Did you know that New York has over 2 million small enterprises that employ nearly 4 million of its residents? New York is an ideal location for a small business. However, if you operate a small business, you must assure that you have adequate insurance coverage to protect it. So, in this post, we will discuss the general liability insurance New York mandates businesses obtain. In addition, we discuss business insurance coverage that you can consider for added safety.
Protection that is made just for your New York business
New York business owners should think about getting more than one type of insurance to protect their workers, business property, and daily operations from risks. If you run a business in New York without insurance, you could face big financial problems, such as claims and costs to fix your mistakes.
Private businesses were responsible for more than 72% of New York State's 192,800 nonfatal job injuries in 2022. These types of incidents can halt operations and jeopardize output, cash flow, assets, and more. Having insurance can help lessen these problems.
What kind of insurance do I need in New York?
All companies in New York are required to have workers' compensation insurance. On the other hand, people who drive for work (for example, to carry packages or transport patients) must have commercial vehicle insurance.
Different types of Small business insurance in New York
General Liability Insurance Coverage in New York
The state of New York doesn't force business owners to have general liability insurance, which is also known as business liability insurance or casualty insurance. However, all business owners should get it. Commercial general liability insurance is a beneficial way for small business owners to protect their assets because it covers a lot for a low price.
Any business in New York with one or more staff is required by law to have workers' compensation insurance. All companies in New York are required to have workers' compensation insurance as part of their business insurance. Should an employee have an injury or illness at work, workers' compensation insurance will cover for their medical expenses and lost income. Every worker at a business in New York must also have unemployment insurance. Please see our in-depth page on New York workers' compensation insurance for more information.
Most of the time, commercial liability insurance covers the following:
- Third-party bodily injury: This part of your business liability insurance will cover medical pay if someone sustains an injury on your property.
- Third-party property damage: Your insurance company will protect the cost of repairing or replacing any damaged third-party property on your property, even if it's just in the parking lot.
- Injury to people or their reputation: If someone accuses you of libel, slander, or copyright theft, this will safeguard your small business. If someone sues you, your insurance company will cover the cost of your legal defense and provide you with a lawyer.
Every company in New York needs this kind of business liability insurance. Most business leases require general liability protection to safeguard against common third-party risks.
General Liability Insurance in New York is best for:
- Slip-and-fall injuries
- Damaged customer property
- Libel and other advertising injuries
- Employee medical expenses
- Disability benefits
- Legal defense costs
There is a rule in New York that says any business with full-time or part-time employees must have workers' compensation. It also saves sole proprietors money on work injuries that their health insurance may not cover.
Commercial Auto Insurance in NY
Commercial auto insurance is required if you use personal or company vehicles in your line of work, whether it's driving to insurance claims or delivering goods.
The average commercial auto policy includes the following:
- Bodily injury liability coverage.
- Property damage liability coverage.
- General damages for expenses incurred during auto accidents.
Adequate coverage should include:
- $ 25,000 bodily injury claims coverage per person.
- $10,000 in property damage liability per accident.
- $ 50,000 bodily injury liability per accident.
They also require death liability coverage of $50,000 per person or $100,000 per accident. Some personal auto policies exclude coverage for business use, so verify with your auto insurance provider.
A commercial auto insurance policy is required for business-owned vehicles in New York. It covers injuries and property damage in an accident, along with vehicle theft, vandalism, and weather damage.
New York commercial auto insurance is best for:
- Accidents involving business vehicles
- Theft of a commercial vehicle
- Damage to a company vehicle
- Bodily injury liability coverage.
- Property damage liability coverage.
- General damages for expenses incurred during auto accidents.
Business Owners' Policy in NY
Insurance companies offer small businesses a package of insurance policies called a business owners' policy (BOP). Buying each policy separately would cost more money than buying the BOP. General liability, and commercial property insurance, also business interruption insurance, are all common parts of a basic business owner's coverage.
Often, your backer or the property management company that you rent space from will require you to have business interruption insurance. Let's say that a protected loss keeps your business from running. In that case, this policy will cover operational costs like paying your workers, your rent, your taxes, and even some of your lost profits. It normally only lasts for a certain amount of time or until your business is back up and running, whichever comes first.
A Business Owners' Policy (BOP) combines business property insurance and business liability insurance into one single policy. Our BOP policies can help protect New York businesses and their employees from claims of:
- Bodily injury
- Property damage
- Theft
You can also customize your BOP to meet your business's specific needs by adding extra policies, like:
- Workers' compensation insurance
- Professional liability insurance
- Data breach insurance
A BOP strategy is something your business should think about if it has the following:
- That is, a real address or place in New York, like a store, home office, regular office, or hired space.
- When a customer gets hurt at your shop or workplace, they might file a lawsuit.
- It could be digital assets, tools, cash, or furniture that get lost, broken, or stolen.
NY Professional Liability Insurance
People sometimes call this type of insurance "errors and omissions insurance." If someone accuses you of carelessness, missing deadlines, or making professional mistakes in your work, it protects your business. Professional liability insurance will pay for your court defense and other costs that come with it. Professional service providers, such as architects, lawyers, doctors, or dentists, frequently express their need for this type of security.
A professional liability insurance policy protects New York businesses that provide professional services or advice. It covers lawsuits related to work performance.
professional liability insurance policy is best for
- Mistakes and oversights at work
- Lawsuits for professional negligence
- Work that is not completed or is late
Errors and Omissions Insurance in New York
Professional services in New York often have E&O insurance, which is also known as insurance of professional liability. It can pay for lawsuits that are linked to how well you do your job.
Errors and Omissions Insurance is best for:
- Not meeting due dates
- Claims of carelessness
- Errors and oversights
Cyber Liability Insurance in New York
If a cyberattack or data breach happens to a business in New York, cyber liability insurance, which is also called "cyber insurance," saves the business from being sued. If you have a cyber liability policy, it will generally pay to notify customers and government agencies and to keep an eye on your customers' credit.
This coverage covers money lost because of cyberattacks and data breaches. Businesses in New York that deal with credit card numbers and other private information should get it.
Cyber liability insurance is best for:
- Customer notification expenses
- Fraud monitoring services
- Data breach investigations
Commercial umbrella insurance in New York
When the underlying policy's maximum is reached, umbrella insurance provides additional coverage for general liability, commercial auto insurance, and employer's liability insurance.
Commercial umbrella insurance in NY best for:
- Employee injury lawsuits
- Auto accident lawsuits
- Customer lawsuits
New York Commercial Property Insurance
Every company that owns, rents, or leases a physical facility should consider commercial property insurance. Anyone with a home-based business and assets partially covered by homeowner insurance should also consider commercial property insurance.
Property insurance will provide coverage for physical damage to your building or office space. Vandalism, theft, fire, and storm damage are typical covered dangers. This coverage usually covers the contents of your facility, which may include furniture, merchandise, and equipment, as well as personal property.
Most insurance companies do not cover damage resulting from war, nuclear disasters, earthquakes, or flooding. If your firm is located in a flood zone, you should consider purchasing separate insurance. If you do not have one and your business floods, you will have to pay for the repairs out of your cash.
This coverage protects the physical structure and contents of a firm, including inventory, equipment, and furnishings. To save money, combine it with general liability coverage in a business owner's insurance (BOP).
Commercial property insurance is best for:
- Fire
- Theft and vandalism
- Weather damage
New York Business Income Insurance
If your business closes due to damage, business income insurance can help recoup revenue lost during the shutdown. This coverage usually covers your company if you've experienced losses from:
- Fire
- Theft
- Storms
You'll probably require business income insurance if your business:
- Owns or rents a physical place in which to perform services.
- Has a physical place where you can sell retail items.
- Relies on software or digital property to generate income.
- Uses machines or tools to make a product or deliver a service for profit.
Business Owners' Policy (BOP) includes business income insurance, which is also available for purchase separately. For additional information, could you request a quote from us?
Employment Practices Liability Insurance in NY
Employment practices liability insurance (EPLI) protects firm management and owners if they are accused of discrimination, wrongful termination, or sexual harassment. This kind of insurance will protect you in the event of a legal claim, covering any legal expenses and settlements.
General liability insurance benefits in New York
General liability insurance protects your small business against being sued for bodily harm, advertising injury, or property damage. And if you run a small business in New York, you'll almost surely need it.
Why? Lawsuits are a source of concern for many small business owners. Liability lawsuits are more common than you think—four out of every ten small firms may face a legal struggle in the next ten years—and they can be extremely costly to defend.
This is the point at which you'll either be relieved that you bought liability insurance or angry with yourself for not doing so. Without general liability coverage, your company will be responsible for all lawsuit costs, including court fees, lawyers, and a financial settlement. Have you purchased liability coverage? You can sigh with relief. Your insurance will provide legal and financial assistance, allowing you to resume your business operations.
General liability coverage is essential for most small businesses in New York. Our 60-second rate calculator provides a rapid estimate of liability coverage costs.
What does a general contractor need insurance for in New York?
With business insurance from several New York insurance providers, you'll have the protection you need to grow your general contractor firm. Insurance can benefit you in numerous ways.
- General liability insurance helps compensate for harm to property that does not belong to you.
- If someone accuses you of making a mistake that costs them money, professional liability insurance enables you to defend yourself.
- Workers' compensation insurance can help pay medical expenses and lost wages following a workplace incident. The law typically requires employers to deliver workers' compensation.
- Commercial auto insurance can help pay for crashes and other driving-related damages.
- If a covered occurrence damages your owned or leased property, commercial property insurance can assist with replacement or repair costs.
Minimum Business Insurance Requirements in New York
Having insurance, or the correct kind of insurance, for your New York small business may protect you and your employees. That is why it is recommended that you speak with a specialist about the types of company insurance you require.
In New York, small firms must provide disability benefits and workers' compensation insurance to protect employees from workplace accidents or injuries.
We've been offering this coverage to businesses in New York for many years. Our purpose is to assist you in better protecting your business and employees. For additional information, request a quotation today.
How much should a general contractor in New York pay for business insurance?
Running a small business is a 24-hour job. That's why many insurance companies make it simple to obtain the appropriate coverage that is tailored to your specific needs.
A general contractor in New York has specific needs; thus, we tailor our coverage based on the following:
- How many people are on your payroll?
- The state and city in which you work
- The kind of work you do
- The number and types of vehicles you use for work
- The industry that your business is in
- Where is your business located?
- How long have you been in business?
- Do you have a history of claims?
- The insurance company that you select
- The deductibles and policy limitations selected.
- How many personnel you have on staff?
- Your industry and risks
- Business operations
- Number of employees
- Policy limits and deductibles
When you can save to 25% on business insurance, you can afford to invest in your small business. We're here to ensure you always have the appropriate amount and type of coverage.
Small business owners in New York City and surrounding areas can find reasonable commercial insurance options. The average costs in New York are:
- General liability: $41 per month
- Workers' compensation: $37 per month
- Professional liability: $70 per month
We understand that many businesses are looking to save money and reduce expenses. In New York, small businesses can obtain general liability insurance for roughly $300 per year, with coverage ranging from $500,000 to $1 million. However, a variety of factors might influence the cost of company insurance.
Conclusion:
We know how difficult it can be to find the best business insurance protection. We can help you find the best coverage choices for your business, whether it's a souvenir shop in New York City, a pig farm in Buffalo, or a dentist's office in Rochester.
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