Best Insurance Companies for Small Business

Making sure your small business is protected should be a priority for any business owner. While no one hopes to ever make an insurance claim, not having business insurance can leave your company open to lawsuits and fines, and could potentially cut into your profit margin.
Not all small businesses have the same insurance needs, however. We’ll walk you through what you need to know about business insurance and help you pick the right provider based on your industry, company size, and other business priorities.

What is small business insurance?

Small business insurance is essentially business insurance that protects small businesses from potential financial threats. The most basic type of business insurance is general liability insurance, which can protect your company from general injuires, some property damages, and even some advertising injuries.
Some states and industries require businesses to purchase business liability insurance. Even if yours doesn’t, this bodily injury policy can be helpful to ensure you’re protected in case of an accident. Aside from general liability policies, there are other types of business insurance. Employment practices liability insurance, unemployment and worker’s compensation insurance, may be required, for example, while others like commercial property insurance and business interruption insurance are optional.
You can learn more about the different types of insurance available for small businesses here.

Overview of the 7 best small business insurance companies

InsurerBest for
The HartfordBest overall
HISCOXSelf employed and micro companies
NationwideFlexible general liability coverage
ProgressiveBusiness auto insurance
State FarmNew small businesses
Liberty MutualUmbrella coverage
ChubbLiability protection

The 7 best small business insurance companies

The Hartford

The Hartford has been offering insurance for more than 200 years and is a staple in the industry. What I like the most about their small business insurance coverage is how personalized their options are.
They offer industry-specific packages with more comprehensive coverage than a general policy would provide. Business owners can pick and choose the protections most relevant for them and bundle services for a discount.
The Hartford also has an A+ rating on Better Business Bureau (BBB) and offers coverage in the continental US (but not currently Alaska or Hawaii).

The Hartford Insurance Options

The Hartford offers a variety of different business coverages, including:
  • Business owners policy (BOP) - it combines business property, general liability, and business income insurance into one, to prevent small business owners from facing financial loss from the most common accidents
  • Commercial auto
  • General liability
  • Commercial property
  • Business income
  • Professional liability
  • Workers’ compensation
  • Data breach
  • Commercial umbrella
They also offer industry specific coverage for over 23 industries and 51+ professions. You can request a quote online and purchase policies directly from your computer or smartphone. Claims can be reported online or via phone at 866-467-8730.

HISCOX

Hiscox is another top name in the business insurance industry, with competitive policies and pricing across the board. While they’re a solid option for anyone searching for business insurance, I would particularly recommend them to anyone who is self-employed and looking for coverage or runs a business with 5 employees or less.
That’s because Hiscox offers flexible coverage plans with over 180 professions and several industries in mind. You’ll be hard-pressed to find a more personalized policy with the protections you need and none of the services you’re not interested in.
This company also has an A+ rating on the BBB and has more than 100 years of experience in the insurance industry. They currently offer coverage in all states except Alaska.

Hiscox small business insurance options

You can choose from a variety of options through Hiscox, with each plan specifically personalized for your business size and line of work. Offerings include:
  • Business owners policy (BOP) - it combines business property, general liability, and business income insurance into one, to prevent small business owners from facing financial loss from the most common accidents
  • Business auto
  • General liability
  • Business property
  • Business income
  • Professional liability
  • Errors & omissions
  • Workers’ compensation
  • Data breach
  • Business umbrella
  • Cyber security
You can request a quote online and buy a policy online from your computer, tablet, or smartphone. Hiscox has an online claims center you can visit, but claims can also be reported by phone or mail.

Nationwide

Everyone knows the name Nationwide. This popular car insurance company is also in the small business game — and if you already have policies through Nationwide, you may be able to save by bundling.
What stands out the most about Nationwide is its flexible small business general liability coverage. If you just need basic coverage, but would like a personalized plan, there’s no need to bundle and add or remove services. Nationwide can help you build the right general liability coverage plan you need, so you won’t be missing features or paying for services you aren’t using.
Nationwide has an A+ rating on the BBB and nearly a century of experience in the industry. Coverage is available in all states except Hawaii and Alaska.

Nationwide small business insurance options

Like its competitors, Nationwide also offers a large suite of business insurance products for small businesses. They include:
  • Business owners policy (BOP) - it combines business property, general liability, and business income insurance into one, to prevent small business owners from facing financial loss from the most common accidents
  • Business auto
  • General liability
  • Business property
  • Business income
  • Professional liability
  • Errors & omissions
  • Employment practices liability
  • Workers’ compensation
  • Cyber security
Nationwide offers online quotes or business insurance quotes by phone. If you have specific insurance needs, speaking with an insurance agent may be your best bet. You can also report claims online or by phone.

Progressive

If you’ve ever compared car insurance quotes, it’s likely that you’ve stumbled upon Progressive before. Progressive is another insurance powerhouse that particularly excels at providing small business coverage for companies looking for business or commercial auto insurance.
Progressive is the second-largest auto insurance provider in the U.S., so it’s no surprise that it has one of the best business insurance policies on the market. If your small business depends heavily on travel or if it’s a delivery or shipping business, it’s worth getting a quote from Progressive and unpacking all of the auto benefits you’ll receive.
Progressive also has an A+ rating on the BBB and has been in the insurance industry for just under 80 years. They offer coverage in all 50 states.

Progressive small business insurance options

While we love Progressive for businesses with commercial auto needs, they also offer expansive business insurance options.
  • Business owners policy (BOP) - it combines business property, general liability, and business income insurance into one, to prevent small business owners from facing financial loss from the most common accidents
  • Business and commercial auto
  • General liability
  • Professional liability
  • Workers’ compensation
You can get a quote online and even shop by industry or profession. You can also buy your policy online or over the phone. You can report a claim from the Progressive app or website by logging into your account — you can also file claims by phone or mail.

State Farm

State Farm is another giant in the insurance field, but that doesn’t mean its out of touch with the needs of new startups and small businesses. In fact, if you’re struggling with all of the legal-ese involved in setting up an insurance policy, State Farm could be a good resource.
State Farm agents are all small business owners — many agents are private insurance providers and have gone through the unique challenge of setting up and protecting their companies’ financial assets. You can tap into their wealth of knowledge to put together the right policy for your company.
The BBB rates State Farm an A- overall. State Farm has been in business for just shy of 100 years and is available in all states except cept Massachusetts, New York, and Wisconsin.

State Farm small business insurance options

Here are the types of coverage available through State Farm:
  • Business owners policy (BOP) - it combines business property, general liability, and business income insurance into one, to prevent small business owners from facing financial loss from the most common accidents
  • Business auto
  • General liability
  • Business property
  • Builders risk
  • Business income
  • Professional liability
  • Workers’ compensation
  • Employment practices
  • Business umbrella
With State Farm, you can request a quote online, but you’ll need to chat with an agent over the phone to complete the process of receiving your quote, building your policy, and completing the purchase. You can file a claim online via their website, with the State Farm mobile app, or by phone.

Liberty Mutual

Liberty Mutual has been in business for over 100 years and is a popular option when it comes to business insurance. Since all business insurance policies have limits and exceptions, umbrella insurance — which can help you bridge the gap between expenses if you hit your insurance limit — can be extremely useful.
The umbrella policies available at Liberty Mutual are quite expansive and offer protections beyond typical umbrella policies. For instance, they offer a high excess liability umbrella policy that can be added on to just about any underlying policy to better safeguard your business in the event of an accident or natural disaster.
Liberty Mutual has an A+ rating from the BBB and offers coverage across the entire nation (though you should call to make sure all policies are available in your area).

Liberty Mutual small business insurance options

You can choose from a wealth of insurance options from Liberty Mutual, including:
  • Business owners policy (BOP) - it combines business property, general liability, and business income insurance into one, to prevent small business owners from facing financial loss from the most common accidents
  • Commercial auto and fleet
  • General liability
  • Commercial property
  • Business income
  • Equipment breakdown
  • Mergers & acquisitions
  • Healthcare
  • Professional liability
  • Workers’ compensation
  • Management liability
  • Umbrella and excess liability
You’ll need to reach out to Liberty Mutual by phone to complete the quote or purchase process. While it’s disappointing that there’s no online quote functionality right now, since Liberty Mutual offers flexible coverage, speaking with an agent is probably the best way to get the right coverage and price for your small business. Once you have an account, you can manage everything, including claims online.

Chubb

You might be a small business now, but if you’re poised for growth, it’s smart to get a business insurance policy that can grow and evolve alongside you. Chubb is a top name in insurance, originally founded in Switzerland in the late 1880s, and has been offering custom business solutions in the US for decades.
Chubb can help you find the right fit for your business now, while taking into account your future estimations and growth potential. As a huge enterprise, Chubb has all the resources you would expect from a large insurance provider, but is still able to offer small businesses a one-on-one approach. You may also receive discounts when bundling insurance products.
The BBB has rated Chubb an A+ and coverage options are available all across the US (but you should call to confirm the options available in your area).

Chubb small business insurance options

Here are the insurance options you can explore through Chubb:
  • Business owners policy (BOP) - it combines business property, general liability, and business income insurance into one, to prevent small business owners from facing financial loss from the most common accidents
  • Professional liability
  • Management liability
  • Cyber/enterprise risk
  • Workers’ compensation
  • Foreign business add-ons
You can get a quote from Chubb’s website, but will need to reach out to an agent to confirm your purchase and choose your specific type of coverage. Once you have an account, you’ll be able to manage claims online, though you also have the option of reaching out to an agent.

Small business insurance options

InsurerBusiness insurance optionsAvailable in all 50 statesOnline quotesOnline policiesDiscount for bundling policies
The HartfordBusiness owners policy; workers’ compensation insurance, business auto insurance, professional liability insurance; additional add-onsNot available in Alaska or HawaiiYesYesYes
HISCOXBusiness owners policy; general liability; professional liability; cyber security; short-term liability; workers’ compensation; medical malpractice; additional add-onsNot available in AlaskaYesYesYes
NationwideBusiness owners policy; general liability; business auto; workers’ compensation; business property; business income; errors & omissions; cyber liability; and moreNot available in Alaska or HawaiiYesYesYes
ProgressiveBusiness owners policy; general liability; commerical auto; workers’ compensation; professional liability; cyber protection; additional add-onsYesYesYesUsually; some discounts are not applicable in certain states
State FarmIn-branch and onlineNot available in Massachusetts, New York, and WisconsinYesYesYes
Liberty MutualBusiness owners policy; general liability; commercial auto & fleet; workers’ compensation; professional liability, errors & omissions; property; cyber protection; and moreYesYesYesYes
ChubbBusiness owners policy; general liability; workers’ compensation; professional liability; property; cyber protection; and moreYesYesYou may need to speak to an agent via phone to complete the processYes

FAQs

What is small business insurance?
Small business insurance refers to different insurance plans designed to protect you as a business owner. General liability or BOP (business owners policy) are the two most common types of insurance available for small business owners. Other policies can be added on as needed.
What type of small business insurance do I need?
That depends. Some states and industries are required to hold certain types of business insurance in order to remain compliant with state and local laws. You should visit your Secretary of State’s website for more information. Many types of business insurance are not required, but can be helpful depending on the industry you’re in. Errors & omissions insurance, for instance, can help you if a client tries to sue you for malpractice or loss of profit.
How do I decide if I need extra insurance coverage?
You’ll want to weigh the risk of not paying for insurance against the cost of the policy. It’s always best to compare different provider’s quotes, as well as different coverage options. If you don’t have a shared office space, for instance, property coverage may not make sense.

The bottom line

Small business owners should always shop around for the best business insurance policies that fit their specific needs and business size. Many insurance providers offer customizable plans and more detailed coverages by industry. To start, review any rules or requirements for your state and industry and then assess any additional coverages your company might require.

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