State insurance guide
New York Business Insurance Guide 2026
Virtually all New York employers must provide workers' compensation coverage for their employees, including part-time workers and family members of for-profit businesses. Auto liability minimums and paid leave rules follow, each with its official source.
Explore New York requirements
Open the state requirements checklistVirtually all New York employers must provide workers' compensation coverage for their employees, including part-time workers and family members of for-profit businesses, and must post notice of coverage at their places of business (NYS Workers' Compensation Board, Is Workers' Compensation Coverage Required?). The minimum auto liability limits are $25,000 per person and $50,000 per accident for bodily injury ($50,000 and $100,000 for death) and $10,000 for property damage (New York State DMV, Insurance requirements). New York employers must carry statutory disability and Paid Family Leave coverage for covered employees (NYS WCB: employer disability benefits).
Official sources checked October 3, 2026. This guide is general information, so confirm your own case with the responsible agency.
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Workers' compensation
Who must carry it: 1 or more employees (NYS Workers' Compensation Board, Is Workers' Compensation Coverage Required?).
Virtually all employers in New York State must provide workers' compensation coverage for their employees (WCL §2 and 3).
Source: NYS Workers' Compensation Board, Is Workers' Compensation Coverage Required?
Exemptions and exclusions
The board states that coverage is not required for a sole proprietor with no employees, or for a one- or two-person corporation whose owners hold all offices and stock and have no other workers. Households whose domestic workers each work under 40 hours a week and do not live on the premises, and certain teachers and executive officers of religious, charitable or educational nonprofits, are also outside the requirement. Coverage is required for all farms that have employees (NYS Workers' Compensation Board, Is Workers' Compensation Coverage Required?).
The agency to ask is the New York State Workers' Compensation Board. The workers' compensation guide covers what a policy pays, and the workers' comp calculator works through payroll, rate and modifier figures you enter.
Auto liability minimums
The minimum auto liability coverage in New York:
- Bodily injury liability: $25,000 per person and $50,000 per accident
- Death: $50,000 per person and $100,000 per accident
- Property damage liability: $10,000 per accident
- Start date: not stated in the source; confirmed in force on October 3, 2026
- Source: New York State DMV, Insurance requirements
Vehicles used commercially or for hire can face different or higher federal or state requirements; the commercial auto guide explains what to compare.
Paid leave and disability insurance
New York requires employers to carry statutory Disability Benefits (DBL) and Paid Family Leave (PFL) coverage for covered employees through a licensed insurer, NYSIF or approved self-insurance (NYS WCB: employer disability benefits). For 2026, employees may be charged 0.432% of gross wages for PFL, up to $411.91 a year, and the maximum PFL weekly benefit is $1,228.53 (67% of the average weekly wage, up to 12 weeks) (New York State Paid Family Leave: 2026). Employers may also collect up to 0.5% of wages, but no more than 60 cents a week, toward disability benefits (NYS WCB: employer disability benefits).
For 2026, employees will contribute 0.432 % of their gross wages per pay period, with a maximum annual contribution of $411.91.
What employers do: Obtain statutory disability and Paid Family Leave coverage for covered employees through a licensed carrier, NYSIF or Board-approved self-insurance; employers may collect employee payroll contributions within the state limits (NYS WCB: employer disability benefits).
Employees required to be covered for disability benefits must also be covered for Paid Family Leave, so confirm with the Workers' Compensation Board which of your employees the coverage must include (NYS WCB: disability and Paid Family Leave).
Other requirements to check
Insurance or bond conditions can also come from licensing boards, landlords and clients, for example as general liability limits or certificate wording. Log each one in the certificate of insurance checklist, and use the requirements-by-state guide for work outside New York.
Where to verify
- Workers' compensation: New York State Workers' Compensation Board
- Auto liability minimums: New York State DMV, Insurance requirements
- Paid leave and disability insurance: New York State Workers' Compensation Board
The state requirements checklist prepares questions from your headcount and vehicles; to ask PolicyBenchmark to follow up, request coverage help.
Frequently asked questions
Does a New York business with one employee need workers' compensation?
Generally, yes: New York applies the requirement from the first employee (NYS Workers' Compensation Board, Is Workers' Compensation Coverage Required?). Exemptions listed above can still apply to particular workers or owners; the agency to ask is the New York State Workers' Compensation Board.
Are New York's auto minimums enough for business vehicles?
New York's minimums are $25,000 per person and $50,000 per accident for bodily injury ($50,000 and $100,000 for death) and $10,000 for property damage (New York State DMV, Insurance requirements). They are the legal floor, not a measure of what a business needs. Commercial and for-hire vehicles can face different or higher federal or state requirements, and contracts can require more.
Do New York employers pay into a paid leave or disability program?
Yes. Employers must obtain statutory disability and Paid Family Leave coverage for covered employees through a licensed carrier, NYSIF or Board-approved self-insurance; employers may collect employee payroll contributions within the state limits (NYS WCB: employer disability benefits).
About this article
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This content is for informational purposes only and does not constitute insurance advice. Always consult with a licensed insurance professional before making coverage decisions.