State-Specific Insurance Requirements for Gas Stations

State Regulations and Compliance

General Liability Insurance

Several states mandate that gas stations maintain general liability coverage to handle third-party bodily injuries and property damage occurring on-site, ensuring both protection and compliance.

Workers' Compensation Insurance

State laws require gas stations to have workers' compensation insurance to cover medical costs and lost wages if an employee is injured or falls ill on the job, helping protect both workers and business owners.

Environmental Liability Insurance

Certain states (e.g., Texas & Florida) mandate environmental liability coverage for gas stations to handle cleanup costs, fuel spills, and contamination risks that affect soil, groundwater, or surrounding areas.

Pollution Liability Insurance

Many states enforce pollution liability coverage for gas stations to handle risks like fuel spills, soil contamination, and cleanup costs in order to avoid getting costly environmental claims.

Property Insurance

In many states, gas station owners must carry commercial property insurance to protect against property damage from storms, theft, or vandalism so businesses can shield buildings, fuel pumps, and store assets.

Commercial Auto Insurance

State laws may require gas station owners to carry commercial auto coverage for company vehicles to ensure protection against accidents and vehicle-related liabilities and mandate coverage limits for expenses. 

Liquor Liability Insurance (if applicable)

States permitting gas stations to sell alcohol may mandate liquor liability coverage to handle claims of bodily injuries, property damage, or legal fees resulting from incidents involving intoxicated customers.

Business Interruption Insurance

Some states require gas stations to have business interruption coverage to help cover lost income, operating expenses, and loan payments if risks like fires, storms, or equipment failures disrupt business.

Cyber Liability Insurance

Some states mandate cyber liability coverage for gas stations, primarily those handling digital payments. Laws like the CCPA in California charge strict penalties for compromised customer data from cybercrimes.

Minimum Coverage Limits

Each state sets minimum coverage limits for gas station insurance, ensuring businesses comply with laws. These limits vary based on area, size, and regulations, helping cover costs for liabilities or damage.

Tank Insurance Requirements

Many states require gas station owners to have tank insurance to cover the cost of fuel leaks, contamination, and cleanup. This helps your business comply with regulations and avoid costly environmental fines.

State-Specific Licenses and Permits

To legally run a gas station and protect their business, gas station owners must secure state-specific licenses and permits, including fuel storage, environmental compliance, and safety certifications.

Compliance with Local and Federal Regulations

Gas stations must comply with local and federal regulations, covering environmental safety, fuel storage, and labor laws, ensuring legal operations, and protecting your business from fines or shutdowns.

Insurance for New Gas Stations

Newly opened gas stations must meet state-specific insurance requirements, including general liability and pollution liability insurance, ensuring protection against property damage and environmental risks.

State-Approved Insurance Providers

Many states require gas stations to obtain coverage from approved insurance companies to ensure compliance with local laws. Choosing a state-approved insurer helps streamline licensing and avoid legal issues.