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Best Small Business Insurance

Written by:

Carolyn Young is a business writer who focuses on entrepreneurial concepts and the business formation. She has over 25 years of experience in business roles, and has authored several entrepreneurship textbooks.

Edited by:

David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.

Best Small Business Insurance

Ensuring that your business is protected against unforeseen events is crucial, and this is where choosing the right insurance provider becomes indispensable. In a landscape crowded with options, finding the provider that aligns with your business needs and offers the best value can be daunting.

In this article, we sift through the market to present you with a roundup of the best small business insurance providers. These companies have been assessed based on their coverage options, customer service, pricing, and overall reliability, to help you make an informed decision and safeguard your entrepreneurial journey effectively.

Whether you run a fledgling startup or a well-established small enterprise, our carefully curated list aims to navigate you towards the optimal insurance solution tailored to your unique requirements and budget constraints.

Best Small Business Insurance Providers



  • One-stop platform for diverse insurance quotes
  • Wide coverage range from liability to auto
  • Easy website, strong support, competitive pricing



  • Leading provider with customizable policies
  • A++ rating, high customer satisfaction
  • Supports businesses up to $30 million revenue

Next Insurance


  • Instant policy access and app management
  • Tailored coverage for under 10-employee businesses
  • A- financial rating, diverse online offerings



  • A++ rating, backed by Berkshire Hathaway
  • Online instant quotes, strong customer reviews
  • Diverse coverage with tailored endorsements available

The Hartford


  • 200 years of specialized coverage expertise
  • A+ rating; wide range of policies
  • Direct insurance provider, not a marketplace



  • Top insurer for micro-businesses and freelancers
  • Customizable policies with long support hours
  • A-rated but potential customer satisfaction concerns



  • Flexible, on-demand insurance for micro-businesses
  • High customer satisfaction and responsive service
  • Coverage can be by the job, month, or year

1. Tivly

  • Value: Excellent
  • Help and Support:  Good
  • Customer Satisfaction: Good


Tivly offers the following types of commercial insurance:

  • Business Hazard Insurance
  • General liability insurance
  • Commercial Property insurance
  • Business owners policy
  • Commercial auto insurance
  • Workers’ compensation insurance
  • Commercial umbrella insurance
  • Professional liability insurance

General liability insurance is the most commonly purchased insurance, but your insurance needs will vary based on your type of business.

Rates for general liability insurance depend on many factors, including your industry, claim history, and annual revenue. Tivly gives an example average rate for a retail store of $750 annually for a $1 million business liability insurance policy.

Note that Tivly is a free business insurance marketplace and will help you get matched to an insurance provider that best fits your business insurance needs.

Pros and Cons


  • Broad range of offerings
  • Good value
  • Rated A by the Better Business Bureau


  • A few negative customer reviews
  • Not a direct insurance provider

Tivly is a free marketplace that will help you to get the best rates on a wide variety of insurance coverage types. This can save you hours of time that you would spend shopping around on your own. They also offer excellent customer service, so we highly recommend Tivly to all entrepreneurs.

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2. Chubb

  • Value: Good
  • Help and Support: Average
  • Customer Satisfaction: Good


In addition to all the essential business insurance coverage types, Chubb offers innovative products such as Cyber insurance which covers losses from a data breach. They also offer services to help you prevent cyber-attacks.

Rates vary based on multiple factors. Online quotes are limited, and you must call to receive most quotes. Plans are tailored specifically for your business situation.

Pros and Cons


  • In house claims processing
  • Innovative products
  • A++ rating from AM Best


  • Limited online quotes
  • No same-day coverage

Chubb offers many insurance products, some of which are innovative and not provided by other carriers. They also handle their claims in-house and are well rated by AM Best. Their website is a bit frustrating, but all things considered we recommend Chubb to business owners looking for innovative solutions.

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3. Next Insurance

  • Value: Good
  • Help and Support: Excellent
  • Customer Satisfaction: Average


Next Insurance is a direct insurance provider, offering the following coverage types:

  • Business Insurance
  • General Liability
  • Workers’ Compensation
  • Commercial Property
  • Business Personal Property
  • Commercial Auto
  • Professional Liability
  • Errors and Omissions
  • Tools & Equipment
  • Business Owner’s Policy
  • Product Liability
  • Employment Practices Liability
  • LLC Business Insurance
  • Liquor Liability

Prices vary based on location, industry, revenue, and other factors.

We decided to get a quote for a tile installation company to get a feel for Next’s rates. We were offered basic coverage for $52 per month, premier coverage for $92 per month, and deluxe coverage for $127 per month. Both the basic and premier offer $1 million general liability coverage. Premier also offers $5,000 in tool and equipment coverage. The deluxe offers $2 million general liability coverage and $10,000 in tool and equipment coverage.

Pros and Cons


  • Good value
  • Excellent customer service
  • Direct insurance provider


  • Some concerning customer reviews
  • Rates may increase at any time

Next Insurance offers a wide variety of products, and their prices are competitive. While some of their reviews are concerning, we had a great experience with their customer service. Based on the comprehensiveness of their services and reasonable rates, we highly recommend Next Insurance to business owners.

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4. biBerk

  • Value: Average
  • Help and Support: Good
  • Customer Satisfaction: Excellent


biBerk has a limited number of products, which are:

  • Workers’ Compensation
  • Professional Liability
  • General Liability
  • Business Owners Policy
  • Commercial Auto
  • Umbrella Coverage

We got a quote online for a tile installation company. It was $964 annually for a $1,000,000 general liability policy, which is about average.

Pros and Cons


  • Good website usability
  • A Berkshire Hathaway Company
  • Good customer reviews


  • Limited products
  • Average value

biBerk offers only the basics at about an average price. However, they have good customer support and customer reviews. The are also a Berkshire Hathaway Company, which can give you peace of mind about their reliability.

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5. The Hartford

  • Value: Good
  • Help and Support: Good
  • Customer Satisfaction: Average


The Hartford offers just about every type of business coverage that you can imagine, and they’ve been in business for more than 200 years.

Their average price for general liability insurance is $88 per month. We requested a quote, but we were told they couldn’t help us. Interestingly, they referred us to Tivly. 

Pros and Cons


  • Good value
  • Long time insurance provider
  • Good customer service


  • Apparently excludes some industries
  • Low Trustpilot score

The Hartford provides a wide range of products at good prices. Their industry longevity can’t be beat, with over 200 years in business. While they have some concerning reviews, their customer service is well-rated.

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6. Hiscox

  • Value: Excellent
  • Help and Support:  Good
  • Customer Satisfaction: Average


Hiscox offers a wide range of policy types, including cyber insurance and employment practices liability insurance.

Interestingly, I have personal experience with Hiscox. My husband owns a tile installation company and is covered by Hiscox under a general liability policy, which started at a rate of $48 per month, which is outstanding. It increased after one year to $70 per month, but that rate is still below average. We’ve also had a good experience with their customer service.

Pros and Cons


  • Excellent value
  • Wide variety of coverages
  • Good customer service


  • Rates may increase
  • Some concerning reviews around cancellation issues

If you’re looking for value, Hiscox is a great option with their affordable rates. They also offer good customer support, and a wide variety of products.They do have some concerning reviews about continuing charges after cancellation, but based on our experience and research we recommend Hiscox to business owners.

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7. Thimble

  • Value: Excellent
  • Help and Support: Good
  • Customer Satisfaction: Excellent


Thimble offers all the basic insurance policies that a business needs. Their differentiator is that you can get insurance per job, month, or year. For example, a tile company might have a larger job that they want coverage for. They can purchase insurance for that job only. 

We received a quote for a general liability policy for a tile installation company at $55 per month for $1 million in coverage. 

Pros and Cons


  • Great coverage term options
  • Excellent value
  • Excellent reviews


  • Only basic policy types offered
  • Some types of businesses not covered

Thimble is a great option to meet your basic business needs at a great price. They have good customer service and excellent customer reviews. We also like the fact that insurance terms are flexible. They have limited policy options, so if you want fuller coverage, you might need to look elsewhere, but if you just want the basics at a great price, we highly recommend Thimble.

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Types of Small Business Insurance

It’s crucial to evaluate all protection options for your business, but begin with the coverage best fitting your specific needs.

Many businesses require one or several of these business insurance types:

  1. General Liability Insurance: Covers third-party injury claims, property damages, and advertising injuries.
  2. Professional Liability Insurance (Errors & Omissions): Protects against negligence claims due to harm from mistakes or failure to perform.
  3. Business Owner’s Policy (BOP): Bundles general liability and property insurance into one package.
  4. Commercial Property Insurance: Covers business property and assets against theft, fire, and other damages.
  5. Workers’ Compensation Insurance: Covers medical expenses and wage replacement if employees become injured at work.
  6. Commercial Auto Insurance: Covers vehicles owned by the business against accidents, thefts, or vandalism.
  7. Product Liability Insurance: Covers damages from products sold or manufactured by a business.
  8. Cyber Liability Insurance: Protects against data breaches and cyber-attacks.
  9. Business Interruption Insurance: Covers the loss of income due to a natural disaster or certain other causes.
  10. Employment Practices Liability Insurance (EPLI): Protects against claims of wrongful termination, discrimination, or harassment.
  11. Umbrella Insurance: Provides additional liability coverage beyond the limits of standard policies.
  12. Key Man Insurance (Key Person Insurance): Protects a business in the case of the death or disability of a key executive.
  13. Surety Bonds: Guarantees contract completion in the event of contractor default.
  14. Inland Marine Insurance: Covers products, tools, and equipment when transported over land.
  15. Directors and Officers (D&O) Insurance: Protects directors and officers against personal losses if they are sued for acts related to their role in the company.

These are just a few of the many types of insurance available to small businesses. The specific needs of a business will often dictate the types of insurance it should consider.

What Does Small Business Insurance Not Cover?

Small business insurance typically does not cover:

  1. Intentional or Illegal Acts: Insurance doesn’t cover deliberate harm or illegal activities by the business owner or employees.
  2. War and Nuclear Events: Standard policies exclude losses due to war, nuclear reactions, or radiation.
  3. Normal Wear and Tear: Routine degradation or obsolescence of property or equipment isn’t covered.
  4. Earth Movement and Flooding: Unless specified, most standard policies don’t cover damage from earthquakes, landslides, or floods.
  5. Contractual Liabilities: Liabilities that arise from a contract you’ve entered into might not be covered unless specified.
  6. Professional Mistakes: General liability doesn’t cover professional mistakes; for that, you’d need professional liability or errors and omissions insurance.
  7. Pollution: Unless it’s specified, most policies exclude pollution damage.
  8. Losses Exceeding Policy Limits: Any amount that surpasses the policy’s maximum limit isn’t covered.
  9. Uninsured Periods: Any incident occurring during a period when the insurance was not active is typically not covered.
  10. Punitive Damages: Some jurisdictions allow punitive damages in lawsuits; these aren’t typically covered.
  11. Breach of Contract: Many insurance policies won’t cover losses stemming from a breach of contract.
  12. Data Breaches: Unless you have specific cyber liability coverage, most general policies won’t cover data breaches or cyberattacks.
  13. Employee Discrimination Claims: General liability policies won’t cover discrimination claims; businesses need employment practices liability insurance for that.

It’s essential to read the fine print of your insurance policy and speak with an insurance professional to understand the specifics of what’s covered and what’s not.

How Much Does Small Business Insurance Cost?

The cost of small business insurance varies widely based on several factors, including the type of coverage, the size and nature of the business, location, industry risks, and the amount of coverage desired. Here’s a general breakdown:

  1. General Liability Insurance: Costs typically range from $300 to $1,000 per year for small businesses. This insurance protects against bodily injuries, property damage, and advertising injuries.
  2. Professional Liability Insurance: For small businesses, costs usually range from $500 to $2,500 per year. Also known as Errors and Omissions (E&O) insurance, it covers professional mistakes or negligence claims.
  3. Business Owner’s Policy (BOP): Combining general liability and property insurance, a BOP usually costs between $500 to $3,000 per year for small businesses.
  4. Workers’ Compensation Insurance: Depending on the state and industry, costs can range from $300 to several thousand dollars annually per employee. This insurance covers employee injuries or illnesses related to work.
  5. Commercial Property Insurance: Costs typically range from $500 to $3,000 per year for small businesses, covering property damage from events like fires or storms.
  6. Commercial Auto Insurance: For a single vehicle, costs can range from $600 to $2,500 per year. This covers company vehicles or personal vehicles used for business purposes.
  7. Cyber Liability Insurance: Depending on the coverage amount and business type, costs can range from $1,000 to $7,500 annually. It covers data breaches and other cyber events.
  8. Umbrella Insurance: Costs typically start at $150 to $400 for an additional $1 million in coverage, providing extra liability protection above your other policies.
  9. Product Liability Insurance: For small businesses, costs can range from $1,000 to $10,000 annually, particularly relevant for businesses that manufacture or sell physical products.

These are rough estimates, and actual premiums can vary. Factors influencing the cost include:

  • Business size: Larger businesses might pay more due to increased exposure.
  • Location: Rates can vary by state and city, especially for workers’ compensation.
  • Industry: High-risk industries may face higher premiums.
  • Claims history: A history of many claims can increase your rates.
  • Deductibles: Choosing a higher deductible can lower your premium.

Small Business Insurance FAQs

What is small business insurance?

Small business insurance is a protective coverage that safeguards businesses against potential risks and liabilities. These risks could range from property damage to legal claims, ensuring that businesses can operate without incurring substantial financial losses.

Why do I need insurance for my small business?

Insurance provides financial protection and peace of mind. By having the right coverage, you can ensure that unexpected events such as fires, lawsuits, or employee injuries won’t bankrupt or severely harm your business, allowing you to focus on growth and operations.

How do I choose the best insurance provider for my business?

Evaluate providers based on coverage options, customer reviews, pricing, and their financial stability. It’s also important to assess your business’s unique needs, and find a provider that offers customized solutions catering specifically to your industry or niche.

Is getting insurance for my small business expensive?

The cost of insurance varies depending on factors like your business type, size, location, and the coverage you need. While some policies can be affordable, it’s essential to prioritize adequate coverage over cost, ensuring you’re sufficiently protected.

Can I bundle different types of insurance policies?

Yes, many providers offer bundled options, often called Business Owner’s Policies (BOPs), which combine multiple coverages, such as property and liability insurance. Bundling can be more cost-effective and convenient than purchasing policies separately.

What if my business has unique risks?

Many insurance providers offer customized policies or endorsements to cater to specific business risks. Discuss your unique requirements with potential providers to ensure they can tailor a policy that meets your needs.

How often should I review my insurance coverage?

It’s advisable to review your insurance annually or whenever there are significant changes in your business, like expansion, addition of new services, or purchasing significant assets. Regular reviews ensure your coverage remains appropriate and up-to-date.


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Best Small Business Insurance