Each state has its own insurance requirements for businesses within that state. In Arkansas, there are two types of commercial insurance that are required for virtually all businesses. There are also insurance policies that are highly recommended for different types of small businesses. If you aren't sure which types of commercial insurance your business needs, call us at Harvill and Associates Insurance Agency in Arkansas to talk to an agent.
Workers' Compensation Insurance
This type of insurance is required by Arkansas law. This has to be carried even if you have only one part-time employee. Any employees at all require that you get this insurance. There are a few exceptions to this policy, such as occasional workers, casual workers, and independent contractors. Workers' compensation insurance pays for the necessary medical bills when an employee gets injured or contracts a work-related illness while on the job.
Commercial Auto Insurance
In Arkansas, any business that owns one or more vehicles must have commercial auto insurance on the vehicle(s). This is mandated with specific minimums for the amount of coverage for property damage liability for each accident, the amount of bodily injury liability for each accident, and the amount of bodily injury liability for each person. If you have a vehicle not owned by the company but you use it for business sometimes, you don't have to have commercial auto insurance. However, there is an auto insurance type called hired and non-owned that you can get to cover that vehicle. If your personal vehicle has an accident while you're using it for business, your personal auto insurance policy may not cover it.
Small Businesses in Arkansas
It's important for your small business to be covered by required commercial insurance types as well as other types, like cyber insurance, that may pertain to your business. Call us at Harvill and Associates Insurance Agency in Arkansas to talk to an agent about your company's insurance needs.