By the General Liability Guide Editorial Team. Our guides are verified against actual insurance carrier rate sheets and state industrial commissions.
📌 Key Takeaways
- Workers' comp: Required for 1+ employees
- General liability: Not state-mandated, but required by most clients and landlords
- Commercial auto: Required for all registered business vehicles
- Professional liability: Required for licensed professions (varies by profession)
Workers' Compensation in Minnesota
Minnesota requires workers' compensation insurance for all businesses with 1 or more employees. This includes full-time, part-time, and seasonal workers.
⚠️ Penalties for Non-Compliance
- Fines of $1,000–$100,000+ depending on the state
- Potential criminal charges (misdemeanor or felony)
- Personal liability for all employee injury costs
- Stop-work orders may be issued
Insurance Types Available in Minnesota
General Liability Insurance
$400 – $2500/year average
Workers' Compensation Insurance
$500 – $5000/year average
Professional Liability Insurance (E&O)
$500 – $3000/year average
Commercial Auto Insurance
$1200 – $4000/year average
Business Owner's Policy (BOP)
$500 – $3500/year average
Cyber Liability Insurance
$500 – $5000/year average
Get Insurance Quotes in Minnesota
Compare rates from providers licensed in Minnesota.
Get My Free Quote →Industry-Specific Guides for Minnesota
Requirements vary by industry. Select your profession to see specificMinnesota regulations, cost benchmarks, and required policy limits:
Contractors in MN
View MN Guide →
Photographers in MN
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Restaurants in MN
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Trucking Companies in MN
View MN Guide →
Real Estate Agents in MN
View MN Guide →
Consultants in MN
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Landscapers in MN
View MN Guide →
Cleaning Services in MN
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Electricians in MN
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Personal Trainers in MN
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Plumbers in MN
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IT Companies in MN
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Regulatory Context: Minnesota DOI
The Minnesota Department of Insurance is the primary regulatory body overseeing all commercial insurance carriers in the state. For consumer protection, the MN DOI maintains a list of admitted carriers and handles dispute resolutions for business owners.
- Agency: Minnesota Department of Insurance
- Primary Statute: Minnesota Insurance Code
- Workers' Comp Agency: Minnesota Industrial Commission / Department of Labor
Frequently Asked Questions
Yes, Minnesota requires workers' compensation insurance for businesses with 1 or more employees. Penalties for non-compliance can include fines, criminal charges, and being held personally liable for employee injuries.
Business insurance costs in Minnesota vary by industry and coverage type. General liability averages $400–$2,500/year, workers' comp averages $500–$5,000/year, and a BOP averages $500–$3,500/year. Costs are generally in line with national averages.
At minimum, Minnesota requires: workers' compensation insurance (for employers with 1+ employees). Additionally, many professions require general liability insurance as a licensing condition. Check with the Minnesota Department of Insurance for specific requirements.
The Minnesota Department of Insurance regulates insurance in the state. You can find them by searching "Minnesota Department of Insurance" — they provide licensing requirements, consumer assistance, and approved carrier lists.