Best Small Business Insurance Companies

best business insurance companies

Business insurance is not just one specific policy, but a collection of different plans designed to protect your business from financial risk.

Generally speaking, small and midsize businesses will probably be interested in some type of business owner’s plan, which combines property and liability coverage with other important protections.

Larger companies might want something similar, but at a larger scale, sometimes known as a national plan. In addition, businesses will want to purchase supplemental coverage against other risks.

Often, that at least means some type of workers’ compensation plan and commercial auto insurance, if they use any vehicles for company business.

To provide you with the list below, we’ve scoured the market to find insurance companies that offer extensive business insurance products and we’ve homed in on the companies that provide quality customer service.

It’s also important to us that the insurers we list have strong financial standing.

10 Best Small Business Insurance Companies of 2020

Here are the top 10 providers of business insurance in 2020:

Mercury Insurance

mercury business insurance logoMercury Insurance provides business insurance policies and coverage for commercial vehicles.

Business auto insurance policy options include collision, comprehensive, medical, and standard coverage for types of vehicles as varied as refrigerator trucks and passenger vehicles.

Core business insurance policies from Mercury Insurance come in many forms, and they are customizable.

The principal coverage options include:

  • Commercial property
  • Commercial liability
  • Commercial umbrella
  • Business owners’ policies

…and they’re offered to every type of business, from warehouses to restaurants.

Depending on your needs, you can also add coverage for:

  • Sewer backup
  • Employee dishonesty
  • Electronic data processing
  • Equipment removal
  • Glass

USAA

usaa business insuranceUSAA offers access to small business insurance policies through partner companies.

To cover property and liability, business owner’s policies are available.

You can also get coverage for business-related usage of vehicles and workers’ compensation insurance.

Policy details will vary according to your industry, state, and partnering insurance company.

Progressive

progressive business insuranceProgressive is one of the largest providers of car insurance in the country.

Through its Progressive Advantage Business Program, Progressive provides access to a number of different business policies, which are underwritten by outside companies.

  • Commercial Auto Insurance: Progressive is known best as an auto insurance coverage, offering policies that cover business autos, trucks, tow trucks, vans, dump trucks, and food trucks.
  • General Liability: These policies will protect you from damages resulting from your business operations. General liability can be especially helpful for contractors and small business owners.
  • Workers’ Comp: This type of coverage pays certain medical bills and lost wages to workers who fall ill or get injured while on the job. State guidelines will determine how much workers’ compensation you must offer.
  • Contractors: These types of policies protect independent trade workers on the job from various risks, and they’re required in some jurisdictions. They typically include components of a business owners policy, workers’ compensation, liability, and commercial auto coverage.
  • Business Owners Policy: This type of policy combines property and liability coverage into one package, designed specifically with owners of small and medium-sized businesses in mind.
  • Professional Liability: Professionals, like licensed practitioners in the medical or legal fields, should be covered from professional liability in case they’re alleged to have behaved negligently in the course of their work. This insurance plan can also help cover their defense costs, and it might be required by clients.
  • Cyber Insurance: If you store and process sensitive data, cyber insurance can help cover you against damages resulting from first-party and third-party data breaches.

State Farm

statefarm insurance logoState Farm offers a variety of business liability policies, as well as property insurance that can cover farms and other commercial real estates.

Several small business policies from the company are listed below:

  • Business Owners Policy: This is a core policy tailored to your specific industry, especially suitable as a central policy for small businesses.
  • Business and Commercial Auto: This is auto insurance specifically for vehicles used in a commercial capacity.
  • Commercial Liability Umbrella: This policy, available in increments of $1 million, provides coverage over and above what’s normally available for professional liability insurance.
  • Professional Liability: This coverage protects your business against legal claims of negligence, error, or omission.
  • Workers’ Compensation: If a worker gets sick or hurt while on the job, you’ll need to provide them with lost wages and help with medical bills. This policy will assist in covering those expenses.
  • Small Business Life: This kind of life insurance policy can help small business owners plan for the future of their organization and allow for a smooth transition after the owner passes away.

Nationwide

nationwide business insuranceNationwide is a very large national insurance company that also offers financial services like retirement savings, investing opportunities, banking products, and loans. They claim to be the leading farm and ranch insurer.

Business owners will be particularly interested to learn that Nationwide ranked first in customer satisfaction for small commercial insurance, and has served more than half a million American small businesses.

Business insurance applicants can get a quote by going through an online portal. Select the policy or combination of policies you’d like, share your contact information, add general and advanced information, and you’ll receive your quote.

If you’re not sure what coverage you’d like, you can use Nationwide’s virtual interactive coverage advisor. You’ll answer questions about your business, and they’ll recommend policy types and give you sample quotes.

  • Business Owners Policy: This inclusive policy is intended for individuals who own a business with fewer than 100 employees and less than $5 millions in sales. This type of plan combines income interruption security with property and liability protections.
  • General Liability: This type of policy is intended to protect your business against lawsuits and fees for which you’re found liable due to an accident or mishap.
  • Professional Liability: This coverage protects you against legal challenges stemming from your professional services. It also covers you for charges related to wrongful termination, discrimination, and harassment.
  • Workers’ Compensation: If your employees are injured or get sick on the job, even for office-related conditions like carpal tunnel syndrome, this coverage will help you pay out to that employee for their medical expenses or lost wages.
  • Commercial Auto: If your employees drive a company car, or if the car is registered to your business, your business will need to insure the vehicle for potential damage or injury to others.

Allstate

allstate business insuranceAllstate offers business owners policies that are comprised of property and liability coverage, as well as commercial auto insurance.

These policies are tailored to the specific risks of 36 different business categories, and they can be further customized as needed.

The Allstate website provides discussion guides to share with your agent.

The Hartford

the hartford business insuranceThe Hartford is a large insurance company based in Connecticut and known for its property and casualty products, group policies, and mutual funds. This company sells policies through a network of brokers and agents, and they underwrite policies for AARP.

The Hartford has repeatedly been ranked as a World’s Most Ethical Company by Ethisphere Institute.

Business insurance plans typically center on a business owners policy that combines commercial property coverage with general liability insurance and a business income plan to cover lost income.

Clients can customize their policy by adding different optional plans, like those listed below.

  • Data Breach Insurance: This policy will help you recover from a data breach if you store or process sensitive information. Implementing the company’s best practices can help you avert digital intrusions before they happen.
  • Workers’ Compensation Insurance: To varying degrees based on your state, you’re required to provide compensation for employees who are injured or who get sick while on the clock. This insurance plan can help you avoid big financial risks from those payouts.
  • Professional Liability Insurance: If you’re accused of negligence from an action that’s part of your professional services, especially if you practice medicine or law, then this policy can keep you covered.
  • Commercial Auto Insurance: If you our your employees have access to a company vehicle for business purposes, you’ll need commercial auto insurance.

Travelers

travelers business insuranceThis global company is one of the largest and oldest insurance companies in the United States. In addition to writing personal insurance, Travelers writes policies for commercial property and businesses as well as bond and specialty insurance plans.

Though personal insurance customers can get a quote online through the Travelers website or by calling their hotline, business insurance customers should instead enter their location to find an agent in their area. The agent can help decide what coverage is right for that customer’s needs.

A business insurance policy from Travelers can incorporate several different plans, from the kind of business protection you’d expect from any good insurance company, to specialized products that secure against unique risks. Standard policies are available, like commercial auto and trucking, general and professional liability, and property coverage – but they also have more specialized policies.

In addition, Travelers has global insurance policies that extend beyond the United States.

  • Boiler and Machinery: If you have certain types of boilers or other special machinery at your business, you could be at a real loss if your equipment breaks down. This helps protect against those losses.
  • Cyber: This plan can help protect policyholders against liability due to cybersecurity risks.
  • Environmental Liability: If you’re found liable for pollution violations as a contractor, you could assume a large financial burden. Protect against those potential losses with this policy.
  • Inland and Ocean Marine: These separate policies cover property in transit overseas or shipped and handled domestically.

Farmers Insurance

farmers business insuranceFarmers is a large national insurance company that specializes in personal and small business insurance. Farmers Insurance policies are available through a network of both independent and exclusive agents. This company also offers financial products like mutual funds and variable annuities.

Selecting your industry type on the Famers website will help you get an idea of the plan types which might work best for you. In addition to standard core business insurance policies like property, liability, commercial auto, and workers’ compensation insurance, Farmers offers several other plans that could be beneficial, depending on your circumstances. Some of them are outlined below.

  • Crime: This plan helps cover your losses due to theft of money or securities, whether the action is committed by your own employees or by an outside party.
  • Umbrella: If you already have an underlying policy, but you anticipate that you could need more coverage for your business, an umbrella plan can help you rest easy.
  • Life: You can use life insurance policies to help you recruit high-quality employees and keep them engaged. This policy can also help ensure a smooth transition for the business after the business owner passes away.
  • Loss Control: This type of policy is designed to help you reduce workplace hazards and make your working environment safer.

Liberty Mutual Insurance

liberty mutual business insuranceThis global insurance company is one of the largest in the country, and it’s particularly renowned for its property and casualty insurance business. The Liberty Mutual’s commercial wing provides policies for small, midsize, and large companies, including group disability and life insurance policies.

Prospective customers can submit information to receive quotes for various types of personal insurance online, or they can use the company hotline, but those seeking business insurance are directed to contact a nearby agent by entering their location information.

The agent can then help the user find a quote based on their industry and specific needs. Risk control and auditing services are available as well.

Liberty Mutual Insurance offers business owners policies that protect against general liability and provide property coverage. They also offer commercial auto insurance, and plans that will cover excess liability, equipment breakdown, and workers’ compensation, as well as umbrella policies.

In addition, there are several specialized policy types available through Liberty Mutual, some of which are noted below.

  • Inland Marine: If you frequently transport high-value objects, you may want to consider getting inland marine coverage in case those objects are lost or damaged in transit.
  • Reinsurance: Insurance providers themselves might want to purchase reinsurance coverage to protect against their own risk of loss.
  • Specialty Programs: Liberty Mutual Insurance has a great deal of expertise in specific niche industries that have unique insurance needs. Find out if your industry can get specialized protections through Liberty Mutual.

Which Small Business Insurance Company is For You?

Business owners have a lot to consider, from which payroll service to use to how to secure small business loans.

Business insurance policies should be a high priority.

By shopping around among reputable suppliers and comparing quotes for the specific types of coverage that suit their needs, business owners can protect their company and assets.

*While we make every effort to keep our site updated, please be aware that “timely” information on this page, such as quote estimates, or pertinent details about companies, may only be accurate as of its last edit day. Huntley Wealth & Insurance Services and its representatives do not give legal or tax advice. Please consult your own legal or tax adviser.