Business Insurance Cost

Insuring 1 million small businesses worldwide.

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Small Business Insurance Cost

From damaged laptops to stolen gear and surprise legal fees, even a small setback can throw your small business off course. That’s where business insurance comes in — helping you stay covered so you can keep growing with confidence.

Let’s break down what business insurance costs, what affects your business insurance price, and how Simply Business makes getting coverage easier and more affordable.

Coverage Options and What They Cost

Whether you’re a solopreneur just starting out or a seasoned pro with a growing crew, we can help you find personalized coverage to fit your needs and budget.   

There’s no one-size-fits-all policy, but here are some of the common coverage options our small business owners typically consider and the median cost:

General Liability

A foundational coverage to help handle costs from third-party accidents, property damage, and bodily injury.

The median cost is:

$41 per month and $492 per year.

Professional Liability

Also known as errors and omissions insurance, this coverage can protect against damages and legal costs for mistakes or negligence claims.

The median cost is:

$56 per month and $672 per year.

Workers’ Compensation

Coverage to help take care of employees who get injured or sick on the job.

The median cost is:

$116 per month and $1,392 per year.

Inland Marine

Also known as tools and equipment Insurance, this coverage can financially protect your tools, equipment, and inventory in transit, onsite, and at your business location.

The median cost is:

$29 per month and $348 per year.

Business Owner’s Policy (BOP)

General liability, property insurance, and more all in one convenient package.

The median cost is:

$61 per month and $732 per year.

Here’s a snapshot of how much our customers typically pay for business insurance:

Average Monthly Small Business Insurance Costs¹

General Liability Insurance

$42/month

Business Owner’s Policy (BOP)

$57/month

Professional Liability or E&O Insurance

$61/month

¹Data from Simply Business customers from July 1, 2024 to December 31, 2024.

These numbers are based on actual policies purchased through our site. But getting a great premium isn’t just about the numbers — it’s about working with a partner that understands your business. And because we work with a range of trusted insurers, you’ll see coverage options to match your business, so you can choose a customized package that works for you and your budget.

How Much Will I Pay  for Business Insurance?

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What Affects Business Insurance Cost

If you’ve searched online for business insurance, you’ve likely seen a wide range of prices — and no clear reason why. The truth is there isn’t a set price, since the cost depends on several key factors, including:

Type of work you do: High-risk jobs (like electrical or roofing) tend to cost more to insure than lower-risk work, such as IT consulting or photography.
Business size: Solo business owners often pay less than those running busy shops, restaurants, or crews across multiple job sites.
Location: Rates can vary by city or state based on local laws, industry risk, and foot traffic.
Number of employees: More employees may mean more exposure to workplace injuries — and higher workers’ comp premiums.
Coverage type & limits: The more protection you need — from general liability to workers’ comp or inland marine coverage — the more you’ll likely pay.
Your claims history: If you’ve had previous claims, that may bump up your rate.
Your experience: Have you been in business for years with no claims? That could work in your favor.

How to save on business insurance

Whether you’re managing a jobsite, running a café, or troubleshooting tech, safe practices can help reduce the risk of accidents — and keep premiums down.

If you have employees, make sure they’re well-trained in safety, customer service, and equipment use to help avoid costly claims.

Put steps in place to prevent future mishaps.

Fire alarms, security measures, and weatherproofing can help prevent losses — and may reduce your business insurance price.

From laptops to power tools, protecting your gear from theft or damage can lower Inland Marine insurance costs.

Some carriers offer monthly payment installments (which sometimes include additional fees), that allow owners to spread the cost out over the year.

Shop around

Simply Business provides customized coverage options from top-rated small business insurers — all in just 10 minutes. We do all the leg work so you can sit back, compare quotes, and save.

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Business Insurance Made Better

A one-minute explanation

Learn how we’re making finding business insurance fast, easy, and affordable — all in just 60 seconds.

Hi there, we’re Simply Business, and small business insurance is what we do. We work with top insurers who specialize in small business coverage—no one-size-fits-all solutions here. We’ve worked with thousands of business owners like you, so we have a good idea of what different businesses need. We get it: you do one web search, and the results can be overwhelming, and not in a good way. We can save you from that. We’re ready when you are. It takes just a few minutes online—enter some information about your business, and some pretty cool technology shops for great coverage at competitive prices in just seconds. You choose and purchase the coverage that works for you. Not to worry, we’ve got licensed insurance pros to help you over the phone. Then we zip your Certificate of Insurance and other policy documents straight to your inbox. That’s how easy it is to insure your business with Simply Business.

Trusted by over 1 million small businesses worldwide.

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More Business Insurance FAQs

Business insurance usually refers to one or more coverages suited to your type of business.

It depends on your state and if you have employees. But whether it’s required or not, we strongly recommend having coverage. In fact, many clients and landlords may require it before doing business with you.

Because even a single accident or lawsuit could cost your business thousands of dollars out of pocket. Business insurance helps protect you from a financial hit like that — so that one mistake doesn’t turn into a major setback.

Yes — insurance premiums are usually considered a business expense. But always check with your accountant for certain.

The right combination of policies can cover damage to someone’s property, stolen equipment, and sick or injured employees.

You can get a full quote in about 10 minutes — and an estimate even faster, with just 3 quick questions from us.

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The Simply Business difference

Simply Business is a digital insurance brokerage. That means we’re not tied to one insurer. Instead, we partner with a range of top-rated carriers and use smart technology to match you with policies that fit your specific business, your risks, and your budget.  

Maybe you’re just starting out and want solid protection without overspending. Or maybe you’re growing fast and need coverage that can grow with you. Either way, we’re here to help –– with a choice of affordable policies and small business expertise to help you get the coverage you need.

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