Flood Insurance: Protecting Your Home and Family

Name: Shield Insurance Agency
Address: 3214 Chicago Dr, Hudsonville, MI, 49426
Telephone: 616-896-4600

Posted on May 31, 2023May 15, 2023 by Shield Insurance Agency

Shield Insurance Agency Blog | Flood Insurance | Start a Quote Today!

As a homeowner, you know that your home is one of the most important investments
you will ever make. It is where you and your family live, where you create memories, and
where you feel safe and secure. However, your home is also vulnerable to natural
disasters such as flooding, which can cause significant damage and financial loss. That
is why it is essential to have flood insurance as part of your home insurance policy.
Home Insurance Flooding

Many homeowners assume that their home insurance policy covers flooding, but this is
not always the case. Most standard home insurance policies do not cover flood
damage, which means that if your home is damaged by flooding, you will have to pay for
the repairs out of your own pocket. This can be a significant financial burden, especially
if the damage is extensive.

Rain Storms

Rain storms can cause significant flooding, even in areas that are not considered
high-risk flood zones. It is important to remember that flood insurance covers damage
caused by any type of flooding, not just from rivers and lakes. This means that even if
your home is not located near a body of water, you may still be at risk for flooding during
a rainstorm.

Home Flood Insurance Quote

To protect your home and family from the financial impact of flooding, you need to have
flood insurance. Flood insurance is a separate policy that covers damage caused by
flooding. It is important to note that flood insurance is not included in your standard
home insurance policy, and you will need to purchase it separately.

Home and Flood Insurance

Flood insurance can be purchased as a standalone policy or as an add-on to your
existing home insurance policy. If you live in an area that is prone to flooding, it is
recommended that you purchase flood insurance as an add-on to your home insurance
policy. This will ensure that you have comprehensive coverage for all types of damage,
including flooding.

Homeowners Insurance with Flood Coverage

If you are purchasing a new home, it is important to consider flood insurance as part of
your home insurance policy. Many mortgage lenders require homeowners to have flood
insurance if they live in a high-risk flood zone. Even if you do not live in a high-risk flood
zone, it is still a good idea to have flood insurance to protect your home and family from
unexpected flooding.

Flood Insurance Quote

If you are interested in purchasing flood insurance, it is important to get a quote from a
reputable insurance agency. Shield Insurance Agency represents over 40 insurance
companies, which means that we can provide you with a variety of options for flood
insurance coverage. Our experienced agents can help you find the right policy to meet
your needs and budget.

Protection for Your Family and Home

Flood insurance provides protection for your family and home in the event of a flood. It
can cover damage to your home, personal belongings, and even living expenses if you
are forced to evacuate your home due to flooding. This can provide peace of mind
knowing that you and your family are protected in the event of a natural disaster.

Shield Insurance Agency Represents Over 40 Insurance Companies

At Shield Insurance Agency, we understand the importance of protecting your home and
family from unexpected events such as flooding. That is why we represent over 40
insurance companies, so we can provide you with a variety of options for flood
insurance coverage. Our experienced agents can help you find the right policy to meet
your needs and budget.

Contact Shield Insurance Agency at (616) 896-4600 for a Free Quote Today
If you are interested in purchasing flood insurance, contact Shield Insurance Agency
today for a free quote. Our experienced agents can help you find the right policy to meet
your needs and budget. Protect your home and family from the financial impact of
flooding with flood insurance from Shield Insurance Agency.

Look here for more blogs from Shield Insurance Agency

Lights Turned Off at the Gateway Arch

Posted on May 25, 2023May 20, 2023 by Shield Insurance Agency

Lights Turned Off at the Gateway Arch Every Night to Assist in Bird Migration This Month for 325 Species

Good News Network | May 20, 2023 | Gateway Arch | Shield Insurance Agency | Start a Quote today!

From the majestic whooping crane to the smallest songbird, an iconic American landmark in Missouri is making the skies safer for spring migrating birds who follow the Mississippi River to reach their summer nesting grounds.

Since 1965 when it was unveiled, the Gateway Arch in St. Louis has punctuated the cityscape at night with lights that illuminate its most visited US National Park. But all during the month of May officials will turn off the lights at night to facilitate safe passage for more than 325 bird species following the route each year on their spring migration.

“St. Louis sits right beneath the Mississippi Flyway, a major migration highway,” said Jeremy Sweat, Superintendent, of Gateway Arch National Park.

For over a decade, the exterior lights have been turned off for two weeks each May—and again in September—to help minimize the possible disorienting effect the lights may have on the migrations. But this year the park will keep the lights off for the entire month of May.

Gateway Arch National Park

Gateway Arch National Park is both a building and program partner with Lights Out Heartland, an organization that works with partners to provide migrating birds safe passage along the Flyway during the high-intensity migration months of May and September.

According to the St. Louis Audubon Society, sixty percent of North American songbirds and forty percent of waterfowl are anticipated to migrate this spring and fall.

“Other ways we are trying to help the birds is to focus the lights better on the Arch,” said Pamela Sanfilippo who works at Gateway Arch National Park. That way, “light doesn’t go up into the sky.”

The towering silver Arch was built to honor a different kind of journey that began in 1804 when President Thomas Jefferson launched the Lewis and Clark Expedition which mapped a path to the Pacific Ocean from the middle of the continent. Two scientists set out with a team of scouts and mapmakers from the river port of Saint Louis, which opened up the West. Today, the Gateway Arch attracts 1.62 million visitors annually.

Click here to read the full story

More creative blogs by Shield Insurance Agency

What you need to know about Business Interruption Insurance

Posted on May 22, 2023May 11, 2023 by Shield Insurance Agency

Shield Insurance Agency | Business Interruption Insurance | Start a quote today!

Business interruption insurance is a type of insurance that provides coverage for losses that a business may incur due to a temporary shutdown or interruption of its operations. This type of insurance is designed to help businesses recover from unexpected events that may cause them to lose revenue or incur additional expenses.

Insurance carriers offer business interruption insurance as part of their commercial insurance policies. This type of insurance is typically included in a package policy that also includes property insurance, liability insurance, and other types of coverage that businesses need to protect themselves from financial losses.

Business Interruption Insurance Key Features

One of the key features of business interruption insurance is the exclusion of losses that are not covered by the policy. Insurance carriers typically exclude losses that are caused by events that are beyond the control of the business, such as natural disasters, acts of terrorism, or war. These exclusions are designed to limit the liability of the insurance carrier and ensure that the policy is affordable for businesses.

However, it is important for businesses to understand the exclusions in their business interruption insurance policy and to make sure that they have adequate coverage for the risks that they face. For example, if a business is located in an area that is prone to natural disasters, such as hurricanes or earthquakes, it may need to purchase additional coverage to protect itself from these risks.

Another important factor to consider when purchasing business interruption insurance is the amount of coverage that is needed. Businesses should carefully evaluate their financial needs and determine how much coverage they need to protect themselves from losses that may occur due to an interruption of their operations.

Contact Shield Insurance at (616) 896-4600 to learn more about business interruption insurance and to get a quote for coverage. Our experienced agents can help you evaluate your risks and determine the right amount of coverage for your business.

In addition to business interruption insurance, Shield Insurance offers a wide range of commercial insurance products to help businesses protect themselves from financial losses. Our policies include property insurance, liability insurance, workers’ compensation insurance, and more.

We understand that every business is unique, and we work closely with our clients to develop customized insurance solutions that meet their specific needs. Whether you are a small business owner or a large corporation, we can help you find the right insurance coverage to protect your business and your bottom line.

At Shield Insurance, we are committed to providing our clients with the highest level of service and support. We are available to answer your questions, provide guidance, and help you navigate the complex world of commercial insurance.

If you are interested in learning more about business interruption insurance or any of our other commercial insurance products, please contact us at (616) 896-4600. We look forward to working with you to protect your business and your future.

Visit other blog articles by Shield Insurance Agency

6 Factors to Consider When Choosing Small Business Insurance

Posted on May 18, 2023May 10, 2023 by Shield Insurance Agency

Shield Insurance Agency Blog | May 10, 2023 | Small Business Insurance | Begin a quote today!

As a small business owner, you know that running a business comes with a certain level of risk. Whether you’re just starting out or have been in business for years, it’s important to protect your business with the right insurance coverage. But with so many options available, how do you choose the right insurance for your business? In this blog post, we’ll discuss six factors to consider when choosing small business insurance.

1. Your Risk Levels

The first factor to consider when choosing small business insurance is your risk levels. Every business is different, and the risks associated with each business will vary. For example, a construction company will have different risks than a retail store. It’s important to assess your business’s risks and choose insurance coverage that will protect you in the event of a loss.

2. Professional Guidance

Choosing the right insurance coverage can be overwhelming, especially if you’re not familiar with the different types of coverage available. That’s why it’s important to seek professional guidance when choosing small business insurance. An insurance agent can help you assess your risks and recommend the right coverage for your business.

3. Employment Insurance Laws

Employment insurance laws vary by state, so it’s important to understand the requirements in your state. For example, in some states, businesses are required to carry workers’ compensation insurance, while in others, it’s optional. Make sure you understand the employment insurance laws in your state and choose coverage that meets those requirements.

4. Insurance Provider Accessibility

When choosing small business insurance, it’s important to consider the accessibility of the insurance provider. You want to choose an insurance provider that is easy to work with and responsive to your needs. Look for an insurance provider that offers online access to your policy information and has a customer service team that is available to answer your questions.

5. Premium Costs

Of course, cost is a factor when choosing small business insurance. You want to choose coverage that is affordable, but you also want to make sure you’re getting the coverage you need. When comparing insurance providers, make sure you’re comparing apples to apples. Look at the coverage limits and deductibles to make sure you’re getting a fair comparison.

6. Geographical Coverage Region

Finally, it’s important to consider the geographical coverage region when choosing small business insurance. If your business operates in multiple states, you’ll need coverage that extends to all of those states. Make sure you choose an insurance provider that offers coverage in the regions where you do business.

Choosing the right insurance coverage for your small business can be overwhelming, but it’s an important decision that shouldn’t be taken lightly. At Shield Insurance, we understand the unique risks associated with small businesses and can help you choose the right coverage to protect your business. Contact us today at (616) 896-4600 to learn more about our small business insurance options.

Five Parts of an Insurance Policy

Posted on May 17, 2023May 10, 2023 by Shield Insurance Agency

Shield Insurance Agency Blog | May 19, 2023 | Insurance | Start a quote today!

Insurance policies can be complex and confusing, but understanding the different parts of a policy is essential to ensure that you have the right coverage for your needs. In this blog post, we will discuss the five parts of an insurance policy: premium, deductible, policy limits, exclusions, and riders.

1. Premium: The premium is the amount you pay for your insurance coverage. It is typically paid on a monthly or annual basis and is based on several factors, including your age, location, and the type of coverage you need. The premium is the cost of your insurance policy, and it is important to choose a premium that fits your budget.

2. Deductible: The deductible is the amount you pay out of pocket before your insurance coverage kicks in. For example, if you have a $500 deductible and your car is damaged in an accident that costs $1,000 to repair, you will pay $500, and your insurance company will pay the remaining $500. Choosing a higher deductible can lower your premium, but it also means you will pay more out of pocket if you need to file a claim.

3. Policy Limits: Policy limits are the maximum amount your insurance company will pay for a covered loss. For example, if you have a $100,000 policy limit for liability coverage and you are sued for $150,000, you will be responsible for paying the remaining $50,000. It is important to choose policy limits that are high enough to protect your assets in the event of a lawsuit.

4. Exclusions: Exclusions are specific situations or events that are not covered by your insurance policy. For example, if you have a homeowner’s insurance policy that excludes flood damage, you will not be covered if your home is damaged by a flood. It is important to read your policy carefully to understand what is and is not covered.

5. Riders – Additional coverage and options: Riders are additional coverage options that you can add to your insurance policy. For example, if you have a homeowner’s insurance policy that does not cover earthquake damage, you can add an earthquake rider to your policy for an additional cost. Riders can provide additional protection for specific situations that are not covered by your standard policy.

Does Your Insurance Meet Your Needs?

Understanding the different parts of an insurance policy is essential to ensure that you have the right coverage for your needs. It is important to review your policy regularly and make changes as needed to ensure that your coverage meets your current needs. If you have questions about your insurance policy or need help choosing the right coverage, contact your insurance agent for assistance.

At Shield Insurance Agency, we are committed to helping our clients find the right insurance coverage for their needs. Our experienced agents can help you understand the different parts of your insurance policy and make sure that you have the coverage you need to protect your assets and your family. Contact us today to learn more about our insurance products and services.

How to Prevent Car Theft

Posted on May 8, 2023April 24, 2023 by Shield Insurance Agency

Nationwide | April 20, 2023 | Car Theft | Auto Insurance | Start A Quote Today!

How common is car theft? According to estimates from the National Insurance Crime Bureau, there were more than 745,000 motor vehicle thefts in the first nine months of 2022 in the U.S. [1] [2] And when citizens are targeted in the most potentially dangerous of these crimes – carjacking – the attacker succeeds in roughly half of all attempts, according to the U.S. Department of Justice.

To find out how to prevent carjacking and car theft, read on.

1. Don’t leave valuables in your car

You don’t display your cash, financial statements, and jewelry in your home’s windows, do you? So why would you do the same in your car? Instead, hide any valuables, including purses, computer bags, and the ignition key. You’d be surprised how often people don’t.

According to the National Insurance Crime Bureau, between 2019 and 2022, more than 100,000 reported vehicle thefts were facilitated by keys, including situations where keys were left inside the vehicle. [3] One-fourth left a purse or wallet inside, and one-third have left bank statements. In addition, one-third say they’ve kept their vehicle running while unoccupied.

2. Park in a well-lit area to prevent car theft

Not everyone has a garage. But many have the option of parking on a well-lit street – another deterrent for crooks. Also, etch the vehicle identification number on windows to discourage thieves from stealing the vehicle and selling it to a chop shop.

3. Lock your vehicle doors to prevent car theft

The minute you step into an automobile, you’re vulnerable. So lock up right away, before starting the ignition or setting up your music, GPS, etc. (Buckling up is the second “to do.”)

4. Don’t leave your keys in the car to prevent car theft

“It’ll just be for a second, I’m only running into the store for a couple of things.”

Unfortunately, “a second” is all a thief will need if you leave the keys in the car for them. So always take your keys with you no matter where or how briefly you’ll be out of your vehicle. It sounds obvious, but this is one of the most important ways to prevent car theft.

5. Stay alert

Staying alert is the best example of how to prevent carjacking. When stopped or slowed down, you increase the opportunity for a carjacker. So at traffic lights, exercise caution. “When stopped in traffic, leave enough space to move forward,” says Brent O’Bryan, vice president of learning and development for AlliedBarton Security Services, a physical security firm. [4]

6. Know where you’re going

Just as you want to stay in well-lit areas while parking, you don’t want to “hide” in the darkness while driving. “Don’t head into remote or unfamiliar areas,” O’Bryan says. “If you feel like you’re being followed, don’t drive home. Don’t park next to a vehicle such as a van which could be hiding a suspect.” [4]

7. Install an anti-theft system

If someone tries to break into your car, you’ll want to make it apparent to anyone in earshot that this has occurred. Anti-theft systems emit loud alarms when they detect forced entry into your vehicle, alerting anyone nearby and potentially scaring the would-be thief from sticking around. You can also install a GPS tracking system that will show the location of your vehicle if the thief successfully makes off with it.

Having an anti-theft device in your vehicle may earn you a discount on your car insurance.

8. Stay cool during a crisis

Even if you take every precaution, you could still get involved in carjacking. If so, your and your passengers’ safety remains the top priority. Stay calm – if you panic, it’s more likely a criminal will too. “Never argue; give up your car,” O’Bryan says. “Get away from the area as quickly as possible. Note the suspect’s appearance, and immediately report it to the police.” [4]

Most commonly stolen cars

You might expect thieves to go for the glitziest, most expensive-looking cars they can find, but the trouble with those vehicles is that they stand out in a crowd. No car thief wants to be seen after they make their getaway, so the most commonly stolen cars are some of the most widely owned models. Ford F-series pickup trucks and Honda Civics have been US frequently targeted for this precise reason. In 2021, cars like Civics were also popular because they share parts with other Hondas, making them valuable for stripping and selling. [5]

More recently, in a 2022 HLDI study, 2019-2021 models of Dodge Chargers topped the charts for most stolen vehicles. [6]

What cars are targeted for catalytic converter theft?

Certain vehicles are also being singled out to steal their catalytic converters. Hybrid cars like the Toyota Prius use expensive metals to construct their catalytic converters, making them prime targets. [7] Thieves will steal the catalytic converter and sell it for the value of its metal.

Does insurance cover car theft?

So, you took all the precautions, but someone managed to make off with your car anyway. Are you covered? It depends on your policy. Comprehensive policies will typically cover theft. However, policies like liability insurance do not.

Learn more about what your car insurance will cover in the event of car theft.

Sources:

[1] https://www.nicb.org/news/news-releases/over-745000-stolen-vehicles-reported-so-far-2022, Accessed April 2023.

[2] https://www.cbsnews.com/news/auto-thefts-carjackings-major-u-s-cities-spike-new-report/, Accessed April 2023.

[3] https://www.prnewswire.com/news-releases/vehicles-stolen-with-keys-left-inside-on-the-rise-301731304.html, Accessed April 2023.

[4] Nationwide Interview with Brent O’Bryan, 2016.

[5] https://www.cars.com/articles/these-vehicles-are-most-vulnerable-to-theft-says-iihs-457296/, Accessed April 2023..

[6] https://www.moneygeek.com/insurance/auto/most-stolen-cars-in-america/, Accessed April 2023.

[7] khou.com/article/news/how-to-prevent-yourself-from-becoming-the-latest-victim-of-catalytic-converter-thefts/285-d978572e-c12a-4142-b331-c782201b082b, Accessed August 2021.

Disclaimer:
The information included is designed for informational purposes only. It is not legal, tax, financial or any other sort of advice, nor is it a substitute for such advice. The information may not apply to your specific situation. We have tried to make sure the information is accurate, but it could be outdated or even inaccurate in parts. It is the reader’s responsibility to comply with any applicable local, state, or federal regulations. Nationwide Mutual Insurance Company, its affiliates and their employees make no warranties about the information nor guarantee of results, and they assume no liability in connection with the information provided. Nationwide, Nationwide is on your side, and the Nationwide N and Eagle are service marks of Nationwide Mutual Insurance Company. © 2021 Nationwide and Shield Insurance Agency.

New vehicle shortages and supply chain issues aren’t the only things to blame for the recent spike in car prices. One of the main culprits is inflation.

How Does Inflation Affect Car Prices?

Posted on May 1, 2023April 17, 2023 by Shield Insurance Agency

Nationwide Blog | December 13, 2022 | Car PRices | Auto Insurance | Start A Quote Today!

New vehicle shortages and supply chain issues aren’t the only things to blame for the recent spike in car prices. One of the main culprits is inflation. Consumer inflation soared to 7% in 2021, the highest it’s been in almost 40 years. [1]

Inflation is defined as a loss of purchasing power over time. Rising inflation can be impacted by rising consumer demand or other developments that have little to do with economic conditions, such as limited oil production and supply chain problems. [2]

How do dealerships price cars?

If you’re in the market for a new or used car, it can be confusing to know which price is fair. In order to understand how to negotiate, we must first look at the difference between the MSRP and invoice price. The manufacturer’s suggested retail price, or MSRP, is the price car manufacturers recommend dealerships sell their vehicles for. The invoice price, or the dealer price, is the amount a dealership pays the manufacturer. Car dealerships aren’t like traditional stores, however, and the MSRP is not the final price, but usually the starting point for negotiations. Depending on the demand for the model, you may end up paying the full MSRP, but you’ll almost always be able to negotiate with the dealership. [3]

How do car prices become inflated?

Car prices have helped push inflation sharply higher over the past year due to high demand and little to no availability. Demand has been so strong that automakers have been cracking down on dealers who charge above list price, threatening to withhold fresh inventory. Analysts had been hoping that chip shortages would ease up, but they’re predicting that we’ve got at least another year for the supply chain to heal if not more. If car prices keep climbing briskly, it’ll be hard for inflation overall to moderate. Buyers and dealers are desperate for more vehicles to sell, but they don’t see an abundance of inventory before 2023 and 2024. [2]

Are used car prices affected by inflation?

Used cars were unfortunately hit hardest by rising inflation. Due to pent-up demand for cars and supply issues, used car and truck prices rose more than 10% in April and June 2021. Inflation has soared to levels not seen since the 1980s, but the used vehicle prices that powered the initial surge are now falling back to earth. After months of extraordinarily large price hikes, it might finally be a good time for car buyers. If the supply of new cars recovers, that’ll probably alleviate supply pressures in the used-vehicle market as more cars are resold. [4]

Tips for buying a car

It can be overwhelming to start the process of buying a car, but we have a few tips for you.

Determine your budget. Once you know how much you are willing to spend, you can start to narrow down the list of cars you want.
Do the research. Start by visiting the websites of automakers and other car sites to get an idea of inventories and features available.
Know the model price. Research the model invoice or wholesale price so you have a general idea of what the dealer paid.
Go for a test drive. Make an appointment and take your time behind the wheel until you’re sure it’s the right fit for you.
Negotiate a fair price. Check that the list of fees associated with the sale is accurate and not an unnecessary add-on.

Learn more tips on buying a new or used car the right way. [5]

Sources

[1] “Inflation is driving up car prices. 6 tips for buying in 2022,” cbsnews.com/news/inflation-new-used-car-prices-2022 (accessed July 8, 2022).

[2] “Few Cars, Lots of Customers: Why Autos Are an Inflation Risk,” nytimes.com/2022/04/10/business/economy/cars-inflation.html (accessed July 8, 2022).

[3] “Car MSRP vs. Invoice: Everything You Need to Know,” caranddriver.com/research/a31874008/car-msrp-vs-invoice (accessed July 8, 2022).

[4] “It’s finally a better time to buy a used car,” businessinsider.com/used-car-prices-market-good-time-buy-inflation-easing-2022-5 (accessed July 8, 2022).

[5] “How to Buy a New Car the Right Way,” blog.nationwide.com/tips-for-buying-a-new-car (accessed July 8, 2022).

Disclaimer:

The information included here is designed for informational purposes only. It is not legal, tax, financial or any other sort of advice, nor is it a substitute for such advice. The information may not apply to your specific situation. We have tried to make sure the information is accurate, but it could be outdated or even inaccurate in parts. It is the reader’s responsibility to comply with any applicable local, state or federal regulations. Nationwide Mutual Insurance Company, its affiliates, and their employees make no warranties about the information nor guarantee of results, and they assume no liability in connection with the information provided. Nationwide and the Nationwide N and Eagle are service marks of Nationwide Mutual Insurance Company. © 2022 Nationwide and Shield Insurance

How to Start An Online Store

Posted on April 26, 2023April 14, 2023 by Shield Insurance Agency

Nationwide Blogs | November 01, 2020 | Online Store | Business Insurance | Start A Quote Today!

Starting a business is easier than ever thanks to greater online opportunities and the burgeoning “gig economy.” For many people, opening an online store has been a major success. Some 25 million people sell products on eBay’s marketplace alone.^[1]

But the process is more complicated than putting your goods on a website and waiting for someone to buy them. Before you jump in, here are some e-commerce tips and things you need to know about how to sell your products online.

Learn the marketplace for an Online Store

Selling a product online requires some advanced knowledge about how online sales and e-commerce work to prevent missteps. Regardless of what platform you’re using — eBay, Amazon, Craigslist, Etsy, or something else — you should become a customer before you attempt to sell your own products. This will familiarize you with the sales process and what to expect from it.

It can also help you because you’ll receive feedback online, which is important when opening a store. New sellers can sometimes have a harder time selling products because there’s no feedback letting buyers know what it’s like to deal with your shop. If you can use the same account to become a seller, try to get at least 20 feedback ratings as a buyer before you start to sell online.

Do market research

Just as with a brick-and-mortar store, you’ll be responsible for attracting customers and standing out from your competitors. The foundation of a successful online store is rooted in research to get an idea of what to sell online.

This is an important part of e-commerce and being an online seller. To evaluate what’s already selling, look at the list of top-selling products and get an idea of what’s happening in the marketplace. What are the high-demand, trending products consumers currently want? Do you have special knowledge about a particular industry or type of product? You may be able to leverage this background to tap into a niche market, which can help you expand your business.

Decide what products to sell at the Online Store

Before opening your online store, you’ll need to decide what kind of product you’ll be selling. From merchandise lying around the house to original products, there is a wide variety of options to consider. Whatever you decide, it’s important to choose something that you will be passionate and excited about as you will be working with these products day in and day out.

Keep a business mindset

For your online business to be successful, it has to be taken seriously as a business. That means creating a business plan, setting goals, tracking what works and what doesn’t, and using market research tools to stay on top of trends and selling prices. If this process of selling is more than just a hobby, you should treat it as such, and that means keeping your customers happy.

Providing great customer service is an important component of building and maintaining your customer base, and it can turn a negative experience into a positive one for buyers who may leave reviews about your company online. Try to respond to emails within 24 hours. Remain positive and calm when dealing with a difficult situation, and ask buyers what type of resolution they’d value from you. Let them know that you’re listening, you understand their question or issue, and you’d like to help find a solution for them. This can go a long way in favorably impacting their impression of your company.

A few negative reviews can hurt your selling rating, which is something to guard carefully. If you have a 95% seller rating but someone else has a 98% rating, regardless if their price is higher, people may pay the extra money because that higher rating appears more trustworthy and the higher rating makes buyers feel secure.

Protect your assets with insurance

As your business grows, you may want to expand your inventory to sell from a converted garage or even a rental storage unit. Many high-dollar sellers choose to keep inventory in another location after they’ve outgrown their closet, spare bedroom, or other storage space.

Make sure your inventory and any business equipment are protected by insurance. Check with your Nationwide representative to see what kind of coverage is best for your small but growing online business.

^[1] http://expandedramblings.com/index.php/ebay-stats/

Using annuities in trusts

Posted on April 25, 2023April 14, 2023 by Shield Insurance Agency

Nationwide Blog | December 09, 2022 | Annuities | Business Insurance | Start a Quote today!

A reference

Trusts are an integral part of estate planning and funding a trust so that it meets the needs of a client’s estate and wealth transfer goals and involves a proper and sound strategy.

Nearly any type of asset can be used to fund a trust, including stocks, bonds, cash, mutual funds, real estate property, life insurance, and annuities. While life insurance is an option for funding a credit shelter trust when the surviving spouse is insurable; what option can you consider when they aren’t?

Annuities in a credit shelter trust

A credit shelter trust (also known as a bypass trust, or A/B trust) is an irrevocable trust commonly used in estate planning. Annuities can provide a very effective way to manage credit shelter trust assets and pass them on to the trust beneficiaries. Trusts are able to own annuities and receive tax deferral on any gains as long as the trust is acting as an agent of a natural person. Therefore, all trust beneficiaries need to be actual living people.

What it could look like

In an example where the trust purchases an annuity for each of trust beneficiary, the trust would be the owner, and the trust beneficiary would be the annuitant. Living or death benefits may also be selected in most cases. Generally speaking, the trust could distribute these annuities “in kind” to each beneficiary upon the triggering event stated in the trust, usually the surviving spouse’s death. At this point, each beneficiary would become the owner of the annuity that they are the annuitant on. Although it is based on a series of Private Letter Rulings (PLR’s), the IRS has allowed beneficiaries in such cases to take over ownership of these annuities and not be taxed on them until the money is withdrawn. If the beneficiary is under 59 ½, the issue of premature withdrawal penalty could apply. Withdrawals would be taxable to the extent of gains exceeding basis. This could also provide for “stretch” or “extended” benefits to heirs of the trust beneficiaries.

The benefits of using annuities in trusts and what kinds of trusts can be used

These are some widely known benefits of using an annuity to fund a trust –

Tax deferral
Market participation with death benefit protection
Income and taxation control
Asset allocation potential within one product
Guaranteed income with a living benefit. (Please note that guarantees are subject to the claims-paying ability of the issuer.)

The following are some common trust names in which annuities may be used –

Credit Shelter Trust
Marital Trust (also called A Trust or Surviving Spouse Trust)
Irrevocable Family Trust
Special Needs Trust
Generation Skipping Trust (GST)
Charitable Remainder Trust (CRT)
Revocable Living Trust
Charitable Lead Trust (CLT)
Qualified Terminal Interest in Property Trust (QTIP)
Irrevocable Life Insurance Trust (ILIT)
Grantor Retained Annuity Trust (GRAT)
Secular Trust
Rabbi Trust
Dynasty Trust
Qualified Domestic Trust (QDOT)

A popular annuity in trust planning strategies

Because of the benefits that using an annuity in trusts provides, there are some well-practiced strategies a financial professional can consider for their clients.

Death benefit protection on a surviving spouse’s life, tax deferral, income suppression and/or investment management simplification in a credit shelter trusts
Distribution in-kind to trust remainder beneficiaries and tax deferral in various types of irrevocable trusts
Income Suppression and death benefit protection in Net-Income Charitable Remainder Unitrusts (NIMCRUT)
Tax deferral and death benefit protection on the special needs individual in a special needs trust

Takeaway and learn more

Annuities can be a helpful tool that a trustee uses to manage multiple risks in an estate plan through its multiple product features. Money sitting in a credit shelter trust, or a different type, can be creatively used and can provide additional benefits to trust beneficiaries through the use of annuities.

For more information on the strategies mentioned, reach out to Nationwide Retirement Institute’s Advanced Consulting Group at Andy@ShieldAgency.com.

Disclaimer:

The information included is designed for informational purposes only. It is not legal, tax, financial or any other sort of advice, nor is it a substitute for such advice. The information may not apply to your specific situation. We have tried to make sure the information is accurate, but it could be outdated or even inaccurate in parts. It is the reader’s responsibility to comply with any applicable local, state, or federal regulations. Nationwide Mutual Insurance Company, its affiliates, and their employees make no warranties about the information nor guarantee of results, and they assume no liability in connection with the information provided. Nationwide, Nationwide is on your side, and the Nationwide N and Eagle are service marks of Nationwide Mutual Insurance Company. © 2022 Nationwide and Shield Insurance.

What is a Business Plan and Why is it Important?

Posted on April 24, 2023April 14, 2023 by Shield Insurance Agency

Nationwide Blog | January 06, 2022 | Business Plan | Business Insurance | Start a quote today!

What is a business plan?

Whether you’re starting a small business or exploring ways to expand an existing one, a business plan is an important tool to help guide your decisions. Think of it as a roadmap to success, providing greater clarity on all aspects of your business, from marketing and finance to operations and product/service details.

While some owners may be tempted to jump directly into startup mode, writing a business plan is a crucial first step for budding entrepreneurs to check the viability of a business before investing too much time or money. The purpose of a business plan is to help articulate a strategy for starting your business. It also provides insight into steps to be taken, resources required for achieving your business goals, and a timeline of anticipated results.

In fact, businesses that plan grow 30% faster than those that don’t.¹

For existing small businesses, a business plan should be updated annually as a way to guide growth and navigate the expansion into new markets.

Studies show that nearly 71% of the fastest-growing businesses have business plans, indicating that even existing businesses can benefit from updating their plans.²

Your plan should include explicit objectives for hiring new employees, market analysis, financial projections, and potential investors. The objectives should indicate how they’ll help your business prosper and grow.

Building an asset management business plan

Committing resources to capital improvements and new assets such as computers, software or cars/trucks is never an easy decision for budget-conscious small business owners. But a business plan can bring clarity to the process of whether to buy or lease and help determine the optimal amount allocated to those assets. A good business plan can also help you decide if it’s feasible to take on additional office, retail, or workspace.

Creating a marketing strategy

Marketing and market potential are important aspects of a plan for aspiring small businesses.

Getting your business in front of customers on a consistent basis is one of the keys to ensuring your business not only stays afloat but also thrives.

Marketing strategies can be simple, but before you decide on how you will get the word out, getting clear on your target audience and why your business solves their problem can make sticking to your marketing plan easier.

Knowing your unique market positioning can help you determine your messaging. Your marketing strategy should include who your target audience is, the platforms or methods you will connect with them on, and a measurement framework to determine if your efforts are working.

Take entrepreneur Scott Sultzer, who opened Sandwich Joint restaurant in downtown Los Angeles in 2009. “I included the potential marketing demographic of all those who lived in a certain area of the city,” he said of his marketing strategy. “My goal was to capture a certain percentage of all those people who lived and worked nearby.”⁴

Created primarily as a marketing tool, Sulzer’s 10-page plan included such topics as target market breakdown, marketing strategy, and market penetration. “My business plan was mostly about market projections,” he said. “How are we going to get those people that lead to an increase in our daily sales? And how are we going to reach them to let them know we’re here?”⁴

Depending on your business, it’s important to have both brick-and-mortar marketing strategies as well as a plan for marketing your business online.

Seeking investment for your business plan

In addition to providing a roadmap for progress and a marketing plan, your business plan could also be important in securing funding.

Whether you’re seeking a credit line from a bank or an influx of capital from investors, a business plan that answers questions about profitability and revenue generation can make the difference between whether someone decides to invest – or how much they might choose to invest.

In fact, a study showed that businesses with a plan were more likely to receive formal financial support, such as funding, than businesses without one.³

Hiring the Right talent

A business plan may also be needed to retain other professional services as well, such as attorneys, landlords, consultants, or accountants. Sulzer used his business plan to secure a lease.

“I had to have a viable document that they could trust,” said Sulzer, who leased from one of the largest landowners in downtown Los Angeles.⁴

“With a corporate landlord, they wouldn’t deal with me unless I had a business plan. I had to submit all my information and a plan that presented what I wanted to do, with financial breakdowns and percentages, demographics, and how I was going to get customers.”⁴

For a small business to succeed, attracting talented workers and partners is of vital importance. A part of a business plan for hiring employees is to help bring in the right talent, from the executive level to skilled staff, by showing them the direction and growth potential of the business. It can also help secure vendor accounts, especially with exclusive suppliers.

Setting business plan objectives for management

Finally, a business plan can be important in providing structure and management objectives to a small business. It can become a reference tool to keep management on track with sales targets and operational milestones. When used properly and consulted regularly, it can help you measure and manage what you’re working so hard to create.

Ready to take the next step? Learn how to write a business plan.

Don’t forget to consider insurance coverage in your business plan. When the unexpected happens, you want to make sure your small business is covered. Customized insurance solutions are crucial to protecting and keeping your operation going.

Find out how small business insurance from Nationwide can help you build and protect your business whether you are just starting up or already established.

¹https://www.effectuation.org/wp-content/uploads/2017/06/The-Multiple-Effects-of-Business-Planning-onNew-Venture-Performance-1.pdf, Accessed October 2021.
²https://onlinelibrary.wiley.com/doi/abs/10.1111/0447-2778.00006, Accessed October 2021.
³https://www.tandfonline.com/doi/abs/10.1080/13504851.2014.967377, Accessed October 2021.
⁴Nationwide Interview with Scott Sultzer, 2016.

Disclaimer:
The information included is designed for informational purposes only. It is not legal, tax, financial or any other sort of advice, nor is it a substitute for such advice. The information may not apply to your specific situation. We have tried to make sure the information is accurate, but it could be outdated or even inaccurate in parts. It is the reader’s responsibility to comply with any applicable local, state, or federal regulations. Nationwide Mutual Insurance Company, its affiliates, and their employees make no warranties about the information nor guarantee of results, and they assume no liability in connection with the information provided. Nationwide, Nationwide is on your side, and the Nationwide N and Eagle are service marks of Nationwide Mutual Insurance Company. © 2021 Nationwide and Shield Insurance.

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