Best General Liability Insurance for Small Businesses
MoneyGeek’s top pick for best general liability insurance for small businesses is Thimble. Nationwide, biBERK and The Hartford also score highly in other best general liability insurance categories.
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By Mandy Sleight
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Licensed Insurance Agent
Mandy Sleight is a licensed property, casualty, life and health insurance agent with 20 years of experience in the industry. She has worked for major insurance companies like State Farm and Nationwide, and most recently as the Operations Coordinator for a startup employee benefits company. Sleight holds a business administration and management degree from the University of Baltimore and a master's in business administration from Southern New Hampshire University. She uses her vast knowledge of insurance and personal finance to create easy-to-understand and engaging content to help readers make smarter choices with their budgets and finances.
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Edited by Erika Hearthway
EH
Content Writer and Editor
Erika Hearthway is an experienced professional linguist. She writes clear, compelling content for a variety of companies on topics ranging from finance to fashion. She also works as an editor, proofreader, and translator from Spanish to U.S. English, and she ensures that any copy that crosses her desk is polished, error-free, and written to have maximum impact. Prior to her career as a linguist, Erika worked as a project manager overseeing large-scale, multilingual translation efforts for companies looking to expand their global footprint.
Contributions by 3 experts
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By Mandy Sleight
MS
Licensed Insurance Agent
Mandy Sleight is a licensed property, casualty, life and health insurance agent with 20 years of experience in the industry. She has worked for major insurance companies like State Farm and Nationwide, and most recently as the Operations Coordinator for a startup employee benefits company. Sleight holds a business administration and management degree from the University of Baltimore and a master's in business administration from Southern New Hampshire University. She uses her vast knowledge of insurance and personal finance to create easy-to-understand and engaging content to help readers make smarter choices with their budgets and finances.
EH
Edited by Erika Hearthway
EH
Content Writer and Editor
Erika Hearthway is an experienced professional linguist. She writes clear, compelling content for a variety of companies on topics ranging from finance to fashion. She also works as an editor, proofreader, and translator from Spanish to U.S. English, and she ensures that any copy that crosses her desk is polished, error-free, and written to have maximum impact. Prior to her career as a linguist, Erika worked as a project manager overseeing large-scale, multilingual translation efforts for companies looking to expand their global footprint.
Contributions by 3 expertsUpdated: June 21, 2024
Advertising & Editorial Disclosure
MoneyGeek used several factors to determine which companies offer the best general liability insurance for small businesses. These factors include affordability, customer satisfaction, financial strength and online quote time. Small business owners can benefit from general liability insurance, as it provides coverage for claims made against the business for bodily injury, property damage and more. Thimble is our overall choice for the best general liability insurance for small businesses, with fast quote speeds, cheap rates and superior financial strength.
Best National General Liability InsuranceBest General Liability Insurance for Small Businesses
Best General Liability Insurance for Employers - Nationwide Best General Liability Insurance for Customer Satisfaction - The Hartford MethodologyWhy Trust MoneyGeek?
We collected 1,229 general liability insurance quotes and analyzed cost information alongside customer satisfaction and financial stability reports to determine the best general liability insurance for small businesses.
Coverage costs and company information was last updated in 2023.
Thimble earned the highest MoneyGeek score, making it the best company overall for small business general liability insurance. It received a high score for fast quote time, superior financial strength and affordable average rates. This carrier’s average monthly general liability business insurance rates are $22 for sole proprietors and $66 for LLCs.
The table below shows the companies we analyzed for best general liability insurance with costs and ranked by MoneyGeek score.
Offers affordable rates for LLCs and sole proprietors
Excellent AM Best rating for financial strength
Fast online quote time with nationwide availability
High number of customer complaints
Cheaper average rates for sole proprietors than LLCs
Not only does Thimble offer affordable general liability rates for LLCs and sole proprietors, but it also has the fastest average online application time, which can help when you need a quote quickly. Its superior financial strength means it can afford to pay claims. However, it has a higher-than-average number of customer complaints. This carrier offers several other policies a small business owner may need, including workers’ compensation, professional liability, business equipment protection and a business owner’s policy (BOP).
If you have employees, Nationwide may be the right fit for your general liability business insurance needs. It ranks as the best general liability insurance for LLCs with 20 employees. Nationwide’s average monthly cost for LLCs with 20 employees is $47.
How did MoneyGeek choose this company?
MoneyGeek used the following weights to find the best general liability insurance for employers:
Lower-than-average number of customer complaints
Excellent AM Best financial strength rating
Lower-than-average general liability rates for LLCs
Longest quote time of selected carriers
Online quotes not available in AK, HI, LA and OK
Highest average general liability rates for sole proprietors
Nationwide offers cheap average rates for LLCs with 20 employees, but the number of employees is a significant factor in how much you pay for general liability business insurance. Expect to pay more if you have more employees and less if you have fewer employees. This carrier has few customer complaints and a high financial strength rating. However, it also has higher average costs for sole proprietors, and online quotes may not be available in all states. We could not get online quotes in Alaska, Hawaii, Louisiana or Oklahoma.
For businesses with no employees, consider biBERK for general liability business insurance. This company has the cheapest general liability insurance rates for sole proprietors without employees at $25 per month. It also has an excellent financial strength rating and a lower-than-average number of customer complaints.
How did MoneyGeek choose this company?
MoneyGeek used the following weights to find the best general liability insurance for businesses with no employees:
Excellent AM Best financial strength rating
Lower-than-average number of customer complaints
Long online quote time compared to competitors
No quotes available online for LLCs with 20 employees
General liability insurance only available in 27 states
biBERK has few customer complaints with an excellent financial strength rating, making it a great option for small business sole proprietorships with no employees. It earns the highest ranking for financial strength thanks to it falling under the Berkshire Hathaway Insurance Group umbrella. However, this carrier has the second-longest online quote time and only provides general liability insurance in 27 states. We were unable to obtain an online quote for LLCs with 20 employees in any state.
For businesses that place a high degree of importance on customer satisfaction, The Hartford may be the best general liability insurer to consider for small business insurance. Based on the data we collected from the National Association of Insurance Commissioners (NAIC) complaint index, this company gets far fewer complaints than industry competitors.
Superior financial strength AM Best rating
Fast online quote times
High average rates for LLCs and sole proprietors
Online quotes not available in AK or HI
The Hartford has been providing insurance products for over 200 years, giving this carrier a strong reputation in the industry. Its longevity is in part due to its strong customer satisfaction, earning the top spot with the fewest customer complaints compared to competitors. However, The Hartford isn’t the cheapest option for general liability business insurance, with an average monthly rate of $68 for LLCs and $32 for sole proprietors. While it has fast online quote times, we were unable to get quotes in Alaska or Hawaii; businesses in these states may need to contact an agent directly.
The average monthly cost for LLCs is $67, whereas sole proprietors pay an average of $28, according to our analysis of general liability insurance for small businesses. Quotes are based on no prior claims history or employees for a sole proprietor with $500,000 in revenue, while the LLC profile has 20 employees with $1.25 million in payroll costs and $5 million in annual revenue.
Insurance companies use multiple factors to determine general liability insurance costs, including:
When deciding on the best general liability insurance for your small business, there are several factors to consider. Evaluating your business insurance needs and comparing quotes and customer experience data from each company can help you determine which company offers the best general liability business insurance for you.
Reviewing a company’s customer satisfaction ratings and reviews can help you get a feel for how the company will treat you as a customer.
Although you can check customer reviews on the insurance company’s website, they might not provide the complete picture and may be skewed as favorably for the insurer. Explore third-party online reviews to get an idea of how the company treats current and past customers, especially throughout the claims process.
Organizations like the National Association of Insurance Commissioners (NAIC) can also give you valuable information. The NAIC customer complaint index is 1.00. Figures above 1.00 mean the company has higher-than-average complaints compared to industry competitors, while a lower score means the company has fewer-than-average customer complaints. The fewer complaints, the more customers are satisfied with the service the insurance company provides, making it a better option for smooth transactions with an easy and satisfactory claims process.
Each business has different needs for general liability insurance. For example, if you only need coverage for a short time, Thimble may be of interest, as it provides short-term policies. Competitors typically only offer 12-month policies.
If you work in a high-risk industry, like general contracting, or have many employees, your coverage needs are usually greater than a sole proprietor or low-risk industry business.
Although online quote tools can help you get a fast price, they might not provide information on the coverage you truly need. It may be beneficial to speak with an insurance agent knowledgeable about your industry to guide you on what coverage limits and policy types are best for your business.
Comparison shopping can be critical, as rates for general liability insurance vary significantly by insurance company, business structure, industry and number of employees. Putting in the extra time to evaluate your coverage needs and what each insurance company offers could save you thousands of dollars on general liability business insurance coverage.
Online general business insurance quotes allow you to get rates from multiple companies quickly, making it easier to compare them. Just make sure you’re getting quotes for the same coverage limits and deductible amount so that you can get an accurate comparison across all companies.
Online quoting and customer reviews make it easier to find the best general liability insurance for small businesses. If you still have questions, reviewing the answers to the most common questions about general liability business insurance can help.
What is the best general liability insurance for small businesses?Thimble offers the best general liability insurance for small businesses. This company has excellent financial strength, fast online quotes and affordable rates for sole proprietors and LLCs. How much your small business will pay for general liability insurance depends on factors like your business size, industry, coverage needs, employee count, payroll cost and revenue
How much does general liability insurance cost?On average, sole proprietors pay $28 per month for general liability insurance, while LLCs pay $67. The cost for general liability insurance depends on your coverage needs, business structure and industry, number of employees, annual revenue and payroll costs, if applicable.
Do you need general liability insurance for your small business?Most small businesses can benefit from general liability insurance. It protects the business against bodily injury or property damage claims and may include other benefits, like advertising injury. Your business may also need other business insurance policies, such as workers’ compensation for your employees, professional liability insurance or business equipment protection.
Paul E. Traynor Assistant Professor of Law at School of Law at University of North Dakota READ ANSWERS
Evan W. Walker Attorney at Evan Walker Law READ ANSWERSAbout Mandy Sleight
Mandy Sleight is a licensed property, casualty, life and health insurance agent with 20 years of experience in the industry. She has worked for major insurance companies like State Farm and Nationwide, and most recently as the Operations Coordinator for a startup employee benefits company.
Sleight holds a business administration and management degree from the University of Baltimore and a master's in business administration from Southern New Hampshire University. She uses her vast knowledge of insurance and personal finance to create easy-to-understand and engaging content to help readers make smarter choices with their budgets and finances.
