NC Mandated Insurances for Small Business Owners Small Business Owners Need Business Insurance Most small business owners need business insurance in some form or another including NC state mandated business insurances. Insurance protection is essential in reducing risk and protecting business assets that you have worked hard to accumulate. In many cases, the personal assets of business owners could also be at risk. In addition, most banks need insurance as a condition of a loan to your small business. Business insurance can help pay the costs of property damage, lawsuits from accidents, lost business income, workers’ compensation claims, natural disasters, theft, professional errors, and more.