Business insurance is essential for protecting your company from the unexpected. But finding the right insurance plan can be a challenge. Every business is different, and each has its own set of risks to insure against. If you buy too little insurance, you put yourself in financial jeopardy. If you’re a business owner in New Jersey, you understand the importance of business insurance. But finding the right coverage can be hard. That’s why, We’ve evaluated the best business insurance providers based on coverage, financial stability, customer satisfaction, and overall quality.
Coverwallet began its journey in New York City in 2015 operating under the
Aon Insurance banner. At Coverwallet, you can access everything you need to
keep your company well-protected at an unbeatable price.
With a 100-year history of insuring businesses, Hiscox is well-known across
America and globally. With more than 500,000 small business customers,
Hiscox is fully aware and trained in the unique risks a business can face.
Thimble provides business insurance that can be tailored to your business by
the year, month, day, or even the job. At Thimble, the process to getting
the right business insurance is simple, scalable, and flexible.
What are the requirements for business insurance in New Jersey?
New Jersey is governed by the state’s Department of Insurance and has specific regulations that all businesses must follow, regardless of size.
Workers Compensation: Employers with one or more employees (full-time or part-time) must carry workers comp in New Hampshire. The only exception is a domestic, farm, or casual laborer.
Commercial Auto Insurance: New Hampshire requires all business owners who use a vehicle for business purposes to carry Commercial Auto insurance. This includes cars, trucks, and vans.
What are the types of business insurance in New Jersey?
While there are many types of business insurance, some of the most common policies include:
General liability
This protects your business against claims that it caused bodily injury or property damage. Coverage typically includes medical expenses, court costs, damages, and legal fees. General liability may be required by law in your state, depending on your type of business.
General liability insurance does not cover:
Employee benefits liability – covers claims for wrongful termination and harassment.
Employment practices liability – covers claims for wrongful termination and harassment.
Workers’ compensation – covers injuries to employees while on the job.
Workers compensation
If you have employees, workers’ compensation insurance is generally required by law to cover workplace injuries. The policy provides financial benefits to employees who are injured or become ill in the scope of their employment. It typically pays for legal defense and settlements or awards if an employee sues for alleged on-the-job injuries or illnesses.
Workers’ compensation insurance does not cover:
Intentional, illegal acts by employees
An injury that occurs when the employee is committing a crime or violating company policy
seasonal workers such as house help
Product liability
This covers your products if any cause bodily injury or property damage to a third party. Product liability insurance is usually not required by law, but it’s important if you manufacture products that could hurt someone and lead to a lawsuit.
Product liability insurance does not cover:
Product recalls
Breach of warranty
Business interruption
If your business is forced to close due to a covered loss, business interruption insurance can provide funds to help pay fixed expenses until you get back up and running. It can also protect your profits if you have a drop in revenue while rebuilding.
Business interruption insurance does not cover:
Lost profit
Damage to business property
Relocation costs
Commercial Auto insurance
Business vehicles require commercial auto insurance since personal policies don’t typically cover vehicles used for work-related activities. Commercial auto coverage protects your fleet of vehicles and employees who drive their cars for business purposes.
Commercial Auto insurance does not cover:
Injury to uninsured drivers. This includes you and any passengers involved in an accident with another driver who is at fault and doesn’t have insurance or enough insurance to pay for your injuries or damages.
Personal use of a vehicle. Suppose you have a car used for both business and personal reasons. In that case, the vehicle is excluded from coverage under your Commercial Auto policy if it’s involved in an accident while it’s being used for personal reasons.
How much does business insurance cost in New Jersey?
Insurance companies look at various factors to determine the cost of your business insurance policy. Here are some of the factors that may affect the cost of your business insurance:
Company size: When it comes to employees and revenue, bigger isn’t necessarily better. You might think a larger company would naturally be more expensive to insure, but smaller companies sometimes need more coverage because they’re riskier.
Your business location: Some areas are more prone than others to certain types of loss, such as hurricane damage or theft. Your location can also impact how much you pay in premiums because of local taxes, regulations, and other factors.
Claims history: If you have a history of claims, expect your rates to be higher than businesses with clean claims histories. This is because past claim experiences are indicators of future risks for insurers. The more claims a business has filed in the past, the higher its future risk.
Coverage limits: The higher your coverage limits, the higher your premium. However, it can be worth paying more for higher coverage limits if you have a lot to lose in a lawsuit or disaster.
Business Activities: Some industries have more accidents or damage than others. For example, roofers will have higher premiums than office workers because they work at heights with heavy materials and dangerous tools.
How to choose the best business insurance in New Jersey
it’s so important to choose the right business insurance policy. Here are some tips:
Consider how much coverage you need: Seek advice from an insurance professional or legal adviser and research the options available. The more you know about your coverage options, the better decisions you can make on your coverages.
Check on your local laws: Certain types of businesses are required to carry liability or worker’s compensation insurance, depending on state law. Don’t risk fines or legal action.
Shop Around: Look around for different quotes from multiple providers before deciding. Requesting quotes from several providers will help you find the best combination of price and coverage for your business.
Experience: Make sure the insurance company has experience working with businesses like yours. You want a company that understands your industry and how it works.
Know what’s included and excluded: Take some time to review your policy and make sure it covers everything you expect to cover (and exclude what you don’t want to be covered).
