Minnesota (MN) Business Insurance

Minnesota (MN) Business Insurance Requirements

What business insurance am I required to get in Minnesota?

Minnesota workers’ compensation insurance

All employers in Minnesota with three or more employees are legally required to have
workers’ compensation insurance. Workers’ compensation insurance exists to safeguard employees from financial impact related to injuries or illnesses sustained on the job. As a business owner, it also protects you from liability related to employee injuries. Workers’ compensation covers expenses and lost wages caused by the following:

• Work-related accidents and injuries, such as repetitive stress injury, and resulting disability
• Illnesses caused by or related to employment

Minnesota auto liability insurance

If you drive a car, truck or van as part of your business operation, you’re required to have auto liability insurance or qualify as a self-insurer. Auto liability insurance can protect you and your business from the following types of third-party claims resulting from auto accidents involving your vehicle:

Property damage –
If you get into an accident in which you are at fault, your auto policy’s Property Damage Liability covers the cost to repair or replace the other party’s vehicle.

Bodily injury –
If you get into an accident in which you are at fault and the driver or a passenger of the other vehicle is injured, your auto liability insurance cover will insure the additional costs arising out of bodily injury, including medical expenses and death benefits once the injured party has exceeded all PIP benefits available under their policy.

In Minnesota, your auto liability insurance also provides coverage for:

Personal Injury Protection (PIP) –
Personal Injury Protection covers 80 percent of all necessary and reasonable medical expenses up to $10,000 resulting from a covered injury, no matter who caused the crash.

Also, depending on the use of your vehicle, the kind of vehicle or if your vehicle is registered or titled under your business name, you may need a commercial auto insurance policy to secure the appropriate coverage and vehicle registration, and avoid penalties.

What other types of business insurance are recommended for Minnesota?

Minnesota general liability insurance

General liability insurance
(also known as CGL—for commercial general liability) is one of the most essential and effective ways to safeguard your business. It protects your business from the financial consequences resulting from liability related to third-party non-employee bodily injury or third party property damage that arises from your business operations. It also provides coverage for personal and advertising injury. Without general liability insurance coverage, you could be in financial trouble in the event of an unfortunate accident involving a customer or other third party.

Minnesota professional liability insurance

If you provide professional services and your advice is alleged to have led to one of your clients suffering a financial loss,
professional liability insurance
can help. When a former customer or client claims—rightly or wrongly—that a mistake in your work led them to suffer a financial loss, professional liability insurance provides you with investigation and defense of the claim as well as making payments of any settlements or judgments.

Inland marine insurance

Inland marine insurance
is designed to protect that vital equipment you use to make your business run smoothly. It protects your business by covering costs associated with accidentally damaged, lost or stolen equipment that is on the go with you. Whether you have an expensive tool collection, pricey construction materials, or other equipment you transport to a job site, having inland marine insurance is a no-brainer. At Thimble, we offer inland marine insurance, or
Business Equipment Protection
as we call it, with coverage for up to $5,000 worth of business property and equipment.

Commercial property insurance

Commercial property insurance
protects your company’s building and the contents inside it from all kinds of risks of physical loss or damage, including theft, vandalism, fires and natural disasters such as floods, storms or earthquakes. Commercial property insurance is often included as part of a Business Owners’ Insurance Policy, or BOP.