6 Best Small Business Insurance Companies

At Fit Small Business, we are committed to delivering trustworthy answers to your insurance questions based on thorough research and firsthand experience. Drawing on over a decade of work in the insurance industry, including cases with small businesses, I evaluate each provider based on the expertise I’ve developed.

After countless interactions with customers, I have learned what matters and what doesn’t matter as well as what works and what doesn’t work. Ultimately, I apply that knowledge and experience to each provider’s evaluation.

We received a quote for a business owner’s policy for a clothing retail shop that costs $1,150 annually. It included $25,000 in business property with a $1,000 deductible. It carried $1 million per occurrence and $2 million aggregate for liability. It also included business income, backup sewers and drains, and coverage for brands and labels.

With over 1 million small business owners insured through The Hartford, the provider has received a lower-than-average number of complaints from the National Association of Insurance Commissioners (NAIC).

This information is supported by policyholder reviews on its website, which provide feedback on all the lines of business it sells. For example, there are nearly 4,000 reviews for workers’ compensation, with an average of 4.8 out of 5 stars.

Even though The Hartford doesn’t have an app, it does have 24/7 customer service. Its digital experience is more streamlined and advanced than many other providers. Online, you can get a quote, purchase a policy, manage the policy, and file a claim. If you need proof of insurance, you can create a digital COI, too.

Next Insurance usually provides three quotes for different levels of coverage: basic, premier, and deluxe. It will offer a coverage recommendation for your business, but you have the freedom to choose which one is right. We received three quotes for a general contractor.

1. The basic coverage was quoted at $274.34 monthly and combined general and professional liability. The general liability carried an aggregate limit of $2 million, and the professional liability carried an aggregate limit of $50,000.
2. The premier coverage was quoted at $382.26 monthly and carried the same liability limits but also had $15,000 in coverage for damaged or stolen tools.
3. The recommended deluxe coverage was quoted at $462.51 monthly and carried the same coverage as the previous two quotes—but the tool coverage was increased to $20,000, including $36,000 for office space and equipment. Other coverages include equipment breakdown, debris removal, and employee dishonesty.

Not only is Next one of the cheapest general liability insurance companies, but it is also one of the best insurance companies for contractors. This is because it has created custom policies for the industry that include layers of coverage. Next Insurance also emphasizes extremely fast (sometimes within seconds) COI generation specifically, but not exclusively, for contractors.

The company’s website and app interface reflect this convenience, and you can manage your policy, change coverage, and create COIs on both.

Unfortunately, Next does not operate a 24/7 line for customer service or claims; however, its app does function like one. If you need to speak directly with someone, you will need to call Monday through Friday from 6 a.m. to 5 p.m. PT. For these reasons, we docked a few points in our scoring rubric.

Customers are responding well to Next Insurance’s convenience, as it has lower-than-average complaints with the NAIC. Over 4,000 users have given it a 5 out of 5 rating on its website, with the most frequent comment celebrating how fast and easy it is to use.

We received a quote of $924 annually or $77 monthly for a BOP for a clothing store. It had general liability limits of $1 million per occurrence and $2 million aggregate. It also had $2 million in products and completed liability insurance and $50,000 in business personal property insurance.

If the standard BOP doesn’t work for your business, Chubb offers Customarq, a specialized policy designed to meet modern challenges businesses typically face. As marketing continues to move to mediums like Facebook and TikTok, claims for advertising injury, libel, and invasion of privacy offenses increase.

Customarq carries a minimum blanket coverage of $500,000 for your property, with the option to increase the amount. Professional liability can be added to the BOP, too.

Chubb maintains high customer service and has lower-than-average complaints, as the NAIC monitors.

For some businesses, you can get a quote and purchase coverage online, though you usually cannot obtain same-day coverage. When you are trying to get a quote, Chubb will often halt the process and request that you call to finish it.

We received a quote for a beauty salon that cost $503 annually—there was no monthly payment option. The policy was a BOP with $1 million per occurrence, $2 million aggregate in general liability insurance, and $25,000 in business property insurance. We were given the option to purchase the policy entirely online without speaking to anyone, and the coverage started the next day.

The quote carried a total insurable value of $20 million with a maximum building value of $10 million. Business revenue was capped at $5 million. Spas offering electrolysis, permanent makeup, tanning, acupuncture, and similar services were ineligible.

You can manage your Nationwide policy, file a claim online, or call 24/7 for customer service or claim-related needs.

Formerly a private company, E-Risk Services, LLC^® was purchased by Nationwide to enhance its management liability services. It has reviewed over 15,000 companies, partnerships, and LLCs and can use that data to evaluate potential risks your business may face.

Nationwide works with independent and captive agents, so if you prefer working closely with a local agent, you can find one in your area using Nationwide’s website. These local specialists can help you with your coverage and policy.

We received a quote for a home-based artist for cyber insurance that costs $259 annually. Alternatively, you can make a down payment of $43.30 and then ten installments of $21.57. The policy carried an occurrence and aggregate limit of $250,000 with a $10,000 deductible.

As a cyber liability policy, this insurance covers breach response with experts to respond to and mitigate a cyber event. It also covers lost business revenue and data recovery if you suffer a breach or extortion threat. Another featured coverage is for money lost if your business falls victim to fraudulent instructions by a third party.

Hiscox is available in all 50 states, and for most coverages, you can get an online quote very quickly for same-day coverage. You can also purchase the policy without needing to speak with anyone. However, if you want or need higher limits, you must call and speak with one of its licensed agents. They are available Monday through Friday, from 7 a.m. to 10 p.m. ET.

Throughout the past few years of evaluating Hiscox, complaints monitored by the NAIC have been on a steady downward trend. Unfortunately, the 2023 data shows that complaints for Hiscox are on the rise again, and currently, the number of complaints received is higher than the national average.

However, it should be noted that on Feefo, an independent review site, Hiscox has 4.7 out of 5 stars from nearly 1,000 verified customers. “Very easy to use” is a common refrain.

For a quote, you must contact one of Travelers’ independent agents.

Travelers offer endorsements for its BOP through its Power Pac and Power Pac Premier endorsements. Each includes higher limits and coverage for accounts receivable, business personal property, utility services, spoilage coverage for perishable goods, and even salesperson’s samples.

Travelers is available in all 50 states. While you cannot get a quote online, you can manage your policy and pay your bills online. You can also request an instant COI through your account.

Claims and customer service are available 24/7. There is a customer advocacy department in case something goes wrong. However, you will likely not need to use the customer advocate as Travelers has the lowest-average complaint of any provider in this guide.

Small business insurance protects your business from property damage, interruption, and third-party liability claims. For example, you could file a claim if you cannot operate your convenience store and the food spoils because of a storm-related power outage.

Or if someone were to slip and fall in your store, your liability insurance would help pay their medical bills and protect your business from lawsuits. The best small business insurance companies will provide ways to help you in all of these scenarios.

Yes, small business insurance is a smart choice for your business. While an LLC will protect your personal assets, your business assets are vulnerable if you don’t have insurance. Plus, you can’t ignore a claim, especially if it ends up in court. You can learn more about this through our guide on LLC insurance coverage and costs.

Most likely, yes. For example, in most states, workers’ compensation is required coverage. Small business liability insurance may be required depending on the industry and state. Often, vendors you work with will require you to carry liability insurance. If you have a loan for your business, the bank may require insurance as a condition of the loan.

There are many different policies, but the most common are BOP, general liability, and workers’ compensation. The BOP policy package usually includes property, liability, and business income. Workers’ compensation helps you and your employees if an employee is injured while working. Based on the nature of your business, other types of coverage to consider are commercial auto and cyber liability.

A COI, sometimes called a certificate of liability insurance, is a one-page document that summarizes the coverage you carry and can be shared as proof of insurance. Sometimes, vendors or contractors request to be added to your policy as additional insureds. Once this change is made, you’ll present the COI, showing their inclusion in the policy.

Yes. Almost universally, insurance companies will discount your premium if you choose to use the provider for multiple policies. Many will offer bundles, like a BOP, to encourage you to get all of your necessary coverage through them. Bundled policies are cheaper than buying the policies on their own.