Business insurance describes individual coverages that can protect a small business. Your level of protection depends on the specific coverages you choose to carry. For example, “business insurance” can refer to a single coverage, such as general liability, but it can include many more, like professional liability and workers’ compensation.
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How much does small business insurance cost?
The average cost of small business insurance is $57 per month, according to Insureon. That’s for a business owner’s policy (BOP), which bundles general liability insurance, commercial property insurance and business interruption insurance. It’s generally cheaper to buy a BOP rather than buying each policy separately.
What type of business insurance do I Need?
BOPs can be general in nature, or personalized to meet your business’s industry-specific needs. Standard BOPs include commercial property insurance, business liability insurance, business income insurance, or equipment breakdown insurance.
What is a business insurance quote?
Be aware that a business insurance quote is an estimate only. The price may change if an insurance company checks out your business and determines you need a different amount of coverage. As your business hires employees, adds locations or grows its product line, your insurance needs will grow too.
Check customer satisfaction and complaints
Studies on business insurance and property claims satisfaction from J.D. Power, which surveys thousands of small commercial insurance customers annually, may help you feel more confident that you’ll have a good experience.
The NAIC website is another source of information about how insurance companies perform. You can find out how many complaints people filed with state regulators against an insurer, the reasons for the complaints and whether there are more complaints than expected for a company its size.
Talk to a professional
A licensed commercial insurance broker or agent can help you evaluate your risks and compare what various business insurance companies offer.
Brokers and agents earn money from commissions. In general, brokers offer products from a wider range of business insurance companies than agents do but may charge extra fees. Many states require agents and brokers to disclose their fees and commissions upfront.