Workers Compensation covers your employees' medical costs and lost wages while recovering from a work-related injury or illness. The employee gives up the right to sue your company in return for receiving cash and benefits from Workers Compensation. In some states it’s mandatory for businesses!
General Liability Insurance protects your small business against claims of third-party bodily injury and property damage, reputational harm and advertising injury. It covers medical bills, repair costs & legal fees.
Commercial Auto Insurance covers your cars, trucks, and vans used in your business. It covers the costs from vehicle damage in collisions, theft, vandalism and weather damage. It also covers medical expenses for to injured parties.
Professional Liability Insurance (or E&O Insurance), protects your small business from claims of mistakes, negligence or malpractice made when providing your services that caused somebody financial loss. PLI covers your legal defense costs, damages and settlements.
Commercial Property Insurance will provide coverage for your properties in case damage renders them impossible to rent or lease.
Disability Insurance offers your small business financial support if you or any of your employees are unable to work as a result of a work-related illness or accident. Disability insurance offers financial support to replace a portion of lost income while they're recovering.
What are the minimum insurance requirements for New Jersey businesses?
New Jersey only requires businesses carry Workers Comp and Disability Insurance if they have at least 1 employee. All other policies are optional according to NJ law.
How much Liability Insurance should I carry?
There is no right or wrong amount. A good rule of thumb is to protect your financial well-being if a claim occurs. Many businesses choose to carry $1,000k/$2,000k limits.
How much does business insurance cost in New Jersey?
Every insurance company views businesses differently. Depending on your services, safety policies, and experience, premiums can vary.
Do I need General and Professional Liability Insurance?
Possibly. The two policies protect you against different claims. Every business needs General Liability. You also need Professional Liability if you offer advice to others such as financial, health, or legal advice.
What types of coverage should I buy for my business?
That depends on what your business offers. If you offer advice, Professional Liability is a must. If you transport goods, you should buy business auto and Inland Marine Insurance. It is best to discuss your business with an insurance expert.
Guide to commercial insurance by state
Insurance laws and requirements may vary state by state. Click on your state to discover the insurance you will need for your small business: