Business Insurance in Alaska FAQ - Quick Answers
While you can't know your exact costs for commercial coverage without quotes, you can understand what impacts them the most. Check out the following risk factors that carriers look for when rating your small business insurance premiums in Alaska:
- Type of industry
- Number of employees
- Gross annual sales
- Location of business
- Number of company vehicles
- Safety practices in place
- Past claims reported
- Number of years in operation
In Alaska, you're required to have workers' compensation insurance if you have one employee or more. You'll also be mandated to have the minimum limits of liability for any company-owned autos. While other coverages may be worth looking into, they aren't usually required by law.
Business insurance in Alaska covers your exposures based on your daily operations. Every policy will be different for every company, but there are some options listed below that are often used by small businesses:
- General liability insurance: Pays for a bodily injury or property damage liability lawsuit brought against your operation
- Workers' compensation insurance: Pays for the injuries of an employee hurt on the job. Mandatory when you have one or more employees.
- Property insurance: Covers damage to your business property due to a covered claim
- Business income insurance: Pays for regular business expenses when a covered loss closes your operation for a period of time
- Business auto insurance: Pays for a loss resulting from an auto accident with a company-owned vehicle. Must abide by state car insurance laws.
- Professional liability insurance: Pays for a lawsuit against your business due to negligent or harmful advice
- Commercial umbrella insurance: Provides an additional limit of liability coverage over your underlying business policies
Your Alaska small business can have several liability policies depending on your risks. Check out common liability insurances for your operation:
- General liability insurance: Pays for a bodily injury or property damage liability lawsuit brought against your operation
- Professional liability insurance: Pays for a lawsuit against your business due to negligent or harmful advice
- Commercial umbrella insurance: Provides an additional limit of liability coverage over your underlying business policies
In Alaska, you can obtain quotes for company-provided health insurance through a local independent insurance agent. Your small business is only required to offer health coverage when you have 50 or more employees, but some still want to add protection to their staff's benefits package.
When it comes to finding the best small business insurance, you'll have a lot of options. In Alaska, Progressive, Travelers, and Hanover insurance companies are top-rated. These carriers are used by many business owners due to their excellent claims service and superior coverage offerings.
Do You Know What Your Business Insurance Covers in Alaska?
Find the Best Business Insurance in Your City
National Business Insurance Stats
Number of businesses in the US: 30,819,176
Burglary rate per 1,000 residents in the US: 3.76
Auto theft rate per 1,000 vehicles in the US: 2.29
| City | No. businesses | Burglaries / 1,000 people | Auto thefts / 1,000 cars |
| Anchorage | 26,033 | 5.88 | 5.32 |
| Fairbanks | 2,713 | 5.17 | 5.84 |
| Juneau | 3,703 | 5.88 | 2.92 |
| Kenai | 970 | 5.85 | 5.98 |
| Ketchikan | 1,283 | 3.85 | 2.53 |
| Palmer | 1,391 | 2.54 | 3.61 |
| Sitka | 1,649 | 2.12 | 1.29 |
| Wasilla | 2,646 | 1.05 | 3.67 |
- Anchorage, AK
- Business insurance Common coverage options
- Commercial property: Anchorage occasionally sees inclement weather including windstorms, heavy snows, and freezing temperatures. These severe weather events can wreak havoc on business property. Fortunately, commercial property insurance can cover the cost of replacing lost items and repairing damage so that your company can continue to function without experiencing a large financial loss.
- Commercial auto: Commercial auto insurance can shield your business from large property damage losses and liability expenses if one of your drivers causes an accident while operating a company-owned vehicle. Rates can be influenced by the types of vehicles you are covering and information about the employees who will be driving them.
- Workers’ compensation: Workers’ compensation insurance is designed to cover the cost of medical treatments, disability pay, and other expenses related to workplace injuries and occupational illnesses. Alaska state law requires companies that have at least one employee to purchase this insurance. Workers’ compensation rates are assigned according to your company’s overall payroll and the types of jobs your employees do.
- Juneau, AK
- Business insurance Common coverage options
- Commercial property: The property crime rate in Juneau is higher than both the state and the national averages. More than 1,000 thefts are reported in this small city every year. This makes it particularly relevant to think about how to ensure that your business assets are sufficiently covered. In addition to covering against crime, your policy can also cover loss and damage due to hazards like inclement weather and accidental fires.
- Commercial auto: Accidents can happen even to the most careful and experienced drivers. If your Juneau business owns a vehicle or fleet of vehicles, you will need to carry commercial auto insurance that includes liability coverage meeting state-mandated minimums for the type of vehicle you are insuring. Rates for these policies can vary according to the number and types of vehicles you are covering, as well as the risk of collisions where they will be driven.
- Workers’ compensation: Workers’ compensation insurance covers medical expenses and paid time off for employees who are injured on the job. It can shield your company from liability lawsuits related to these injuries. With few exceptions, if your business has at least one employee, you are required by Alaska state law to have this insurance. Rates for coverage can vary significantly from one business to the next, depending on the types of jobs your employees do and your company’s overall payroll.
- Fairbanks, AK
- Business insurance Common coverage options
- Commercial property: As a business owner, you have likely invested a lot in your company’s assets such as computers, furniture, machinery, and supplies. Business property insurance can help cover the cost to repair or replace this property if it is lost or damaged by a covered event like a severe storm or a fire.
- Commercial auto: Many businesses in Fairbanks have company-owned vehicles. If yours is among them, you will need to insure these cars, vans, buses, or trucks with a commercial auto insurance policy. Doing so can prevent your business from facing an expensive lawsuit if one of your drivers causes a serious accident. It can also help to cover costs if your vehicles are damaged in an accident.
- Workers’ compensation: Workers’ compensation insurance covers medical bills and lost wages for workers who are injured while doing their jobs. It is required for nearly all Alaska businesses that have at least one employee. This insurance not only protects your employees but can also prevent your company from facing expensive lawsuits related to workplace injuries. Rates for workers’ compensation coverage are assigned according to your company’s overall payroll amount and the types of jobs your workers do.
- Badger, AK
- Business insurance Common coverage options
- Commercial property: An out-of-control fire at your place of business can have devastating repercussions. In addition to your business facing extensive property damage, it may also be forced to remain closed for several weeks while repairs are made and inventory is replenished. So long as your business insurance plan includes sufficient commercial property coverage and business interruption insurance, your company should be able to withstand the losses an accidental fire can cause.
- Commercial auto: If your business owns a vehicle or a fleet of vehicles, your company will need the added liability coverage that comes with a commercial auto insurance policy. Your rates for this mandatory coverage will be based on several factors, including the number and types of vehicles you are covering, details about the employees who will be driving them, and the collision rate in your city and anywhere else these vehicles are likely to be driven.
- Workers’ compensation: Workers’ compensation insurance can pay for medical bills and lost wages if an employee in your company suffers an occupational illness or is injured on the job. Rates are based on your company’s overall payroll and the potential risks faced by your employees according to their job classifications. If you employ at least one person, you will be required to carry this insurance.
- Knik-Fairview, AK
- Business insurance Common coverage options
- Commercial property: Earthquakes pose a rare but significant risk to businesses in the Knik-Fairview area. This risk here is 829% greater than the overall US average. One of the worst to strike the area was a 9.2 magnitude quake that had its epicenter just 74.4 miles from Knik-Fairview city center. It is important to keep in mind that damage from earthquakes must be covered by a supplemental earthquake insurance policy.
- Commercial auto: Whether you are insuring a company car, a delivery van, or a fleet of construction vehicles, commercial vehicle insurance can protect your company against losses related to liability risks and property damage if one of your drivers is involved in a collision.
- Workers’ compensation: In Alaska, workers’ compensation insurance is required by law if your business has at least one employee. Workers’ compensation insurance not only protects your employees from financial losses related to workplace injuries and occupational illnesses, but it also shields your business from potential lawsuits related to these injures and ailments.