Short answer: Delaware requires employers to carry workers' compensation. Under Delaware Paid Leave, employers with 25 or more covered Delaware employees must provide full parental, medical and family caregiving leave coverage. Employers are responsible for the contributions but may deduct up to half from employees' pay. Smaller employers can enroll voluntarily. Business vehicles need at least 25/50/10 liability and $15,000/$30,000 PIP.
This guide is general information for Delaware employers and business owners. It isn't legal advice. Agency rules change, so confirm with the agencies linked below.
1. Workers' compensation
Details: is workers comp required in Delaware.
2. Delaware Paid Leave
Per the Delaware Department of Labor, employers with 25 or more covered Delaware employees must provide full Paid Leave coverage (parental, medical, and family caregiving or qualifying exigency leave). The employer is responsible for contributions but may require employees to pay up to 50% through payroll deductions. Smaller businesses may enroll voluntarily. Rates are posted by the Department.
3. Business vehicles
Per the Delaware Department of Insurance, the minimums are $25,000/$50,000 bodily injury, $10,000 property damage, and $15,000/$30,000 PIP. See commercial auto insurance.
State unemployment insurance
Unemployment insurance is the other employer coverage Delaware makes mandatory. Per the U.S. Department of Labor's Significant Provisions of State UI Laws, January 2026, Delaware employers are covered once you meet the coverage test of 20 weeks or $1,500 in any quarter. The 2026 taxable wage base is $14,500 per employee. Experience-rated employers pay 0.40% to 5.40%, and new employers start at a base rate of 1.0% (higher rates can apply by industry). Register with the state's unemployment tax agency when you hire.
Beyond the mandates
Most other coverage, like general liability, property, professional liability and cyber, comes from contracts, leases and lenders rather than Delaware law. See small business insurance by industry or home-based business insurance. For-hire interstate carriers also face federal minimums under 49 CFR 387.9, starting at $750,000.
Questions? Contact Alishahi Insurance or call (877) 711-4545. See insurance in Delaware.
Frequently asked questions
Does Delaware Paid Leave apply to small businesses?
Full coverage is required at 25 or more covered Delaware employees in 2026. Smaller employers can enroll voluntarily.
What's Delaware's minimum auto insurance?
25/50/10 liability and $15,000/$30,000 PIP.
Do Delaware employers have to pay for unemployment insurance?
Yes, once covered. The 2026 taxable wage base is $14,500, and new employers start at 1.0%.
Alishahi Insurance · 439 N Canon Dr, Penthouse, Beverly Hills, CA 90210 · (877) 711-4545 · CA License #4348151. General information only. This isn't legal, tax or financial advice or a coverage determination. Coverage depends on policy language and underwriting, and rules vary by state.