When shopping for the best insurance for small businesses, look for companies that offer multiple types of policies with tailored coverage and outstanding customer service, like 24/7 claims availability and instant access to a certificate of insurance (COI). With a great insurance company, managing your policy and getting answers to your questions is easy—and with that in mind, we evaluated 19 different small business insurance companies to determine the top picks.
We narrowed down our list to the top six companies providing the best small business insurance:
- The Hartford: Overall best insurance for small businesses
- Next Insurance: Best for cheapest general liability insurance
- Chubb: Best for business owner’s policy (BOP)
- Nationwide: Best for service industry businesses
- Hiscox: Best for fast online coverage
- Travelers: Best for retail businesses
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.
The Hartford: Best Overall Small Business Insurance Provider
Pros
- In-house claims services
- Customer complaints below the national average
- Over 1 million small businesses insured
Cons
- Online quotes can suddenly be referred to Tivly
- Same-day coverage not always available
- No mobile application for commercial policies
Why we picked it
The Hartford stands out by offering the convenience of an insurtech company—with features like customizable quotes and the ability to generate a COI—and the stability and established services of a large, traditional carrier. It offers insurance for nearly every small business profession, whether you have a barber shop, construction company, auto repair shop, or lawn care business.
Standout Features
- The standard BOP provides general liability and business income loss. This policy is also customizable with additional coverage, like data breach or professional liability insurance.
- The Hartford has a wide range of other coverages, including workers’ compensation and commercial auto.
- Numerous resources for small businesses are available to help them succeed, including state-specific information, such as workers’ comp requirements for your state.
Financial Stability
With over 200 years of experience, The Hartford has maintained great financial stability. AM Best rated The Hartford A+ (Superior).
Alternative Provider
The Hartford does not offer an app, and while it has a great online experience, the quotes can be unreliable. If you want a quick online experience and the ability to produce proof of insurance anywhere, check out Next Insurance.
We received a quote for a business owner’s policy (BOP) for a clothing retail shop that costs $1,150 annually. It included $25,000 in business property with a $1,000 deductible and, for liability, it carried $1 million per occurrence and $2 million aggregate. 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 with the National Association of Insurance Commissioners (NAIC). This information is supported by policyholder reviews on its website[1], where you can see reviews for all of 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 of the 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 certificate of insurance too.
Next Insurance: Best for Cheapest General Liability Insurance
Pros
- Option for same-day coverage
- Quick online quote and instant policy access
- Unlimited free and shareable COIs
Cons
- No 24/7 call center
- Not all construction activities are covered
- t does not offer the full range of small business policies you may need
Why we picked it
Next is a great option if you are looking to save money. General liability insurance through Next has an average cost of $11 a month. Not only is it cheap, but it’s also convenient—with Next you can get a quote and policy online, and manage your policy through its mobile app.
Standout Features
- After purchasing a policy, you gain instant access to all policy documents.
- Next features a fast quoting system that makes it easy to get instant coverage online, without speaking to anyone. Through its app and new COI Analyzer, Next can generate a nearly instant, free, and shareable COI.
- Coverage is customized for each industry. For example, tools and equipment are automatically included in general liability for contractors.
- Next’s target businesses have fewer than 10 employees and revenue of up to $5 million. It can offer general and professional liability, inland marine, commercial property, employment practices liability insurance (EPLI), and workers’ compensation.
Financial Stability
Next Insurance is in a strong financial position. AM Best’s Next Insurance rating is A- (Excellent).
Alternative Provider
Because it is a newer carrier, Next Insurance is still building its coverage offerings. Some insurance, like commercial auto, is offered in conjunction with another partner and, in some states, coverage may not yet be available. A carrier like Chubb, Nationwide, or The Hartford may be better if your business needs a host of coverage and you would like all your policies in one place.
Next Insurance usually will provide you with three quotes for different levels of coverage. These options are basic, premier, and deluxe. It will offer a coverage recommendation for your business, but you have the freedom to choose which one you think is right.
For a general contractor, we received three quotes:
- The basic coverage was quoted at $274.34 monthly and was a combination of general liability and professional liability. The general liability carried an aggregate limit of $2 million, and the professional liability carried an aggregate limit of $50,000.
- 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.
- 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, and it included $36,000 for office space and equipment. It also had other coverages like equipment breakdown, debris removal, and employee dishonesty.
Not only is Next one of the cheapest providers for general liability insurance, but it is also one of the best insurance companies for contractors because it has created custom policies for the industry that have layers of coverage automatically included. 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, giving you the ability to manage your policy, change coverage, and create COIs all on the website or app.
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. We docked a few points in our scoring rubric for these reasons.
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[2], with the most frequent comment celebrating how fast and easy it is to use.
Chubb: Best for BOP
Pros
- Financial strength
- Policies available
- 24/7 call center
Cons
- Unclear process for obtaining a COI
- No app for commercial lines
- Online quotes are unreliable and you may need to finish the quoting process with an agent
Why we picked it
Chubb is an experienced global insurer offering a great BOP, available for small businesses with revenue of up to $30 million and for more than 1,000 business classes in multiple industries, including food services, healthcare, real estate, and retail stores. Its standard BOP has the core policies your business needs, and its custom BOP can be tailored to fit your business by choosing from a large number of endorsements.
Standout Features
- Claims are handled directly by Chubb. It strongly emphasizes claims services, intending to resolve claims within 48 hours. You can file the claim online or call its 24/7 call center for claims.
- Chubb works with independent agents who can help you with your policy.
- Some optional endorsements for its BOP are water backup and sump overflow, data breach coverage, and EPLI.
Financial Stability
With roots stretching to the 1880s, Chubb has maintained a global reputation for financial stability. AM Best rated Chubb A++ (Superior).
Alternative Provider
Less information is available for smaller businesses regarding online account options or how to get a COI. While Chubb received the same score as Next Insurance, we placed Next above Chubb due to its convenience. If you’re looking for convenience and a dedicated small business insurer, then check out Next.
We received a quote of $924 annually or $77 monthly for a business owner’s policy 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 monitored by the NAIC.
For some businesses, you can get a quote and purchase coverage online, though you usually cannot obtain same-day coverage. Often, when you are trying to get a quote, Chubb will halt the process and request you call to finish it up.
Nationwide: Best for Service Industry Businesses
Pros
- Exceptional customer satisfaction
- Claims and customer service 24/7 call center
- Partnership with third parties to help with risk management
Cons
- Must speak to an agent to finalize and bind a policy
- Unclear process for obtaining a COI
- Limited information on online account services
Why we picked it
Nationwide has developed an extensive suite of policies for the service industry, including a package of management liability policies, which are available as primary or excess coverage through Nationwide’s specialty line.
Standout Features
- Nationwide offers specific coverages for businesses in the service industry, like printing error coverage for advertising firms, a risk-management hotline for law firms, and professional liability customized for funeral home directors.
- For service professions, Nationwide’s target industries are barber shops and beauty salons, photographers, funeral homes, pet groomers, and jewelry, watch, and shoe repair.
- Policy packages for cyber insurance, directors and officers, employment practices liability, fiduciary, and specialty crime are available for both private and nonprofit companies.
Financial Stability
With nearly 100 years of experience and over 500,000 small businesses insured, Nationwide has the financial strength you would expect. Nationwide’s AM Best rating is an A+ (Superior).
Alternative Provider
Nationwide isn’t the most convenient provider on this list. Often, when trying to get a quote, you will need to complete some lengthy steps and may receive a quote from another provider instead of Nationwide. For a fast quote, check out Next.
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 and $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 other similar services were ineligible.
You can manage your Nationwide policy and 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 services for management liability. It has reviewed over 15,000 companies, partnerships, and LLCs and can draw on that data when evaluating 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 will be able to help you with your coverage and policy.
Hiscox: Best for Fast Online Coverage
Pros
- Same-day coverage
- Quick online quote and instant access to the policy
- Coverage options continue to expand with workers’ comp recently being added
Cons
- No app for commercial lines
- No 24/7 customer service
- For higher limits, you will need to call
Why we picked it
Hiscox is an insurer dedicated to providing coverage for small businesses and excels in offering fast insurance to small businesses online. Typically, if your business has revenues under $300,000 and five or fewer employees, you can get same-day coverage online in just minutes.
Standout Features
- Home-based businesses are priced with lower premiums to reflect the lower risk.
- Beyond offering quality insurance for home-based businesses, Hiscox offers the convenience of managing your policy online and creating a COI.
- Hiscox is a great option for businesses that need coverage and would like to add cyber liability.
Financial Stability
Hiscox has a solid financial position. AM Best has rated Hiscox A (Excellent).
Alternative Provider
If you are looking for a carrier that has more than the key policies most businesses need, or if having 24/7 phone-based customer service access is important to you, then you’ll want to consider a provider like Nationwide, Travelers, or The Hartford.
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 10 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 instruction 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 will need to call and speak with one of its licensed agents. They are available Monday through Friday, from 7 a.m. to 10 p.m. ET.
Over the course of 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 the independent review site feefo[3], Hiscox has 4.7 out of 5 stars from nearly 1,000 verified customers. “Very easy to use” is a common refrain when you read through these user reviews.
Travelers: Best for Retail Businesses
Pros
- In-house claims for fast resolution
- 24/7 availability for customer service and claims
- Dedicated customer advocacy department to help with unresolved issues
Cons
- You must contact an agent to get a quote and, in some cases, to manage your policy
- No information shared on average prices for policies
- Online account services available for select accounts only
Why we picked it
Travelers offers a retail store BOP targeting businesses selling appliances, art supplies, auto parts, clothing and accessories, and furniture. The BOP includes protection for property, liability, business income, extra expenses and computer equipment, data, media coverage, and employee dishonesty.
Standout Features
- Travelers provides a 24/7 dedicated helpline for commercial property claims. If you have a loss impacting your business operations, you can call about it at any time to get help.
- Travelers IndustryEdge has over 40 different coverage enhancements to help customize the insurance to fit your specific retail niche.
- Its policy packages for retailers include commercial property, business interruption coverage, premise, and product liability coverages.
Financial Stability
Founded in 1853 and operating globally, Travelers’ financial position is strong. AM Best’s rating for Travelers is an A++ (Superior).
Alternative Provider
The Hartford is the most comparable provider on this list to Travelers, with a similar age, financial strength, range of coverages, and list of industries served. However, The Hartford also has more online tools and can provide a quote online as well. If these features are important to you, then check out The Hartford.
For a quote, you will need to contact one of Travelers’ independent agents.
Travelers offers endorsements for its BOP through its Power Pac and Power Pac Premier endorsements. Each one 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, and 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, though you will likely not need to use the customer advocate as Travelers has the lowest-average complaint of any provider in this guide.
How We Evaluated the Best Insurance for Small Businesses
Our methodology for finding the best small business insurance providers focuses on four key areas: customer service, financial stability (AM Best), convenience, and what insurance is available from the provider. These factors are built into our in-house proprietary evaluation system. Using that system, we determined which companies offered the best insurance for small businesses. We reviewed 19 leading insurance providers and presented the six with the highest scores.
How To Choose the Best Insurance for Small Business
Finding the best place to get business insurance is an important part of running your business. Many insurers will offer the same type of insurance and limits, so choosing a quality insurance company can make all the difference. You’ll want to first ask yourself what is most important: affordability, customer service, availability, resources, etc. From there, look for an insurer that provides the most elements that matter to you.
Often, working with a broker or an independent agent can help you maximize your time in looking for the best small business insurance company. To help you choose, read our comparison of insurance carrier vs broker.
Small Business Insurance Options
Most businesses either need or should seriously consider getting the following three coverages:
- General liability insurance is an important liability coverage because of its scope. It covers third-party damage and bodily injury and will usually include product liability, premises liability, and personal advertising injury coverage.
- Workers’ compensation insurance is required in 48 states, but the threshold (how many employees you have) for when it is required varies depending on the state.
- Commercial auto insurance is required if your business operates a vehicle. All states require liability insurance, and some states require uninsured motorists and personal injury protection. The limits will change for each state.
Beyond that, choosing coverage will depend on your business. For example:
- If you own an office building, then commercial property insurance will be important.
- If you are home-based but own a lot of tools, then you’ll want to consider inland marine insurance.
There are a lot of options when it comes to business insurance, so if you have more questions, then check out our guide to small business insurance.
How Much Does Small Business Insurance Cost?
Obviously, the cost of your premium is important. While researching small business insurance costs by industry, we obtained hundreds of quotes. The averages of those quotes appear below to give you some guidance on how much you may end up paying for insurance. Keep in mind that due to the various factors that impact a quote, your price may end up being higher or lower than the averages we’ve provided.
Frequently Asked Questions (FAQs)
Small business insurance protects your business from property damage, business 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 for 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, the assets of your business are still vulnerable if you do not 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. Depending upon the industry and state, small business liability insurance may be required. 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 is a policy package that usually includes property, liability, and business income. Workers’ compensation helps you and your employees if an employee is injured while working. Some other types of coverage to consider, based on the nature of your business, 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 it can be shared as proof of insurance. Sometimes, vendors or contractors will request to be added to your policy as an additional insured. Once this change is made, you’d present the COI showing their inclusion into the policy. You can read our article on what a COI is to learn more about it and how to request one.
Bottom Line
Time is money—so we’ve saved you some time by researching the best small business insurance companies. The Hartford makes finding an affordable and comprehensive policy easy, as its experts can help you select the right coverage for your needs. Complete a short online questionnaire and receive a quote in minutes, or call (888) 219-3051.
Visit The Hartford for a quote
User review references:
[1]The Hartford
[2]Next Insurance
[3]feefo | Hiscox
