Business Insurance Requirements in Texas

Understanding your business insurance requirements is crucial for protecting your company and staying compliant with Texas regulations.

Mandatory Business Insurance in Texas

Workers' Compensation Insurance

While Texas doesn't require most private employers to carry workers' compensation, it's highly recommended. If you choose to carry it, you must:

• Provide coverage for all employees
• Post notice of coverage
• Maintain coverage continuously

Commercial Auto Insurance

If your business owns or uses vehicles, you must carry commercial auto insurance with minimum liability limits:

• $30,000 per person for bodily injury
• $60,000 per accident for bodily injury
• $25,000 for property damage

Professional Liability (E&O)

Required for certain professions including:

• Lawyers
• Accountants
• Architects
• Engineers
• Healthcare providers

Highly Recommended Coverage

General Liability Insurance

Protects against third-party claims for:

• Bodily injury
• Property damage
• Advertising injury
• Personal injury

Business Property Insurance

Covers your business property including:

• Buildings
• Equipment
• Inventory
• Furniture and fixtures

Business Interruption Insurance

Replaces lost income if your business operations are suspended due to a covered loss.

Cyber Liability Insurance

Essential for businesses that:

• Store customer data
• Process payments online
• Rely on computer systems

Industry-Specific Requirements

Construction

• General liability
• Workers' compensation (if carried)
• Commercial auto
• Builder's risk insurance

Healthcare

• Professional liability (malpractice)
• General liability
• Cyber liability
• Workers' compensation

Retail

• General liability
• Property insurance
• Product liability
• Workers' compensation

Certificate of Insurance (COI)

Many clients and vendors require a Certificate of Insurance. This document proves you have coverage and shows:

• Policy types and limits
• Policy effective dates
• Named insured information

Working with TGI Agency

We help Texas businesses understand their insurance requirements and find comprehensive coverage at competitive rates. Our team specializes in:

• Risk assessment
• Coverage analysis
• Policy customization
• Claims support

Contact us for a business insurance consultation tailored to your industry and needs.