Do You Need Small Business Insurance in Maryland?
Maryland moved up an incredible 19 spots in the CNBC America’s Top States for Business listings in 2021. It’s on the rise and now the 12th best state for business! With a modern power grid and commitment to infrastructure, Maryland helps support small business growth. Small business industries important to Maryland include professional and technical services, healthcare, transportation and warehouses, construction, and real estate.
- There are over 618,200 small businesses in Maryland
- 99.5% of businesses in Maryland are considered small businesses
- Small businesses employ over 1.2 million people in Maryland
From Rising Sun to Pokomoke City, Maryland is bustling with small business potential. With small businesses being so crucial to Maryland’s economy, it is essential to protect them with the right business insurance. Small business owners need to know that Maryland may require particular insurance related to specific professions—and some insurance coverages are required for all businesses. Find out more below!
Required Business Insurance Coverage in Maryland
Commercial Auto Insurance.
Does your Maryland small business own any vehicles? If so, you’re required to purchase commercial auto insurance. The Maryland requirement includes minimum coverage for business-owned vehicles of $30,000 in bodily injury per person, $60,000 in bodily injury per accident, and $15,000 in property damage liability.
Workers’ Compensation Insurance.
Almost every small business employer in Maryland is required to obtain workers’ compensation coverage. This includes all full-time and part-time employees, with the only exceptions being partners, sole proprietors, and independent contractors. If you fail to secure workers’ comp, you may be subject to a fine of up to $10,000. A workers’ comp policy covers medical bills for work-related injuries and illnesses.
Recommended Business Insurance Coverage in Maryland
Small Business Owner’s Insurance.
Maryland small business owners can bundle property damage insurance and general liability into one convenient and comprehensive Business Owner’s Policy (BOP) to lower costs. A BOP typically covers losses and damages related to customer medical expenses for onsite third-party accidents like a slip and fall, business property claims, and advertising damage claims.
General Liability Insurance.
A general liability (GL) policy in Maryland can be obtained as separate coverage if your small business doesn’t need a whole BOP. If your Maryland business leases a space, the property contract likely requires General Liability Insurance. GL helps ease the financial burden of customer injury and typically covers third-party property damage, slander lawsuits, and other risks.
Professional Liability Insurance.
Maryland small business owners providing expertise as a service, like financial advice, design, and technical services, should consider errors and omissions (E&O) Professional Liability insurance. E&O covers most work mistakes and errors, missed deadlines, incomplete work, and negligence lawsuits.
Cyber Liability Insurance.
Cybercrimes are a serious threat in Maryland. Cyber Liability coverage is recommended for Maryland small businesses to help manage the fallout from a cyberattack, including help paying for customer notification and fraud monitoring costs and associated legal fees. Cyber insurance helps businesses recover from ransomware, data breaches, and other common cyberattacks.
Our Small Business Insurance Company Is Here to Help
- QDoes B2Z offer small business coverage in Maryland?
- QHow do I get a quote for my small business insurance in Maryland?A
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