Small business owners know they need insurance, but don’t have a lot of extra money to spend. You want a policy that offers you all the coverage you need at a reasonable price. Here are the top seven insurance companies we recommend for lower-priced insurance that doesn’t sacrifice coverage.
- Simply Business: Comparing several quotes to find the cheapest small business insurance
- Pie: Cheapest workers comp insurance
- Next: Cheapest general liability insurance for Contractors
- Hiscox: Cheapest professional liability insurance for several professionals
- The Hartford: Cheapest Business Owners Policy (BOP)
- Progressive: Cheap commercial auto insurance
- Travelers: Cheapest business insurance for restaurants
- How much does small business insurance cost?
Simply Business: Comparing several quotes to find the cheapest small business insurance
Simply Business partners with many different insurance companies to offer quotes. You’ll enter some basic information about yourself and your business, and Simply Business will return two or three quotes from companies that meet your needs. The website is very easy to navigate, and you can purchase many different types of business insurance, including:
- General liability
- Workers’ compensation
- Commercial property
- Professional liability (also known as E&O or malpractice insurance)
- Commercial auto
- Business owners’ policy
- Product liability
- Liquor liability
Once you purchase insurance through Simply Business, all your information is stored in a digital wallet so you can keep track of all your policies in one place.
|– Easy to use|
– Quotes from multiple insurance companies
|– Quotes are not necessarily instant: sometimes it takes a day or two|
– Only offers quotes from companies they are partnered with
– Customer support can be slow
Pie: Cheapest workers comp insurance
Pie focuses on workers’ compensation insurance, but it does offer other types of small business insurance as well. They claim they can save you up to 30% on your workers’ compensation insurance costs. They now serve 36 states and are hoping to expand to all fifty in the future.
While they do offer business insurance other than workers’ compensation, they pair with local, regional, and national insurance companies to offer those policies. Workers’ compensation is the only type of insurance they cover in-house. They have excellent customer reviews, with most praising how fast and easy it was to get insured.
|– Online quotes|
– Excellent customer reviews
– Easy to use
|– Only available in 36 states|
– Workers’ compensation is the only type of insurance they offer directly
– Relative new company (2018)
Learn more at the best workers comp insurance companies and the cheapest workers comp insurance companies.
Next: Cheapest general liability insurance for contractors
Next offers all small businesses an easy and straightforward way to get insured, but they’re particularly well-suited for contractors. Policies are customizable and flexible, so you can choose the coverage you need and leave out whatever you don’t. They have several packages available which include general liability, commercial auto, tools and equipment, and workers compensation in the same package. You’ll save 10% by buying more than one policy.
They redesigned their website recently, and now it’s more colorful and easier to find what you need.
|– Customizable policies|
– Online quoting
– Available in most states
– 100% online
|– Relatively new company|
– Highly specialized industries will have to call to discuss their insurance needs
Learn more about general liability insurance for contractors, its cost, and the best general liability insurance for contractors.
Hiscox: Cheapest professional liability insurance for several professionals
Hiscox insures over 180 professions, including professional liability for your industry’s specific risks. They insure over 400,000 small businesses, and even though you might not have heard of them until recently, they’ve been in the insurance industry since 1901. If you get professional liability insurance through Hiscox, you’ll be covered anywhere in the world.
|– Cover a huge range of industries|
– 5% discount if you buy more than one policy
– Other discounts available
– Professional liability coverage protects you no matter where you are
|– Small business insurance is not available in Alaska|
– Customer reviews are mixed
Learn more at professional liability insurance costs for different professionals and the best professional liability insurance companies.
The Hartford: Cheapest Business Owners Policy (BOP)
Many small businesses need commercial property insurance in addition to their general liability insurance. The Hartford can offer you a BOP (Business Owners Policy) to fulfill this need. It includes business interruption insurance as well, so you’ll be covered if a hurricane or other natural disaster forces you to close your business for a time. You can get coverage of up to $2 million, which makes it a great choice for businesses with expensive equipment.
|– Many years of experience|
– High coverage limits
– BOP includes business interruption insurance
|– You can get a quote online, but to purchase a policy you’ll need to call and speak to an agent|
– You can’t file a claim on the app
– Customer reviews are mixed
Learn more at the best BOP insurance companies.
Progressive: Cheap commercial auto insurance
Progressive is the number one commercial auto insurer in America, with more than 1 million commercial vehicles under their coverage. They offer seasonal policy adjustments, so if you only drive a snowplow for part of the year, you can lower your premium to reflect seasonal use. They can cover cars, trucks, trailers, and fleets. They offer several discounts, lowering your costs even further. And they offer 24/7 claims service and an extensive network of repair shops you can take your vehicle to if it needs service.
|– Online quotes|
– Lists an average cost of $188 a month for commercial auto
– Discounts available
– Seasonal coverage
|– Not every discount is available in every state|
Learn more at the best commercial auto insurance companies and the cheapest commercial auto insurance companies.
Travelers: Cheapest business insurance for restaurants
Owning and operating a restaurant require different restaurant insurance coverages. A restaurant BOP policy from Travelers includes coverage for food spoilage and employee dishonesty coverage, which is vital if you own a restaurant. They have a long history, being in business since 1864, which means they have a lot of experience that can help your business. They also have high liability limits, which is great if you own a larger restaurant—up to $2 million per occurrence and $4 million annually.
|– High coverage limits|
– Included food spoilage and employee theft coverage
– Extensive library of risk management resources
|– No online quotes|
– $5,000 included food spoilage and $25,000 employee dishonesty coverage may not be enough
Learn more at the best restaurant insurance companies and the best workers comp insurance companies for restaurants.
How much does small business insurance cost?
What you pay for business insurance depends on a number of factors. The first one is the type of business insurance coverage you get. These are the averages of some of the most common types of business insurance.
|Type of insurance coverage||Average cost|
|General liability||$65 a month|
|Business Owners Policy||$99 a month|
|Professional Liability||$97 a month|
|Workers compensation||$38 a month per employee|
|Cyber liability insurance||$124 a month|
|Commercial umbrella insurance||$1,500 a year|
|Commercial auto insurance||$750 to $1,200 a year per vehicle|
|Employment Practices liability insurance||$800 to $3,000 a year|
|Directors and Officers insurance||$600 a year|
|Commercial property||$742 a year|
Learn more about other coverages that small businesses might need:
- cyber insurance and the best cyber insurance companies and the best data breach insurance companies
- commercial property insurance and the best commercial property insurance companies
- directors & officers (D&O) insurance and the best D&O insurance companies
- the best employment practices liability insurance companies
- the best commercial umbrella insurance companies
Finding inexpensive business insurance is important, but make sure you don’t scrimp on coverage or policy limits. In the long run, you may wind up paying more than you would have if you have to cover claims yourself. One of the best ways to save money on business insurance is to shop around and compare quotes. And you can also make sure to provide a safe environment, for both your employees and your customers.
No comment yet, add your voice below!