Business Insurance in Rhode Island FAQ - Quick Answers

There are numerous items that will impact your Rhode Island business insurance premiums, and it's impossible to know what your exact rates will be without a custom quote. Check out the risk factors used for rating your coverage below:

  • 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

There are two policies that are a requirement in Rhode Island:

  • Workers' compensation insurance: If you have 4 or more employees.
  • Commercial auto insurance: If you have company-owned vehicles.

Rhode Island business insurance will look different for every operation. However, here are some common foundational policies that could apply to your business:

General liability insurance is a necessary policy and often your business's primary coverage. It pays for the following:

If you want to offer health insurance to your staff, then coverage can be quoted through private carriers with a local agent. As a small business in Rhode Island, you won't be required to provide health coverage with fewer than 50 employees. 

When it comes to finding the best business insurance for your operation, you'll have options. In Rhode Island, Nationwide, Hanover, and Hiscox are highly rated by peers. This is due to their superior claims service and broad coverage selection.

Do You Know What Your Business Insurance Covers in Rhode Island?

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


  • Providence, RI
  • Business Insurance Common Coverage Options
  • Property: Hazards like theft, vandalism, and accidental fires can lead to large, costly business property losses, as can damage caused by Providence’s damaging weather events like hurricanes, hail, and severe storms. Fortunately, when you have the right business insurance in place, your company will be able to repair damage, replace lost property, and continue to function without experiencing a large financial loss.
  • Commercial auto: Commercial auto insurance can protect your business from facing large liability costs if one of your drivers causes an accident in a company-owned vehicle. Rates are based on a number of factors like your employees’ driving records and the types of vehicles you are covering. It costs far more to insure a 12-passenger van than a cargo van, since your company’s liability risks are greater when you are transporting passengers.
  • Workers’ compensation insurance: This is designed to cover the cost of medical treatment, lost wages, and other expenses related to injuries or illnesses your employees may suffer while doing their jobs. It is required for nearly all Rhode Island businesses that have at least four employees. Workers' compensation rates are assigned according to your company’s overall payroll and the types of jobs your employees do.


  • Cranston, RI
  • Business Insurance Common Coverage Options
  • Property: Having a sufficient amount of commercial property insurance can shield your company from losses related to hazards like accidental fires, property crimes, and severe weather events like hurricanes and electrical storms. 
  • Commercial auto: If your Cranston business owns a vehicle or fleet of vehicles, it will need to include commercial auto insurance in its business insurance policy package. Rates for coverage can vary according to the number and types of vehicles you are covering, as well as the risk of collisions where your employees will be driving. If you engage in interstate commerce, you will need to make sure that your coverage meets federal as well as state minimum coverage requirements.
  • Workers’ compensation insurance: Covers medical expenses and paid time off for employees who suffer occupational illnesses or are injured on the job. With few exceptions, if your Cranston business has at least four employees, you are required by 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.


  • Warwick, RI
  • Business Insurance Common Coverage Options
  • Property: Most business owners invest a lot in their assets such as computers, furniture, tools, machines, outdoor signs, and supplies. Business property insurance can help cover the cost of repairing or replacing this property if it is lost or damaged by a covered event like a hurricane. 
  • Commercial auto: If your business owns a vehicle or a fleet of vehicles, you may benefit from having the added liability coverage that comes with a commercial auto insurance policy. This is because liability lawsuits often result in higher judgments when they are brought against businesses. Your rates will be based on several factors, including the number and types of vehicles you are covering, information about the employees who will be driving them, and the risk of collisions in your city.
  • Workers’ compensation insurance: Can cover the cost of medical bills and lost wages for your workers if they are injured on the job or are stricken with an occupational illness. If your company has at least four employees, this coverage is mandatory. Rates are based primarily on your company’s overall payroll and the likelihood that your employees will be injured based on the types of jobs they do.


  • Pawtucket, RI
  • Business Insurance Common Coverage Options
  • Property: You will want to be sure that your business property is covered at levels that will allow you to rebuild, repair, or replace damaged property as needed. Some of the severe weather that is common in Pawtucket includes hurricanes, snowstorms, water main breaks, and floods.
  • Commercial auto: Whether you are insuring a company car, a delivery van, or a fleet of construction trucks, commercial vehicle insurance can protect your company against losses related to liability lawsuits and property damage. 
  • Workers’ compensation insurance: Is required by state law if you employ at least four workers in Pawtucket. This insurance can cover medical treatment, lost wages, and other costs associated with occupational illnesses and injuries that occur on the job. Every type of business has its own risks when it comes to employee safety. Some jobs are simply safer than others. That is why workers' compensation rates often vary significantly from one business industry to the next.


  • Woonsocket, RI
  • Business Insurance Common Coverage Options
  • Property: The crime rate in Woonsocket is relatively high. This makes it particularly important for you to ensure that business assets are sufficiently covered against risks like shoplifting, cyberattacks, and embezzlement. In addition to covering against crime, your policy can also cover loss and damage due to hazards like severe weather and accidental fires.
  • Commercial auto: Many businesses in Woonsocket have company-owned cars, trucks, vans, or buses. If yours is among them, you will need to cover these vehicles with a commercial auto insurance policy. Doing so can prevent your business from facing a financially devastating lawsuit if one of your drivers is responsible for a serious accident.  
  • Workers’ compensation insurance: Covers expenses like medical bills and lost wages for workers who are injured while doing their jobs or who are stricken with an occupational illness. It is required for nearly all Rhode Island businesses that have at least four employees. Rates for this coverage are assigned according to your company’s overall payroll amount and the types of jobs your employees do.