Is commercial insurance required in Texas?

When it comes to owning a small business, you’ll want to be sure that you stay abreast of any changes to state law that impact the type of insurance you are required to have. In Texas, businesses are only required to have one type of insurance – commercial auto. Any business-owned vehicle is required to have commercial auto insurance with at least minimum liability coverage. Unlike many other states, Texas does not require businesses to have workers’ compensation insurance, which helps pay for the medical bills and lost wages from missing work associated with an injury or illness sustained on the job. Although Texas does not require workers’ compensation insurance, you’ll likely want to make the investment and have a policy. If you don’t and an employee is injured or becomes ill because of their job, you’ll be on the hook for all their medical bills, which could quickly bankrupt a company. 

In addition to commercial auto insurance and workers’ compensation insurance, West Texas Insurance Agency in Amarillo, TX can assist in educating you on additional policies that may provide extra peace of mind for you and your business. For example, cyber liability insurance helps companies recover from costly cyber attacks by providing coverage to pay for regulatory fines, customer notifications, and ransom extortion payments.

For more information on commercial insurance, reach out to the friendly and knowledgeable team at the West Texas Insurance Agency. We’ll take time to learn about your business so that we can recommend a personalized insurance policy that best protects your business while staying within budget. Give us a call today or stop by our office in Amarillo, TX to learn more.