Connecticut is home to more than 740,000 small businesses that employ almost half of its labor force.1 For all these businesses, no matter their industry, having the right business insurance is essential.
Small business insurance in Connecticut can protect companies, their owners and employees if:
- A customer accuses them of causing an injury or property damage
- Someone says they made a professional error that led to financial losses
- Workers get hurt on the job
- Employees have an accident in a company vehicle and cause injury or property damage
NEXT is 100% dedicated to small business and insures more than 1,300 types of small businesses and self-employed workers. We make it easy for you to get the right coverage at the right price and purchase your policy online in less than 10 minutes.
Continue reading to learn about the most important types of business insurance in Connecticut. Or get a free instant quote to see customized coverage options for your business.
Business insurance in Connecticut: How it works
Business insurance in Connecticut may include different kinds of policies, which can be bundled into a customized package based on your profession and business operations.
Whether you’re a Hartford-based contractor or run a retail store in Danbury, you can assemble different types of coverage to meet your business insurance needs.
Business insurance for your company may include coverage options such as:
- General liability insurance, which can help cover damages if you’re accused of causing injury or property damage to a non-employee.
- Professional liability insurance, to help pay for damages caused by accusations of work negligence.
- Commercial auto insurance, which can cover damages from accidents in business-owned vehicles.
- Commercial property insurance, to protect your business property, inventory and place of business.
- Workers’ compensation insurance, to help pay medical expenses for injured employees and provide lost wages during their recovery.
More details on types of Connecticut business insurance
Accidents can happen, even to the most responsible business. That’s why general liability coverage is one of the most essential forms of business insurance in Connecticut.
General liability insurance can protect your company’s bottom line by helping to cover the cost of property damage and injuries to non-employees, including resulting lawsuits. Also, commercial landlords often require businesses to carry this coverage as a condition of renting office space.
Here’s when a small business might need to file a general liability claim:
A patron accuses a Hartford-based restaurant of negligence after falling on a wet floor. The customer seeks medical care and later files a lawsuit for additional damages. The restaurant owner’s general liability coverage could help pay for the customer’s medical bills and legal expenses.
If you operate a construction or cleaning company in Connecticut, you might also want to include tools and equipment coverage with your general liability policy. This optional insurance upgrade can help pay to replace or repair gear that is stolen, lost or damaged.
Business insurance requirements in Connecticut mandate that companies with employees carry workers’ compensation insurance.2 If an employee has an on-the-job injury, workers’ comp insurance can help pay for medical expenses and cover lost wages.
For instance, if an employee of a Bridgeport restaurant suffers burns and needs emergency care, regular doctor visits and two months off work to recuperate, workers’ comp can help. It can assist in paying the worker’s medical fees and covering his salary while he gets better.
Personal auto insurance usually won’t cover accident damages that happen when small business owners or employees are driving for business purposes.
That’s why Connecticut companies owning vehicles should add commercial auto coverage to their business insurance packages. It can help pay for injuries and property damage after an employee has an accident while driving a company car.
Commercial auto insurance would benefit a small business in the following situation:
Employees of a carpet cleaning company in Stamford have a minor accident on Interstate 95. Commercial auto insurance would help cover the cost to repair the vehicles involved and pay for any medical care needed by the drivers and passengers.
Businesses that ask employees to drive their personal automobiles for work or rent vehicles may want to consider adding optional hired and non-owned auto insurance. This coverage can help pay for accident damages that happen in vehicles not titled to your company.
If you’re looking to protect your business property, inventory and your business premises in Connecticut, you want commercial property insurance. It can help pay for damages after covered events, such as water, fire and wind damage.
For example, if a windstorm damages the roof of your casual dining restaurant in downtown Greenwich, commercial property coverage can help pay for building repairs and replacement of the roofing material.
Professional liability insurance, which is also called errors and omissions (E&O) coverage, assists small businesses when they’re accused of professional negligence.
Omissions insurance can help cover costs related to accusations of subpar work, missed deadlines or incomplete jobs that cause financial losses. This type of coverage can help businesses compensate clients for work mistakes and includes legal defense benefits.
For instance, if a client accuses a self-employed accountant in New Haven of making a tax error that resulted in fines, professional liability insurance could help the accountant reimburse the client for monies they lost.
How much does business insurance in Connecticut cost?
There’s no set cost for business insurance in Connecticut. How much you’ll pay for your coverage is determined by variables including:
Your profession
Industry-related hazards affect how much your company will pay for coverage. For example, a construction company in Westport, whose work involves the risk of injuries or property damage, will pay more for coverage than a desk-based professional services worker in Norwalk.
The policies and coverage you select
As you add different types of coverage to your insurance package, the price you pay will increase. You will also pay more if you choose higher policy limits (which provide more protection) for your coverage, as opposed to the minimum policy requirements.
Number of employees
Most states determine workers’ compensation insurance costs based on the amount of workers on your payroll. Providing up-to-date employee numbers for your insurance quote is the best way to get an accurate price.
To explore coverage options and find out how much you’ll pay for a business insurance package in Connecticut you can get a free instant quote from NEXT.
You can also use our insurance calculators for a general estimate of insurance costs in Connecticut:
How NEXT can help you with business insurance in Connecticut
We offer a fast and easy way for small business owners to get a business insurance quote online, purchase coverage and instantly share a certificate of insurance. The entire process usually takes less than 10 minutes.
You can also chat with our U.S.–based NEXT licensed insurance agents if you need help or have questions.
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