharing plan: This is not technically insurance but works the same way. You will pay a monthly share amount depending on what program you choose. This share will get pooled with the other members' share amounts. When you have a medical loss, you can file a claim, and the plan will reimburse you from the pool.
- The marketplace: This is insurance through the government marketplace. It can be applied online at your own risk or through a licensed agent. You will report your annual earnings and then choose from an assigned market at a discount. The less household income you make, the lower your premiums will be.
Best Health Insurance for Being Self-Employed In South Dakota
In South Dakota, your health insurance can be confusing when you're not a licensed professional. Your policies will be unique to your specifications. When it comes to health care, the three options you'll have to choose from are listed below. Take a look to see which one applies to you the most.
The private health insurance option in South Dakota:
- Most expensive
- Works well with most healthcare offices
- May offer the most coverage
- Uses standard health insurance markets
The medical sharing plan option in South Dakota:
- Less expensive
- Has restrictions since it's not insurance
- Has to be reimbursed when a loss occurs
- Most healthcare facilities have not heard of it
The marketplace option in South Dakota:
- Least expensive
- You have to prove your income each year
- Works best for low-income households
- It works well if you have a lot of tax write-offs
- Uses standard health insurance markets
- Not all healthcare facilities accept this plan
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Self-Employed Health Insurance Cost In South Dakota
The cost of your commercial insurance policies will depend on many risk factors. Carriers look to your personal data when calculating your South Dakota insurance pricing. Take a look at what health insurance companies use to set your premiums:
- Location
- Health history
- Your age
- Your weight
- Any current health concerns
- Who's included on your policy
- How often you work out
Disability Insurance for Being Self-Employed In South Dakota
In South Dakota, $2,227,477,000 in commercial insurance claims were paid in 2019. Losses occur all the time, and when you're self-employed, you have to be prepared for the worst. If you cannot work due to injury, illness, or death, then disability and life insurance are necessary. Check out what disability insurance has to offer:
- Pays for your lost income when a disability occurs.
- Short-term disability will pay 60% to 70% of your income.
- Short-term disability lasts up to a year in some cases.
- Long-term disability will pay 40% to 60% of your income.
- Long-term disability lasts the length of the disability or until retirement.
Do Self-Employed Workers Need Workers' Compensation Insurance In South Dakota?
When you have employees in South Dakota, you'll be required to carry some form of workers' compensation insurance in most cases. If you're self-employed and flying solo, you don't usually need workers' compensation coverage unless a contract you are working on requires you to have it. First, it's beneficial to know what workers' compensation is:
- Workers' compensation insurance: Pays for the lost wages and medical expenses of an employee that becomes injured or ill while on the job.
How a South Dakota Independent Agent Can Help
South Dakota business coverage can make or break your operation. With all that could go wrong, it makes sense to be covered for the unexpected. Self-employed insurance can protect your livelihood.
An independent insurance agent will help with coverage and premium options that won't break the bank. They can review your policies for free so that you're getting a good deal. Connect with a local expert on TrustedChoice for details.