Even though companies aren’t required to get general liability insurance in Texas, it is a good idea to purchase this product. You’ll receive essential protection in case of an accident or misstep that results in bodily injury or damage to a customer’s property.
- Top 6 Providers of General Liability Insurance in Texas
- What is General Liability Insurance?
- What doesn’t General Liability Insurance Cover?
- Why Small Businesses Should Get General Liability Insurance in Texas
- How Much does General Liability Insurance Cost in Texas?
Top 6 Providers of General Liability Insurance in Texas
There are dozens of insurance providers offering general liability insurance in Texas and nationwide. We’ve reviewed them found these top six general liability insurance companies. They all have excellent ratings with customers and with A.M. Best, a credit-based rating agency for insurance companies.
- CoverWallet: Best for Comparing Online Quotes
- American National: Best Local Insurance Provider
- Hettler Insurance: Best Independent Insurance Agency
- Chubb: Best Commercial Insurance Provider by Marketshare
- The Hartford: Best for Customized Insurance Packages
- Progressive Insurance: Best for Discounts on Combined Policies
CoverWallet: Best for Comparing Online Quotes
CoverWallet is a digital commercial insurance broker. They work with several leading business insurance companies such as Chubb, Hiscox, Liberty Mutual, etc. Once you provide your personal information on the lead form on their website, within a few minutes, they will provide you with several quotes to compare and select the best one for your situation.
They also offer a great digital dashboard which you can use to manage all of your business insurance policies in one place from renewing to filing claims if you buy a policy through them.
American National: Best Local Insurance Provider
Founded and headquartered in Galveston, TX, American National is a local company that went big. They provide insurance coverage in all 50 states for both residential and commercial clients. American National also offers a variety of business insurance, including liability insurance, worker’s compensation, and commercial auto insurance.
Hettler Insurance: Best Independent Insurance Agency
For more than 25 years, Hettler Insurance has provided a personal touch to insurance for their clients in the Lubbock, TX area. They are an independent agency that uses a variety of carriers to help clients get a good deal. You can get a customized general liability plan through Hettler for your specific needs.
Chubb: Best Commercial Insurance Provider by Market Share
This multinational company offers business insurance and general liability insurance all over the world. It is the largest commercial insurer in the United States with an annual revenue 19.14 billion USD as of 2015. Chubb also boasts three local offices in Austin, Dallas, and Houston, TX.
The Hartford: Best for Customized Insurance Packages
Another nationwide company to consider is The Hartford, which has been around for more than 200 years. This well-established insurance provider offers industry focused policies. You can get small business insurance, traditional business insurance, and commercial auto insurance tailored to your company.
Progressive Insurance: Best for Discounts on Combined Policies
Progressive has made a name for itself by offering bundled policies in the residential sector, such as combining your home and auto policy for a 15% discount. Well, this nationwide insurance company does the same for companies through their Progressive Advantage® Business Program. Get commercial auto insurance and general liability insurance together to enjoy a discount on your premiums.
What is General Liability Insurance?
Also known as business liability insurance, this is a type of insurance that protects professionals and business owners from common liability claims. Say you are a decking contractor hired to build a deck for a homeowner and you accidentally hit the stucco exterior of the property with a hammer, causing damage. Your general liability insurance would cover that claim.
What are some areas where general liability insurance protects you?
- Property Damage
- Bodily Injury
- Copyright Infringement
- Product Liability
General liability insurance will usually cover the cost of repairs to the home or property, as well as any medical expenses incurred.
Commercial Auto Insurance for Company Cars
If you run a business with a company vehicle, such as a general contractor with a work truck, you’ll be required to get commercial auto insurance in Texas. The state requires the following minimums on commercial vehicle coverage:
- $30,000 bodily injury liability per person
- $60,000 bodily injury liability per accident
- $25,000 property damage liability per accident
What doesn’t General Liability Insurance Cover?
General liability insurance only provides coverage in specific circumstances. You won’t be able to use it for incidents that aren’t listed, such as:
- An employee being injured on the job
- Getting into a car crash
- Paying punitive damages from a lawsuit
- Malicious or purposely caused damage
Why Small Businesses Should Get General Liability Insurance in Texas
Though you aren’t required to get general liability insurance in Texas, you can benefit from the coverage when dealing with a lawsuit. It’s also a very affordable policy that can cost as little as $300 a year for small businesses. You can also benefit from general liability insurance in a few other ways:
- Texas gives claimants up to two years to file most civil suits, and up to four years in a fraud or debt collection suit. With a general liability policy, you’ll always be covered by surprise suits.
- General liability insurance doesn’t just pay the settlement for a claim, it can also cover legal fees to defend yourself.
- General liability insurance will help cover damages incurred by your employees, since you can’t be there 24/7 to watch them.
How Much does General Liability Insurance Cost in Texas?
General liability insurance in Texas varies a lot in annual costs due to the type of business, number of employees, and previous history of the policy holder. According to Insureon, most small business owners will pay between $300 to $600 annually for general liability insurance.
If you are running a contracting business, this is considered a higher risk industry so you’d pay more annually compared to someone who works with technology, such as an IT consultant. The median rate for those in contracting is about $825 annually and $340 annually for the latter business.
Prices vary significantly by providers. It is always a good idea to shop around with a few companies or compare several quotes from a digital broker like CoverWallet to make sure you get the best and cheapest quote for your situation.
- Those living in Texas have plenty of choices for insurance providers, including a few local companies.
- General liability insurance pays for property damage, bodily injury, product liability, slander, and copyright infringement.
- Businesses aren’t required to get general liability insurance in Texas, but the state does require commercial auto insurance.
- General liability insurance is usually very affordable for small businesses, costing just a few hundred dollars per year.