What are the requirements for small business insurance in New York?

Regardless of industry, certain types of insurance are required for all small businesses in New York. If a business has employees – even just one – it must provide workers’ compensation coverage. Commercial automobile insurance is another type of insurance that is required if cars or trucks are used for business purposes. For lease agreements, the landlord may include clauses for liability coverage such as general liability insurance and/or commercial property insurance. Although it’s not required, professional liability insurance, also called errors and omissions insurance, is recommended to protect experts from lawsuits related to their professional advice or expertise.

Insureon is licensed in New York. Our agents can provide you with a range of quotes on appropriate coverage for your small business. Apply for free insurance quotes to start comparing prices from leading U.S. insurance carriers.

Learn more about insurance for your profession

Beyond state-mandated regulations, the risks that are specific to your industry determine the type of coverage that’s appropriate for your small business. Insureon’s experts know the nuances of business in New York; find your profession in the list below, or fill out the online business insurance application to determine which policies best match your company profile.

Some examples of the professions Insureon covers:

Accountants Convenience stores Lawyers Real estate agents
Architects Dentists Nurses Tax preparers
Beauty  General contractors Personal trainers Find more professions
Cleaning businesses IT consultants Photo/video  

New York small business insurance policies

In New York, small businesses most often purchase the following policies:

General liability insurance

General liability insurance protects your business from expenses related to customer injuries and customer property damage, including lawsuits. Your clients or landlord may require you to provide provide proof of general liability insurance before entering into a contract or a lease with you. Situations where general liability would help cover expenses include:

  • A worker at your auto shop accidentally damages a customer’s vehicle.
  • A client trips on a pile of boxes at your office, breaks a leg, and sues you to recoup medical expenses.
  • A customer suffers burns from spilling a cup of hot tea from your corner store.

Property insurance

Your building, equipment, and inventory are valuable assets that may require protection against crime and accidents. Commercial property insurance helps with losses or damages relating to the property owned by your business. It can help cover the cost of repair or replacement when:

  • A piece of equipment breaks on a construction site.
  • A thief steals a sound system from your home theater store.
  • A plumbing leak causes water damage to a printer’s inventory.

Workers’ compensation insurance

New York state law requires all businesses with employees to provide workers’ compensation insurance. When an employee misses work due to a workplace injury or illness, this coverage can help pay for lost wages and medical fees. Workers’ comp may help cover expenses when:

  • A salon worker develops respiratory health problems due to poor ventilation at a hair-coloring station.
  • A lack of stairwell lighting at your business causes an employee to stumble and fall.
  • A nurse gets a lower back injury while helping a patient out of a wheelchair.

Professional liability insurance (errors and omissions insurance)

Professional liability insurance can help pay legal costs related to expert advice or services that you provide to your clients. It can help provide coverage when:

  • You break the terms of a client's contract.
  • Your error results in a client's revenue loss.
  • You miss a deadline, negatively impacting a client’s business.

Cyber liability insurance

In New York, businesses are required to notify their customers in the event of a cyberattack or other security breach that exposes private information. They also must disclose the breach to certain state agencies, including the offices of the New York Attorney General, New York State Police, and the Division of Consumer Protection.

In the event of a breach, cyber liability insurance can help pay for:

  • Data breach notification costs.
  • Forensic investigation into the cause of the breach.
  • Credit monitoring for parties affected by the breach.
  • Legal expenses if you’re sued for not preventing the breach.

Business owner’s policy (BOP)

If your small business is eligible, you can save money by purchasing a business owner’s policy, which bundles general liability and commercial property insurance at a lower rate than if they were purchased separately. Your business may be eligible if:

  • You work in a low-risk industry.
  • You have fewer than 100 employees.

Commercial auto insurance

Any vehicles owned by your business must be covered by commercial auto insurance. This coverage can assist with:

  • Repairs to the other driver’s car in an accident.
  • The other driver’s medical expenses due to injury.
  • Legal expenses if you’re sued over an accident.
  • Repairs to your vehicle if it’s damaged by theft, weather events, or vandalism.

New York business insurance licensure information

In New York, insurance agents, agencies, and brokers are licensed by the New York State Department of Financial Services. Insureon is licensed in New York as BIN Insurance Holdings, LLC (NPN 15752926) for property and casualty insurance (agent license PC-1155635, broker license BR-1155635) and for surplus lines (license EX-1155635). You can verify our licensure with the New York State Department of Financial Services Insurance License Search by selecting “Business Entity” in the first dropdown and then entering our New York state license.

Customer Reviews
Rated 4.9 out of 5 Stars

"Amazing customer service, loved that I could do everything via email. Nothing better than that."

"Excellent and responsive service. My agent was out when I called but another person jumped right in and took care of the policy."

Read more reviews...
Insurance Resources

Insureon Blog

Stay in the loop about how insurance is affecting small businesses around the country.


Get the latest insurance research and other useful tools from the Insureon Small Business Institute.

Sample Certificate

See a Certificate of Liability Insurance, a one-page proof of coverage.


Short video guides to basic insurance topics.