Having the best liability insurance as a freelance worker is crucial to protect yourself from the inherent risks of running your own business. This is true regardless of which line of work you’re in, whether you’re a writer, developer, or consultant. The best liability insurance for freelance workers will cover you for accidents, professional mistakes, and costs arising from client disputes. Without it, a single claim could end up bankrupting you.
In this guide, I’ll share my picks for the companies offering the best freelance insurance. These picks will have a combination of flexible coverage options, affordable pricing, and a high level of customer service.
- Thimble: Best for flexible coverage timeframes
- Hiscox: Best for industry-specific coverage
- Simply Business: Best for quote comparison
- ERGO – Next Insurance: Best for easy policy customization
- The Hartford: Best coverage for larger freelance operations
Best liability insurance for freelance workers compared
Quote process | Policy purchase process | Hours of operation | Typical monthly premium estimate | Financial rating (AM Best) | |
|---|---|---|---|---|---|
 | Online or via phone | Online and phone | Monday-Friday, 9 a.m.-6 p.m., ET | $87 monthly | A- to A+ (Excellent) |
 | Online or via phone | Online and phone | Monday-Friday, 7 a.m.-10 p.m., ET | $50-$100 monthly | A (Excellent) |
 | Online or via phone | Online and phone | Monday-Friday, 8 a.m.-8 p.m., ET | $50-$100 monthly | A++ (Superior) |
 | Online or via phone | Online and phone | Monday-Friday, 8 a.m.-5 p.m., CT | $150-$500 monthly | A- (Excellent) |
 | Online or via phone | Online and phone | 24/7 call center | $50-$150 monthly | A+ (Superior) |
Thimble: Best for flexible coverage timeframes
Pros
- COIs can easily be created and shared for free
- Insurance coverage is available for new freelancers
- It is available in all 50 states and Washington, D.C.
Cons
- Can be difficult to speak with a live person over the phone
- Does not directly handle claims
- Coverage may sometimes be declined without a clear reason
Standout features
- Policies can be obtained for various timeframes, including hourly, monthly, and daily coverage.
- Easily get quotes and obtain coverage online within just minutes
- Works with multiple top-rated insurance carriers
Financial stability: Thimble offers policies through different carriers as it serves as a managing general agent. According to Thimble’s insurance ratings page, all of its providers are rated between A- to A+ (Excellent) by AM Best.
Why I like Thimble
Thimble offers a specific insurance policy for consultants and freelancers. Under this plan, you’ll get general liability insurance and professional liability insurance. Combined, these will protect you against the most common risks you’ll face, and they’re incredibly important because you could otherwise be personally responsible for accidents, mistakes, or client disputes. If you’re not already convinced, here’s a guide on why independent contractors need liability insurance.
A standout feature of Thimble is the fact that it offers policies by the job, month, day, or hour. This makes it great for nearly any type of freelancer, whether you do it year-round or just occasionally on an ad hoc basis throughout the year. Thimble essentially makes it easy to start and stop coverage only for the times you need it, allowing you to save money.
Thimble states that on average, business owners pay a total of $87 per month or $1,044 per year for general liability and professional liability insurance combined. Thimble offers coverage as low as $53 per month — but this will depend on the coverages and deductibles you select, as well as the specific risk factors associated with your freelance operation.
Thimble is consistently rated highly by customers. It has a 4.3-star rating on Trustpilot with over 2,100 reviews, with many reviewers highlighting the ease of obtaining a quote, purchasing a policy, and the overall affordability. Thimble is also accredited with the Better Business Bureau, holding an A+ rating.
Hiscox: Best for industry-specific coverage
Pros
- History of continuously improving product and coverage availability
- Easy-to-use online account dashboard
- Specializes in insuring small businesses
Cons
- No 24/7 call center for customer service or claims
- Has a history of higher-than-average complaints compared to some competitors
- Coverage may not be available in AK, DE, HI, KY, ME, MT, ND, SD, VT, WV, and WY
Standout features
- Can provide custom policies, taking into consideration your industry’s unique risks
- Payment flexibility, as policies can be paid annually or on a month-to-month basis
- Online reviews confirm a trend of quality service when it comes to filing and handling claims
Financial stability: Hiscox has over a century of experience and has obtained an AM Best rating of A (Excellent).
Why I like Hiscox
Different industries carry unique risks, and as a freelancer, you’re not expected to be an expert when it comes to knowing what insurance coverage you should get. Fortunately, that’s something that Hiscox understands. You can speak with one of its representatives to get a customized policy tailored to your business’s unique risks.
Available policies that Hiscox targets towards contractors and freelancers include professional liability insurance, general liability insurance, and even a business owner’s policy (BOP) to combine general liability with business property coverage.
One downside is that it does not offer 24/7 availability for customer service or claims. For instance, if you want answers to questions about a quote, you’ll need to call during its regular business hours from Monday through Friday, 7a.m. to 10p.m., ET. With that said, the company does have high customer service marks.
I obtained a quote for a research consultant operating out of Texas. It took approximately 5 minutes to do so, and I received a quote for $63 per month for general and professional liability coverage. Each policy came with $1 million in coverage along with a $1 million aggregate, and a $500 deductible applied for the professional liability portion of the coverage.
Note that Hiscox also offers a 14-day guarantee with the ability to cancel policies at any time.
In prior years, Hiscox has received a larger-than-average portion of customer complaints. With that being said, it did rate highly on the third-party site Feefo, with a score of 4.7 out of 5 stars from over 1,200 reviews.
Simply Business: Best for quote comparison
Pros
- Easy online process to compare and customize multiple quotes
- Allows for quick and easy online purchasing
- Same-day coverage is available in the vast majority of instances
Cons
- Limited customer service hours
- Many other providers offer an easier, less time-consuming claims-filing process
- Not all insurance types can be purchased online, and may require a phone call
Standout features
- Easy policy quotation and purchasing process that can be entirely online and without the need to speak with anyone
- Dedicated agents are available during normal business hours to answer questions, assist with policy customizations, and purchase a policy
- Quickly and easily see real-time updates to pricing from adjustments you make to policy limits, coverages, and deductibles
Financial stability: Simply Business, owned by Travelers, has received an AM Best rating of A++ (Superior).
Why I like Simply Business
If you want to quickly compare quotes among multiple insurance carriers, Simply Business is an excellent option. With just a single application, you’ll be able to see coverage options from multiple highly-rated providers. In fact, the Simply Business website highlights more than 16 insurers on its homepage. And when you get your policy coverage options, you’ll be able to customize them in real-time to easily get an apples-to-apples comparison across different carriers.
Another thing I like about Simply Business’s business model is that because of the number of insurance carriers it works with, you’ll almost be guaranteed to find the coverage you need for your company’s unique risks. One possible downside here, however, is that if you do have any questions about your policy, you’d need to direct them to the insurance carrier you’ve selected, as Simply Business would likely not be able to assist with that.
I obtained a quote for a beauty salon freelancer operating out of the state of Texas. In my case, I received only one quote, but note that you can receive more depending on your location and the specific type of business you’re running.
For a policy that contained general and professional liability coverage, my monthly cost came to $75. This was for policies that contained $1 million coverage per occurrence and a $1 million aggregate. This is quite affordable, and a big reason Simply Business also made our list of the best professional liability insurance companies.
Simply Business consistently receives stellar ratings from its customers. On the third-party website, Trustpilot, it received a 4.6-star rating from 1,480 reviews as of the time of writing this article. Most customers commented on how easy it was to get a quote, get questions answered, and purchase a policy online.
ERGO – Next Insurance: Best for easy policy customization
Pros
- Easy-to-understand policy coverage levels and tiers of protection
- Promises to resolve most claims within 48 hours
- COIs can be generated and shared instantly
Cons
- Some insurance options may be limited by state
- Not all insurance options are available online
- Does not have a 24/7 call center
Standout features
- Places a large emphasis on the affordability of its policies, as nearly two-thirds of its customers pay less than $75 monthly
- Commercial app is available and can be used to manage your policy 24/7
- Does not require an in-depth understanding of coverages as pre-packaged policy tiers easily identify differences among coverage levels
Financial stability: ERGO – Next Insurance currently has an AM Best financial rating of A- (Excellent).
Why I like ERGO – Next Insurance
If trying to understand insurance coverage just isn’t your cup of tea, ERGO – Next Insurance is definitely worth a look. It makes policy customization incredibly easy, as it offers three main tiers, each offering progressively more coverage. In other words, think of it as three pre-packaged insurance policies. Sure, you can customize each on your own, but you can also choose to go with the level and affordability that best suits your circumstances.
Another notable thing about ERGO – Next Insurance is that as you go through the quotation process, its system is smart enough to recommend and tailor coverages based on your company’s unique risks. For example, it offers inland marine coverage if you get a general liability quote as a contractor. Similarly, it will recommend professional liability insurance for notaries and photographers. In other words, just because you get the benefit of pre-packaged tiers doesn’t mean you’re sacrificing the quality of your policy.
Playing the role of a freelance pressure washer operating in Texas, I obtained a quote for general liability insurance and received the following three options:
- Basic: $320 monthly cost, carrying $1 million in general liability coverage.
- Premier: $360 monthly cost, carrying the same amounts as Basic, but with an additional $5,000 for stolen or damaged tools.
- Deluxe: At a cost of $483.76 per month, this had the same coverage as Premier, but with an increased amount of $2 million aggregate for general liability.
Overall, ERGO – Next Insurance has a stellar rating with its customers. On Trustpilot, it has earned a 4.6-star rating over 1,220 reviews. Perhaps the only slight downside is that while the business is accredited with the Better Business Bureau, it has only a grade of “B” on that platform.
The Hartford: Best coverage for larger freelance operations
Pros
- Nationwide availability for the vast majority of policy and coverage types
- Easy to get in touch with someone thanks to its 24/7 claims call center
- Offers a broad range of policy types
Cons
- Same-day coverage may not be available
- Not all policies can be purchased online
- Option to purchase policies online may sometimes be denied without a clear reason
Standout features
- Offers almost any type of business insurance policy needed for freelancers, including general liability, professional liability, BOP, workers’ comp, cyber liability, and more
- Historically has a lower-than-average complaint level based on information from insurance commissioners
- Easy-to-use online account access and management
- Can generate COIs 24/7
Financial stability: The Hartford has been in business for over 200 years, demonstrating a high financial ability to pay claims. That’s supported by its AM Best rating of A+ (Superior).
Why I like The Hartford
If you’re a freelancer but employ other individuals on your payroll, The Hartford might be your best bet for ensuring you have sufficient coverage. That’s because the company has insurance for nearly any type of circumstance you might run into. As an added benefit, that also means that you can customize your policy to suit any unique risks you may encounter in your day-to-day business operations.
The Hartford also has an incredible digital experience. You can use its online account dashboard to easily file a claim, manage your policy, update your deductibles and coverage limits, and more. It’s easy to feel like you’re getting white-glove treatment, with its 24/7 customer service availability and as evidenced by its consistently high customer reviews and ratings.
While The Hartford may be a better fit for larger freelance operations, you’ll be pleasantly surprised to find that its policies can still be incredibly affordable — something that helped it land a spot on our list of the cheapest general liability insurance companies.
Personally, getting a quote through The Hartford took me a bit longer than other companies. With other companies, I was able to obtain a quote in under five minutes. With The Hartford, it took me nearly 10 minutes.
For a freelance beauty salon specialist in Texas, I received a quote of $588 annually for a policy containing $1 million in general liability, along with a $2 million aggregate. If you’re unsure of what additional coverage you might need, you can call and discuss with one of its insurance team members.
The Hartford’s own website shows that it has an overall rating of 4.7 stars through 42,000 reviews. That said, it was more difficult to find positive reviews on third-party websites. For instance, the company is not accredited with the Better Business Bureau, and Trustpilot shows a rating of 1.2 stars based on 78 reviews.
However, keep in mind that businesses not accredited with the BBB may simply have made the business decision not to partner with that platform. It is not necessarily a bad thing. Similarly, with only a small portion reviews (less than 100) on Trustpilot rating the company poorly, I’m inclined to weigh it far less than other reviewers.
How I evaluated the best liability insurance companies for freelancers
In evaluating the best freelance companies, our team developed a proprietary in-house scoring system that evaluated insurance carriers based on their financial stability, customer satisfaction, convenience, and policies offered.
- Financial strength: Ratings from AM Best were used to determine the insurance carrier’s ability to pay out claims. This metric was important, considering an insurance policy would effectively be useless if the company were financially unable to pay a claim.
- Customer satisfaction: Customer reviews and ratings from reputable sources were considered in determining how new customers would likely be treated. Primary sources included the Better Business Bureau and Trustpilot, but other third-party sites were also considered when deemed necessary.
- Convenience: The easier it was to get a quote and make a purchase, the higher marks an insurance carrier would score in this category. Additionally, the ability to get same-day coverage and the functionality and ease of use of a mobile app were factors that helped an insurance carrier score better in our evaluation process.
- Policies offered: Here, we considered the quality and types of policies offered. This included how many different types of coverages were available, as well as the flexibility of customizing them such as modifying deductibles and coverage amounts.
How you can choose the best freelance insurance
There’s no one-size-fits-all solution, and the best insurance carrier will be different for everyone. For those reasons, it can be quite difficult to know which one to choose. I recommend focusing on the following factors to help guide your decision:
- Coverage types: Make sure you’re covered for the types of risk you’re likely to face. This could include things like general liability coverage, professional liability, property damage, auto damage, and more.
- Coverage amounts and deductibles: Once you’ve figured out the types of risk you’re likely to face, the next thing is to ensure how much you’ll want to be covered for and the applicable deductibles. Being overinsured means you’re overpaying, while being underinsured could leave you more financially vulnerable.
- Affordability: It’s not typical to have to use insurance on a regular basis, so you want to make sure it’s not causing undue burden on your finances or your cash flow. If it is, you may want to consider shopping around every now and then to see if you can lower your premium as you get more experience.
- Customer service reputation: Past reviews from customers provide insight as to how the insurance carrier typically handles things like claims and other issues. Here, you can skim through reviews yourself to see if there are any patterns or trends that are of importance to you.
- Convenience and ease of use: Consider how important it is for you to be able to manage your policy online or from a mobile app on your phone. Additionally, think about how big a deal it would be if your insurance carrier did not offer a 24/7 call center for claims or customer service.
Frequently asked questions (FAQs)
Yes, but not every company offers this. Thimble is one company that can offer insurance by the job, hour, month, or year. It’s a great option to consider if you don’t do freelance work consistently, as it can save you money and time from having to repeatedly pause or cancel insurance.
At a minimum, I recommend at least $1 million in coverage of general and professional liability coverage. However, that may vary depending on the size of your freelance operation and other nuances. You should get quotes and speak with multiple insurance and financial advisors to ensure you have a sufficient amount to cover potential legal costs, settlements, and damage claims.
At a minimum, you should consider general liability and professional liability. They’ll cover the most common scenarios of accidental mistakes, property damage, and bodily injury. Depending on your specific freelance operation, you may also want to consider a commercial property policy, auto insurance, workers’ compensation, cyber liability insurance, and business equipment coverage.
Bottom line
As a freelancer, you might be tempted to spend your time running the day-to-day of your business rather than choosing an insurance policy. However, it’s a crucial step to protect yourself from unexpected setbacks, secure your financial ability to continue building the business, and maintain the lifestyle you have in mind. With the right insurance policy in place, it’ll serve as an important safety net in the event you have a client dispute or accident that might otherwise threaten your financial well-being.
