Insurance for Small Business Owners in Montana

Do You Need Small Business Insurance in Montana?

A recent study revealed one state in particular as the best state for opening a small business: Montana. Sure, we could go on about Big Sky Country (breathtaking), healthy living (none better), Rocky Mountains (...rocky), and more. But what is better than being #1? Exceptionally low property taxes and no sales tax are attractive to potential job seekers, and a higher than average 5-year survival rate for small businesses contributes to Montana’s success. With many moving to Montana, it is no surprise that construction is a big small business industry. Other top sectors include real estate, retail, and healthcare.

  • There are 126,219 small businesses in Montana
  • 99.3% of businesses in Montana are considered small businesses
  • Small businesses employ 67.2% of the private sector workforce in Montana

From small towns to big cities, small business owners in Montana are working hard to make their businesses succeed. The percent of employees working at small companies in 2018 was the highest of any state, underlining how important small businesses are to Montana. It is essential to protect small businesses with business insurance. Some insurance coverages are even required for all Montana businesses—find out more here.

Required Business Insurance Coverage in Montana

Montana requires the following insurance coverage for small businesses:
  1. Workers’ Compensation Insurance.

    Like the vast majority of states, Montana requires all small businesses with employees to obtain Workers’ Compensation insurance. The penalty is $200 minimum but can become quite substantial. Instead of risking a penalty, consider that workers’ compensation insurance is good for workers and employers alike! It covers medical bills for employee work injuries and illnesses in exchange for employees agreeing not to sue your business over the accident or illness. Coverage can be through the state itself or private insurers.

  2. Commercial Auto Insurance.

    Business-owned vehicles in Montana, no matter the business size, must be covered by commercial auto insurance. Your commercial car insurance policy must include coverage for property damage liability of $20,000 per accident, bodily injury liability of $50,000 per accident, and $20,000 per person for bodily injury liability. If your employees sometimes use their personal vehicles to complete business tasks, B2Z recommends Hired and Non-Owned Automobile Insurance coverage.

Recommended Business Insurance Coverage in Montana

The following insurance coverage is recommended for Montana small businesses:
  1. Small Business Owner’s Insurance.

    It is essential for Montana small business owners to have a Business Owner’s Policy (BOP) for their businesses. A BOP saves you money by bundling property insurance and general liability into one comprehensive policy. Typically the policy covers a Montana small business’s liability when it comes to a customer’s medical expenses for onsite accidents, advertising damage claims, and losses and damages related to property used for business purposes.

  2. General Liability Insurance.

    General Liability can be secured as a separate minimum coverage if your business does not need the property liability portion of a business owner’s policy. If your small company in Montana leases a space, your commercial property contract may require General Liability Insurance. General Liability Insurance helps protect your small business from the financial burden of property damage claims, customer injury, and slander and libel lawsuits.

  3. Cyber Liability Insurance.

    Incredibly, Montana's cybercrime losses totaled almost $9 million in 2020, thanks to over 830 criminals. Montana takes cybercrime seriously—the crime is a felony if the loss is over $1000. Losses per victim were over $8,000. Cybercrimes are rising in the US, making it critical to consider Cyber Liability coverage. Cyber Insurance helps your business with fraud monitoring and customer notification costs following a cyberattack, as well as associated legal fees. With this coverage, your business gets help recovering from cyberattacks like ransomware and malicious hacking.

  4. Professional Liability Insurance.

    Professional services are one of Montana’s biggest business sectors, and it keeps growing. Professional Liability Insurance is crucial for all small services businesses that provide professional advice and expertise like financial advice, real estate, architecture, design, or hairstyle services. Also called “errors and omissions insurance,” Professional Liability insurance focuses on work mistakes and errors, missed deadlines, incomplete work claims, and professional negligence lawsuits.

Our Small Business Insurance Company Is Here to Help

B2Z understands that insurance can be confusing, so we set out to make it understandable and easy to purchase.
  1. Q
    Does B2Z offer small business coverage in Montana?
    A

    Yes. We currently offer the following types of insurance policies to small business owners in Montana:

  2. Q
    How do I get a quote for my small business insurance in Montana?
    A

    It’s simple: Click on the Request a Quote button and answer a few questions. And if you like what you see, purchase your policy online!