Small businesses account for a critical part of the Idaho economy: 184,000 of them employ more than 56% of the state’s entire workforce.1
The owners of all of these small companies need Idaho business insurance to protect their employees and their livelihoods. Having the right coverage is important because it can help pay expenses after unforeseen events, such as:
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.*
Curious about what types of coverage are required in the state of Idaho? It’s different for each small business, depending on several factors, which include your:
Many businesses also have Idaho workers’ compensation coverage to help cover medical expenses and lost wages after workplace accidents. It’s required by Idaho law for companies that have employees.2
One of the most frequently purchased types of business insurance in Idaho is general liability coverage, sometimes called commercial general liability or business liability insurance. It can help pay for damages if someone other than an employee accuses your business of causing an injury or property damage.
For instance, an employee of a Boise-based plumbing company accidentally breaks a pipe at a downtown office building during a job. This causes water damage and leads to a worker slipping on a wet floor and falling, breaking a wrist.
The plumbing firm’s liability insurance could help cover the injured person’s medical bills and the cost to repair the damage. It could also assist with legal defense fees if the injured person or the building owner sued the plumbers for negligence.
Cleaning and construction companies may also want to include tools and equipment coverage with their general liability policy. This optional add-on can help replace or repair essential work gear that’s stolen, lost or damaged.
State law requires most businesses with one or more employees to carry Idaho workers’ compensation insurance.2
Workers’ comp is designed to help cover medical bills and lost wages when employees are injured in the workplace.
For instance, an employee of a small construction company in Moscow gets a bad cut while moving building materials at a job site. They need to visit the emergency room for stitches and require two weeks off to recover.
Workers’ comp insurance could help cover the employee’s medical bills and assist with lost wages while they’re unable to work.
If your company owns vehicles or your business involves driving, you’ll want to have commercial auto insurance. This type of coverage is important because personal auto insurance won’t pay for accident damages if you’re behind the wheel on business.
Here’s an example of how commercial auto coverage could help an Idaho business:
A shuttle driver at a boutique hotel in Coeur d’Alene has a minor accident while dropping off guests at a restaurant. Commercial auto insurance could help the hotel owner pay for damage to its shuttle and other vehicles. It could also help cover related medical expenses if anyone suffered bodily injury.
Small businesses that ask employees to drive their own vehicles for work or use rental cars will want to add hired and non-owned auto coverage to their commercial auto policy. This optional insurance can help cover accident damages in these situations.
Idaho commercial property insurance, sometimes called business property insurance, can help pay for business property that’s damaged or destroyed after a covered event, such as water, fire or wind incidents.
For example, a kitchen fire at an Idaho Falls casual dining restaurant damages the cooking station. Commercial property coverage could help pay to repair the grill and replace cookware that was ruined.
It’s important to read your policy documents carefully to make sure there aren’t exclusions for your business. Many carriers don’t cover flood and hurricane damage.
Another common type of insurance for Idaho businesses is professional liability coverage, also known as E&O or errors and omissions insurance. It can help pay for damages if someone claims that your business made a mistake, delivered substandard work or missed a deadline and caused them financial loss.
Here’s how professional liability insurance could help in the case of professional negligence:
A client accuses a Nampa-based electrical engineering company of failing to complete a job on time, which creates a project delay and causes financial losses. E&O insurance could help the engineers pay for the damages.
The cost of your business insurance packages in Idaho will be based on your company’s insurance requirements. Some of the factors that providers will consider when pricing your premiums include:
Industries that have greater risk of injury and property damage can expect to pay more each month for coverage. For example, auto repair shops in Idaho will likely have a larger business insurance bill than accountants.
While you might be tempted to omit some types of recommended coverage when purchasing your insurance package, this may not be in your best interest. Although it could save a little money every month, this can put you at risk of paying out of pocket if you don’t have the right coverage when an accident happens.
The more employees you have, the more you’ll pay for workers’ compensation insurance. That’s why providing an accurate headcount of full-time and part-time workers is important when requesting an insurance quote.
The best way to explore coverage options and find out how much you’ll pay for a business insurance policy is to get a free instant quote from NEXT.
You can also use our insurance calculators for a general estimate of insurance costs in Idaho:
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.
Learn more about insurance options in the states where you work.