Business Insurance in North Dakota

North Dakota state law requires all employers to purchase workers' compensation insurance for their employees prior to hiring. That includes part-time, full-time, seasonal, and occasional workers.

North Dakota is one of four states that operates a monopolistic state fund for workers' compensation. That means employers cannot buy workers' comp from private insurers, only from the state fund administered by the North Dakota Workforce Safety & Insurance (WSI).

Workers' comp covers the cost of medical bills and provides disability benefits for North Dakota workers who are injured on the job or who develop an occupational disease.

Policies purchased through the state fund do not include employer's liability insurance coverage, which provides financial protection against employee injury lawsuits. However, you can still purchase it through a private insurance provider as stop gap coverage.

All business-owned vehicles in North Dakota must be covered by commercial auto insurance. This policy covers the cost of accidents involving work vehicles.

North Dakota’s minimum requirements for auto liability insurance are:

• Bodily injury liability: $25,000 per person / $50,000 per accident
• Property damage liability: $25,000 per accident
• Uninsured motorist coverage: $25,000 per person / $50,000 per accident
• Personal injury protection: $30,000 per person

Trucking companies may need additional coverage to comply with regulations.

Though it's not required, personal vehicles driven for work purposes should be covered by hired and non-owned auto insurance (HNOA), as personal auto policies usually exclude business use. It can be added to commercial general liability insurance (CGL) or a business owner's policy (BOP).