Most small and mid-size business owners are aware of the necessity of business insurance, particularly workers’ compensation insurance. Almost all states require businesses with employees who are not owners to purchase workers’ comp coverage, although requirements vary from state to state. Businesses that fail to provide requisite workers’ comp coverage for their employees can face severe and costly repercussions. Automatic Data Processing Insurance Agency, Inc., (ADPIA®), an affiliate of ADP®, Inc., sponsored a study to evaluate small and mid-size business owners’ understanding of business insurance, with a focus on workers’ compensation coverage. In it, ADPIA also gathered additional perspectives from select insurance companies to help identify knowledge gaps that impact small businesses. Owners can use these results to benchmark their own insurance challenges and successes against their peers’ and gain insight into key business insurance best practices.
