Learn about business insurance requirements and the most common policies for accountants in Michigan.
Which policies are required for accountants in Michigan?
If you have a commercial lease, your property manager may require you to purchase general liability insurance. Commonly purchased by accountants in Michigan, general liability insurance can protect your business from expenses associated with common mishaps, such as client property damage and injuries.
Your clients may require professional liability insurance in a contract. Also called errors and omissions insurance, professional liability insurance provides financial protection if a client files a lawsuit claiming your work caused financial harm because it was late, erroneous, or incomplete.
State law in Michigan requires almost every small business with employees to provide workers’ compensation insurance, which covers medical bills for work injuries.
What are the most common insurance policies for a Michigan accountant?
The most common policies for accountants in Michigan vary depending on revenue, client contracts, partnerships, and other factors.
General liability insurance
General liability insurance is the foundation of an accountant’s business protection, with coverage that extends to client injuries, client property damage, and advertising injuries. Most commercial leases require you to have this coverage.
Professional liability insurance
Many clients require proof of professional liability insurance before entering into contracts for professional services. This policy, also called errors and omissions insurance or accountant liability insurance, can help cover legal expenses if you’re sued for unsatisfactory performance or a work mistake.
Cyber liability insurance
Cyber liability insurance can help accountants survive data breaches and cyberattacks. Many professional liability policies include this coverage, but check with your licensed Insureon agent to make sure.
Michigan workers' compensation
Michigan state law requires private employers to carry a workers’ compensation policy if they have:
- Three or more employees at any one time.
- One or more employees for 35 hours or more per week for 13 weeks, or more.
If an employee is injured on the job, workers’ compensation can help pay for medical fees and lost wages.
What do accountants in Michigan pay for insurance?
According to an analysis of Insureon applications, the typical accountant in Michigan can expect to pay more than the national median for some policies, and less for others.
For example, Michigan accountants pay a median premium of $1,500 annually for a business owner’s policy, more than the national median of $1,007. However, they pay a median premium of only $370 annually for workers’ comp, less than half the national median of $795.
Save time and money with Insureon
Insureon’s industry-leading technology helps accountants in Michigan save time and money shopping for insurance by comparing policies from top U.S. carriers. Start a free online application to review quotes for the policies that best fit your business. Our insurance agents are licensed in Michigan and can answer your questions as you consider coverage.
To make the application go quicker, have this information ready:
- Workforce details, such as the number and types of employees
- Current and projected revenue
- Business partnerships
- Insurance history and prior claims
- Commercial lease insurance requirements
Apply for free accountant insurance quotes today.