Insurance is an essential tool of risk management and helps employers reduce the financial burdens of possible losses. The following will introduce three basic insurances in New York State for businesses.
Business Liability Insurance
Business liability insurance is not mandatory in New York State, but it can protect your business from financial losses resulting from various claims, including bodily injury, property damage, personal injury, advertising injury and others caused by your business operation. And landlords may require you to maintain a certain level of liability coverage as a condition of your lease.
The premiums are typically based on the level of the coverage, the nature of the business, the number of employees, the location of operation, etc.
Workers' Compensation and Disability Insurance
In New York State, employers are required to obtain and keep in effect workers' compensation and disability benefits coverage for all full-time and part-time employees.
Workers’ compensation covers employees for loss of income and medical expenses through job related accidents. The cost of the insurance must be paid entirely by the employer, no amount can be charged to employees. Federal Employer Tax Identification Number (FEIN) is required to obtain a Workers’ Compensation and is the primary identification to the NYS Workers Compensation Board.
Disability insurance covers them for loss of income if they become disabled off the job.The Disability Benefits Law provides weekly cash benefits to replace, in part, wages lost due to injuries or illnesses that do not arise out of or in the course of employment. Benefits are paid for a maximum of 26 weeks of disability during 52 consecutive weeks.
Failure to provide the required insurances will subject the employer to penalties by the government according to the noncompliance period and numbers of employees.
Disclaimer
All information in this article is only for the purpose of information sharing, instead of professional suggestion. Kaizen will not assume any responsibility for loss or damage.
Every employer in New York must provide workers' compensation insurance for their employees. This coverage can help pay medical bills for workers who are injured on the job.Businesses in New York State must have workers' compensation coverage for all employees. The rule includes part-time employees and family members employed by the company.
If you are an employer as described in federal Publication 15, Circular E, Employer's Tax Guide, and you maintain an office or transact business within New York State, whether or not a paying agency is maintained within the state, you must withhold personal income tax.
Corporations are intended to provide limited liability; shareholders are generally not individually liable for the debts and obligations of the company.LLCs are intended to provide limited liability for founders; moving liability for debts and obligations of the business from the entrepreneurs into the company itself.
Under the supervision of a licensed real estate broker (with the exception of associate brokers), a real estate salesperson facilitates the purchase and sale of property on behalf of customers, obtains lists of property for sale with employing broker; assists buyers (customers) of real estate to locate and purchase property (listed with employing brokers or another broker).