MI Insurance Guide
Michigan Business Insurance Requirements
Everything you need to know about business insurance requirements in Michigan. Compare quotes from top carriers licensed in MI.
Average Business Insurance Costs in Michigan
$60/mo
Business Owners Policy
GL + Property combined
$39/mo
General Liability
$1M/$2M coverage
$102/mo
Workers Compensation
Per employee average
Michigan Insurance Requirements
!
Workers Compensation: Required
1+ employees (with some exceptions)
- ✓Workers compensation required for most employers with 1+ employees
- ✓Michigan has a no-fault auto insurance system affecting commercial vehicles
- ✓Seasonal employers (3+ employees for 35+ hours/week for 13+ weeks) must carry WC
- ✓Commercial auto insurance required with no-fault PIP coverage
- ✓Construction industry has strict insurance requirements
Regulatory Authority: Michigan Department of Insurance and Financial Services
Top Industries We Insure in Michigan
Automotive
Get a quote →Manufacturing
Get a quote →Technology
Get a quote →Healthcare
Get a quote →Agriculture
Get a quote →Construction
Get a quote →Michigan Business Insurance FAQ
Is workers comp required in Michigan?
Yes. Michigan requires workers compensation insurance for most employers with 1 or more employees. There are limited exceptions for some agricultural employers and sole proprietors. The Michigan Workers Disability Compensation Agency oversees the system.
How much does business insurance cost in Michigan?
Michigan business insurance costs are slightly above average, partly due to the no-fault auto system. A BOP averages $60/month, general liability averages $39/month, and workers comp averages $102/month. Commercial auto insurance tends to be more expensive in MI.
How does Michigan no-fault insurance affect businesses?
Michigan's no-fault auto insurance system means commercial vehicles must carry Personal Injury Protection (PIP) coverage. This makes commercial auto insurance more expensive in Michigan compared to most states. Recent reforms have provided some relief by allowing businesses to choose PIP coverage levels.
What insurance do Michigan businesses need?
Most Michigan businesses need workers compensation, general liability, commercial property, and commercial auto insurance (with no-fault PIP). The automotive and manufacturing sectors may need additional specialized coverage like product liability and equipment breakdown insurance.
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