Get Instant Commercial Small Business Insurance Quotes Online

by Sa El

June 5, 2024

How Much Does Small Business Insurance Cost?

About: $780 Per Year

See Small Business Insurance Costs By State

$780 is the average annual cost that most small business owners are paying for a general liability small business insurance policy. A general liability policy is usually the first type of policy a small business owner will buy.  Some 48% of them pay between $300 – $600 a year averaging around $504 a year and about 17% pay less than $300 per year for a policy.

How Can You Get Instant Commercial Small Business Insurance Quotes Online?

THE SIMPLY INSURANCE WAY

RV Insurance made easy.

 

Agents not required.

Get quotes and sign up online without talking to an agent. But, we are here if you need us. 

Unbiased, expert advice.

Get unbiased insurance education from licensed experts and also avoid dodgy sales calls.

Coverage in minutes.

You can get RV insurance coverage within minutes of getting your quotes and applying.

GET INSTANT RV INSURANCE QUOTES

So, what factors determine the average cost of small business insurance?

Your Policy Type

The type of policy you will need to purchase is going to affect the cost. As your specific needs change and get more specific, your costs may change to suit your new business needs. 

Your Profession

If you are in a profession that will cause you to file a higher amount of claims you could be looking at higher monthly premiums to get coverage due to the extra risk.

Coverage Levels

Your insurance company will give you several coverage amount options. This amount varies based on your choices. Most of these options can be adjusted to your needs. 

How Does Small Business Insurance Work?

Pick Your Options

Your first step is to determine how much coverage you will need and what type of coverage you will need based on your type of business.

Make Payments

Once your policy has been approved you will make an initial down-payment and then start making smaller monthly payments for the life of the policy. 

File A Claim

 

If your business suffers a covered loss you can file a claim online via the online portal of your insurance company. 

What Type Of Insurance Do I Need For My Small Business?

The 5 Different Types Of Small Business Insurance

“in Plain English” 

Outside of workers compensation, there are 5 types of business insurance you should consider.  We discuss them in more detail below. 

Get An Instant Small Business Insurance Quote

Workers Comp

Workers compensation insurance, also known as “workers’ comp protects your small business and your employees if they suffer a work-related injury or illness with benefits such as covering missed wages for an injured employee. 

General Liability

Also known as business liability insurance, this coverage helps cover costs for medical expenses if someone gets hurt at your business. It also covers you if someone files a property damage claim against your business or an advertising injury claim against you.

Product Liability

Product liability coverage is usually best for people who sell products because it covers your legal costs if someone files a claim that a product you sold, made, or distributed caused them an injury or damage to their property. 

Professional Liability (PLI)

This insurance was created to protect professionals like attorneys, public accountants, and doctors against negligence and other claims filed by their clients. PLI insurance is essential because it isn’t something covered by a general liability policy.

Commercial Property Insurance

Commercial property insurance will protect the physical assets of a company form things such as vandalism, fire, or explosions.  However, things like earthquakes and floods aren’t usually covered and would need to be added to the policy as an upgrade. 

Business Owners Policy (BOP)

Business income insurance will help you cover operating expenses like mortgage and rent. When it comes to insurance planning for small business owners, you also need to consider training costs for employees, or the revenue you would normally make if your business was open. 

GET AN INSTANT PET INSURANCE QUOTE TODAY!

What Does Small Business Insurance Cover?

Small Business Insurance Will Cover: 

Small business insurance will cover your business’s property, income and assets. If you are starting off and don’t have a clear idea of the coverages you might need then a Business Owners Policy (BOP) might be the best place for you to start.  Usually they include three of the main types of business insurance coverage which is business property coverage, general liability coverage and business interruption coverage.

Missed Employee Wages

With a workers comp policy you can protect your employees’ missed wages if they miss work due to a work related injury or illness. 

Customer Medical Expenses

If a customer is hurt at your business you can expect a general liability policy to kick in and cover their medical expenses. 

Products You Sell Or Made

If you create a product like a face cream, a product liability policy will cover you if a customer files a claim that your product did them harm. 

Errors & Omissions

Coverage for licensed professionals that could be sued by their customers if they make an error or omission when selling a service or product. 

Physical Assets

With commercial property insurance you can protect your physical assets from things like vandalism, fire or even explosions. 

Your Cash Flow

If your business is interrupted the one thing you will still need access to is your cashflow.  This is covered under your business interruption insurance. 

When it comes to small business policies, we are often asked the below questions:

Does Business Insurance Cover Riots?

Yes, a business insurance policy does cover damage to a property and its contents inside when the cause is a riot.  Perils such as rioting, looting and vandalism are covered perils under almost all commercial property insurance policies. 

Does Business Insurance Cover Looting?

Business insurance does cover damage caused by looting.  This also includes damage caused by riots or damaged caused by police due to a riot or civil commotion. 

Does Business Insurance Cover Loss Of Income?

If you have a business income insurance policy it will replace lost income if you have to close your business due to a covered loss. It can also help pay expenses while your property gets repaired. Usually this coverage can be found bundled with a Business owners policy. 

Does Business Insurance Cover Theft?

Yes, a small business insurance policy covers theft from contents inside a business or even the theft of your data if you purchase a cyber insurance policy for your business.

BUSINESS INSURANCE WHERE YOU LIVE

Business insurance by state.Great businesses carry great responsibilities — keep yours safe with a Business Insurance Policy.

Business insurance policies protect you against lawsuits, employee injuries, cybersecurity attacks, and property damage. Click on your state to get a free quote today.

AlabamaALAlaskaAKArizonaAZArkansasARCaliforniaCAColoradoCOConnecticutDelawareFloridaFLGeorgiaGAIdahoIDIllinoisILIndianaINIowaIAKansasKSKentuckyKYLouisianaLAMaineMEMarylandMassachusettsMichiganMIMinnesotaMNMississippiMSMissouriMOMontanaMTNebraskaNENevadaNVNew HampshireNew JerseyNew MexicoNMNew YorkNYNorth CarolinaNCNorth DakotaNDOhioOHOklahomaOKOregonORPennsylvaniaPARhode IslandSouth CarolinaSCSouth DakotaSDTennesseeTNTexasTXUtahUTVermontVirginiaVAWashingtonWAWest VirginiaWVWisconsinWIWyomingWYVermontVTNew HampshireNHMassachusettsMAConnecticutCTNew JerseyNJMarylandMDHawaiiHIRhode IslandRIDelawareDE VIEW RATES IN YOUR STATE

How To Buy Small Business Insurance Online

Get Some Quotes

Don’t be shy, click through to get some immediate & instant quotes for your small business without having to speak with an agent. 

Apply For A Policy

Once you have viewed the quotes you can apply online for coverage. The application process is fast and can usually be done in one sitting.

You’re Covered

Within 24 hours of your application you will have an approval, at that point all you need to do is pay for your policy and you’re covered.

Approved In Minutes

“in Plain English” 

We are seeing customers get approved for their small business policy within 30 minutes and having an active policy within 24 hours.

Get An Instant Small Business Insurance Quote

the Best Small Business Insurance Companies

cyberpolicy logo

N/A

Our CyberPolicy Business Insurance review is coming soon!

progressive commercial insurance logo

N/A

Our Progressive Business Insurance review is coming soon!

coverwallet logo

N/A

Our CoverWallet Business Insurance review is coming soon!

Top 3 Companies 

“in Plain English” 

We are putting together a post that will cover the top 3 small business insurance companies in much more detail. 

Check out the top 3 business insurance companies

Frequently Asked Questions

How much is small business insurance per month?

The average cost of small business insurance per month will depend on the type of policy you purchase.  The median cost of each policy type is below: 

  • Workers’ Compensation – $68/month
  • Business Owners’ Policy (BOP) – $62/month
  • General Liability – $46/month
  • Professional Liability – $42/month

Who has the cheapest business insurance?

CyberPolicy seems to have the best cheap insurance when it comes to general liability insurance for small businesses. On average the premiums start at around $240 per year. a

What type of insurance should a small business have?

A small business should at least have coverage for general liability, professional liability and things like workers comp.  The best place to start is probably a Business Owners Policy (BOP).

About the author 

Sa El