Minnesota Business Insurance FAQ - Quick Answers
The cost of your Minnesota small business insurance will be individualized and based on your operations. Check out the following risk factors carriers look at when rating your policies:
- 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 Minnesota, workers' compensation insurance is required if you have just one employee. You'll also need the minimum liability limits when you own company vehicles. All other commercial policies are not mandated, but are useful to consider.
Your Minnesota small business insurance will have coverage for many risk factors. Most small businesses obtain a variation of the following policies:
- 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 who is hurt or becomes ill on the job. Mandatory when you have one employee or more.
- 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.
- Commercial vehicle 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.
As a Minnesota small business owner, you'll need different types of liability policies to be properly protected. Check out the most common liability coverages below:
- 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.
As a Minnesota small business owner, you won't be required to offer health insurance unless you have 50 employees or more. However, many companies choose to provide health coverage for added benefits. You can obtain quotes through a licensed insurance adviser.
There are numerous carriers where you can obtain small business insurance. In Minnesota, some of the best companies are Nationwide, Travelers, Progressive, and Hanover. These companies are known for their superior customer service and broad coverage offerings.
Do You Know What Your Business Insurance Covers in Minnesota?
Find the Best Insurance in Your City
How does your city measure up to the national average?
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. of businesses | Burglaries / 1,000 people | Auto thefts / 1,000 cars |
| Minneapolis | 44,702 | 7.88 | 6.73 |
| St. Paul | 27,147 | 6.57 | 7.79 |
| Rochester | 8,900 | 2.38 | 1.07 |
| Duluth | 6,107 | 5.6 | 2.47 |
| Bloomington | 9,735 | 2.13 | 1.92 |
| Brooklyn Park | 5,068 | 3.68 | 3.71 |
| Plymouth | 8,274 | 1.89 | 0.55 |
| St. Cloud | 5,577 | 3.29 | 2.55 |
| Eagan | 6,621 | 1.39 | 1.08 |
| Woodbury | 5,450 | 1.99 | 0.37 |
| Maple Grove | 6,188 | 0.98 | 0.51 |
| Eden Prairie | 7,213 | 1.05 | 0.34 |
| Minnetonka | 7,465 | 1.67 | 0.69 |
| Edina | 6,619 | 2.64 | 0.92 |
| St. Louis Park | 6,024 | 2.62 | 1.84 |
- Minneapolis, MN
- Business Insurance: Common Coverage Options
- Property: Commercial insurance costs in Minneapolis are affected by the city’s crime rate, as well as your risk for other types of property loss or damage due to weather events, fires, and other unforeseen circumstances. The property crime rate in Minneapolis is higher than the national average, and higher than other cities in Minnesota. You may pay more for Minneapolis business insurance as a result.
- Commercial auto: If your business owns a single car or a fleet of vehicles, you'll need to purchase commercial auto insurance. It protects your commercial vehicles just like your personal car insurance protects your family cars. Minneapolis has a high auto theft rate relative to other cities in Minnesota and the US. Your commercial auto insurance rates may be higher than average as a result.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary significantly depending on your industry.
- St. Paul, MN
- Business Insurance: Common Coverage Options
- Property: St. Paul has a relatively high property crime rate compared to other cities in Minnesota, which may make commercial insurance rates higher than average. Regardless of where your business is located, you need business insurance to protect your assets from the costs of theft, vandalism, and other property threats like fire and severe weather.
- Commercial auto: Commercial auto insurance rates are largely determined by the number and type of vehicles you need to insure, as well as the risks you face for collisions or other types of losses. Auto theft can be a problem in St. Paul. A high auto theft rate in your city may increase your business auto insurance premiums.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary significantly depending on your industry.
- Rochester, MN
- Business Insurance: Common Coverage Options
- Property: Rochester is a safe community, but accidents and break-ins can happen when you least expect it. If your business is victimized by a property crime, your Rochester business insurance will help you pay to repair or replace lost, stolen, or vandalized property. It also helps you recover if you experience damage due to fire, severe weather, or other unforeseen circumstances. Luckily, the lower property crime rate in Rochester may help to keep your commercial insurance rates lower than in other Minnesota cities.
- Commercial auto: Commercial auto insurance is a necessity if your business owns a vehicle or a fleet of vehicles. Auto theft is not a huge problem in Rochester, but it does happen. No matter where your business is located, you need commercial auto insurance to protect you should the worst happen. Business auto insurance also protects your drivers and your vehicles after collisions and other types of mishaps with your company cars.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary significantly depending on your industry.
- Duluth, MN
- Business Insurance: Common Coverage Options
- Property: Any number of events can cause damage to your business property, including severe weather, property crimes, or an unexpected fire. Duluth business insurance protects your business from losses and helps you repair the damage. You might pay slightly more for commercial property insurance in Duluth, since the property crime rate is higher than the national average and higher than many other cities in Minnesota.
- Commercial auto: Auto theft can create a major challenge for businesses that own vehicles. If a company car is stolen, your commercial auto insurance will help you replace your vehicle without taking a hit to your bottom line. Car owners in Duluth experience less theft than the national average, which may help to keep commercial auto insurance rates lower than average, too.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary significantly depending on your industry.
- Bloomington, MN
- Business Insurance: Common Coverage Options
- Property: Property crime is one of the biggest threats to your business assets. If your business is robbed or vandalized, you could face a financial nightmare. Business insurance can protect you from property losses related to crime, as well as property damage due to severe weather, fire, and other unforeseen events. But be aware that if you live in an area with a high property crime rate, you may pay more than average for your Bloomington business insurance.
- Commercial auto: Commercial auto insurance protects your company vehicles and drivers just like your personal auto insurance protects your family. Likewise, the auto theft rate in your city plays in role in what you will pay to cover your autos, including your commercial vehicles. Bloomington has a relatively low rate of auto theft, which may help you save some money on your business auto insurance.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary significantly depending on your industry.
- Brooklyn Park, MN
- Business Insurance: Common Coverage Options
- Property: You need to protect your Brooklyn Park business from a number of threats, including fire, burst pipes, severe weather, or a break-in. All of these can cause damage to your business property and can place a heavy financial burden upon you, as well. Brooklyn Park has a somewhat higher property crime rate than many cities in Minnesota, which means you have an increased risk for thefts, break-ins, and vandalism. You may pay more than average for your commercial property insurance as a result.
- Commercial auto: Commercial auto insurance premiums depend on several unique factors, including the number of vehicles you need to insure, the type of vehicles covered, and the risk of theft and collisions in your city. If you live in an area with a high rate of auto theft, expect your commercial auto insurance rates to be higher than average.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary significantly depending on your industry.
- Plymouth, MN
- Business Insurance: Common Coverage Options
- Property: Did you know that the crime rate in your city can affect how much you pay for business insurance? Businesses in areas with high crime rates face an increased risk of break-ins, vandalism, arson, and other property crimes. Luckily, Plymouth has a low property crime rate, which can help to keep your business property insurance rates down.
- Commercial auto: Auto theft is rare in Plymouth. In general, if you live in an area with a low rate of auto theft, you will pay less for commercial auto insurance. Other factors also play a role, such as the number and type of covered cars and what they are used for.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary significantly depending on your industry.
- St. Cloud, MN
- Business Insurance: Common Coverage Options
- Property: Business property insurance protects your assets when robbers, vandals, or even arsonists target your business. If you experience property damage due to a crime, your insurance will help you repair and replace your business property and can even help you stay operational while repairs are being made. If your business is in a high-crime area, expect to pay more for commercial property insurance because of the increased risks you face.
- Commercial auto: Any business that owns vehicles (cars, trucks, vans, etc.) needs commercial auto insurance. It protects your St. Cloud business from the financial consequences of car accidents and other mishaps, such as theft, with your owned vehicles. If you live in an area with a high rate of auto theft, expect to pay a little more for your commercial auto insurance because of the increased risk that you face.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary significantly depending on your industry.
- Eagan, MN
- Business Insurance: Common Coverage Options
- Property: Whether property damage comes from severe weather, vandalism, or fire, it is an expensive problem for your business. Without the right Eagan commercial insurance coverage, you'll have to pay to repair damage and replace property out of your pocket. Your risk of property crime is low in Eagan, so your rates for commercial property insurance may be lower than average, too.
- Commercial auto: Whether you have one company car or a fleet of trucks, you need commercial auto insurance to protect your vehicles and drivers. The cost for coverage will be based on the number of cars you need to insure, the make and model of the vehicles, and the risk for auto thefts and collisions in your area. Auto theft is rare in Eagan, helping to keep your commercial auto insurance rates down.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary significantly depending on your industry.
- Woodbury, MN
- Business Insurance: Common Coverage Options
- Property: In addition to severe weather events and fires, property crimes like theft and vandalism can lead to large losses for your business if you do not have the right insurance. Commercial property insurance helps you repair and replace lost, damaged, or destroyed business property so you can get back to work as soon as possible. Woodbury is a relatively safe city, which may help to keep your commercial property insurance rates lower than in other Minnesota cities.
- Commercial auto: Business-owned vehicles have to be insured just like your personal vehicles. Commercial auto insurance provides protection against collisions, thefts, and liability claims. Your rates will be based on variables such as the number of vehicles you need to insure, your yearly mileage, and the risk for auto thefts in your area. Auto theft is relatively rare in Woodbury, which may help to keep commercial auto insurance rates down.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary significantly depending on your industry.
- Maple Grove, MN
- Business Insurance: Common Coverage Options
- Property: One in 58 Maple Grove residents will be the victim of a property crime like burglary, theft, or arson. If your business were a victim, would you be able to repair or replace stolen, damaged, or destroyed property? Commercial property insurance lets you rest easy, knowing your assets are protected. If you live in an area with a high crime rate, you may pay more than average for your coverage because of the increased risk you face. Luckily, Maple Grove is a safe city with a low rate of property crime.
- Commercial auto: If your business owns one vehicle or a whole fleet of cars and trucks, you need commercial auto insurance to protect your vehicles and drivers. Your premiums will be based on a variety of factors, such as the makes and models of the covered autos, what the vehicles are used for, and the risk for auto theft and collisions in your city.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary so significantly depending on your industry.
- Coon Rapids, MN
- Business Insurance: Common Coverage Options
- Property: Severe weather and fire aren’t the only risks for your Coon Rapids business property. Crimes like theft, arson, and vandalism can also pose a serious risk to your assets if you don't have the right commercial insurance coverage for your business. But remember, if you live in an area with a high crime rate, you might pay more than average for your coverage.
- Commercial auto: You need protection for your commercial vehicles regardless of where your business is located. It protects your business-owned vehicles just like your personal auto insurance protects your family. What you pay is based on several factors, like the makes and models of the covered vehicles, what the vehicles are used for, and the risk for theft and collisions in your city. Auto theft is not a serious problem in Coon Rapids, so it likely has little impact on the cost of coverage.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary significantly depending on your industry.
- Eden Prairie, MN
- Business Insurance: Common Coverage Options
- Property: The cost of Eden Prairie commercial property insurance depends on several factors, such as the crime rate and your risk for other types of property loss or damage due to weather events, fires, and other unforeseen circumstances. Eden Prairie’s property crime rate is lower than the national average. You're likely to pay less for Eden Prairie commercial property insurance as a result.
- Commercial auto: If your Eden Prairie business owns a car or a fleet of vehicles, you'll need to purchase commercial auto insurance. It protects your commercial vehicles just like your personal car insurance protects your family cars. If you live in a city with a high rate of auto theft, your commercial auto insurance rates may be higher than average. Eden Prairie has a low auto theft rate, which may help to keep commercial auto insurance rates lower than in other Minnesota cities.
- Workers’ compensation: Pays for medical bills and lost wages for workers who are injured on the job. It is required for most Minnesota employers. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary significantly depending on your industry.