Running a small business in the USA is no easy task. Between managing daily operations and trying to grow your brand, the last thing you want is to be blindsided by a lawsuit, property damage, or an injured employee. That’s where having the right small business insurance comes in — it’s not just a safety net; it’s a strategic investment. In this 2025 guide, I’ve handpicked the 10 best small business insurance companies in the U.S. based on real-world customer experiences, policy flexibility, affordability, and financial strength. Whether you’re a freelancer, retail shop owner, or run a growing tech startup, this list will help you choose wisely.
1. NEXT Insurance – Best for Online Convenienc
Website: nextinsurance.com
Best For: Freelancers, sole proprietors, and small service-based businesses.
NEXT Insurance has shaken up the business insurance world by going 100% digital. You can get a quote, purchase coverage, and download your certificate of insurance (COI) in under 10 minutes — no agent required. It’s perfect for entrepreneurs who want speed and simplicity.
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Key Coverage Options:
General Liability
Professional Liability (E&O)
Workers’ Compensation
Commercial Auto
Tools & Equipment coverage
Pros:
Competitive pricing tailored to your industry
Instant online access to policy documents
Monthly payment options (great for cash flow!)
Cons:
No brick-and-mortar offices (limited offline support)
May not be ideal for complex or high-risk industries
2. Hiscox – Best for Customized Small Business Policies
Website: hiscox.com
Best For: Professional services, consultants, and startups with specific needs.
Hiscox has been in the game for over 100 years, and it shows. They specialize in small business insurance with custom policies that adapt to your unique risks — whether you’re a home-based graphic designer or running an IT consultancy.
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Key Coverage Options:
General Liability
Professional Liability (Errors & Omissions)
Cyber Liability Insurance
Business Owner’s Policy (BOP)
Pros:
Tailored policies for over 180 different professions
Fast online quotes with live agent support
Strong financial ratings (A by A.M. Best)
Cons:
Coverage may be limited in some states
Not the cheapest option
3. The Hartford – Best for Growing Businesses & Employee Coverage
Website: thehartford.com
Best For: Established small businesses looking to scale or hire employees.
Backed by more than 200 years of experience, The Hartford offers one of the most comprehensive small business insurance portfolios in the U.S. What I really like is their focus on employee protection and business continuity, making them a top pick for scaling companies.
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Key Coverage Options:
Business Owner’s Policy (BOP)
Workers’ Compensation
Commercial Property
Employment Practices Liability
Cyber & Data Breach Insurance
Pros:
Specialized programs for dozens of industries
Bundle discounts for multiple policies
Strong claims handling reputation
Cons:
Quotes typically require speaking with an agent
Can be pricier than newer online-first companies
4. Travelers – Best for Industry-Specific Solutions
Website: travelers.com
Best For: Businesses in niche or high-risk industries.
Not every insurer can handle complex industries like construction, manufacturing, or transportation. Travelers does — and they do it well. With an A++ financial rating from A.M. Best and a deep catalog of coverages, this is a company that’s built for businesses with unique needs.
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Key Coverage Options:
General Liability
Business Income Interruption
Inland Marine (for equipment transit)
Product Liability
Surety Bonds
Pros:
Exceptional claims service and financial stability
Strong industry-specific risk management tools
Customizable BOPs
Cons:
Less intuitive online quoting process
Best suited for medium-sized businesses or those with more exposure
5. State Farm – Best for Local Support & Bundling
Website: statefarm.com
Best For: Business owners who prefer a local agent and face-to-face service.
State Farm isn’t just for home and auto — they offer surprisingly solid small business insurance too. What sets them apart is their huge agent network and ability to bundle policies (often with discounts). If you like having a go-to local expert, this is your pick.
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Key Coverage Options:
General Liability
Business Property
Professional Liability
Business Auto
Surety & Fidelity Bonds
Pros:
Personalized service with a dedicated agent
Trusted nationwide brand
Great bundling discounts
Cons:
Online experience is limited (agent involvement required)
Not always the cheapest for basic policies
6. Progressive Commercial – Best for Business Auto Insurance
Website: progressivecommercial.com
Best For: Small businesses that rely on vehicles (delivery, mobile services, contractors).
Progressive is the #1 commercial auto insurer in the U.S. If your business owns cars, vans, or trucks, Progressive is a top choice. But beyond that, they’ve been expanding into general liability and BOPs, making it a solid all-around insurer for mobile businesses.
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Key Coverage Options:
Commercial Auto (including rideshare and delivery)
General Liability
Business Owners Policy (BOP)
Workers’ Compensation (through partners)
Pros:
Best-in-class vehicle coverage
Flexible payment options
24/7 claims support
Cons:
Less coverage for non-auto business needs
Some policies offered through third-party carriers
7. Chubb – Best for High-Value Businesses and Risk Managemen
Website: chubb.com
Best For: Professional firms, high-earning businesses, and companies with assets to protect.
Chubb is known for white-glove service, extremely high coverage limits, and a proactive approach to risk management. It’s a fantastic choice for businesses with high revenue, expensive equipment, or legal exposure — especially law firms, consultants, and real estate agencies.
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Key Coverage Options:
Property & Casualty
Management Liability
Cyber Insurance
Business Interruption
Pros:
Industry-leading claims service
Global reach and specialty coverages
Offers risk assessment services
Cons:
Not designed for microbusinesses or startups
Pricing may be high for low-risk businesses
8. Liberty Mutual – Best for Mid-Sized & Multi-State Businesses
Website: libertymutual.com/business-insurance
Best For: Established businesses operating across state lines.
Liberty Mutual is one of the most recognized names in business insurance, offering scalable coverage for growing companies. It’s ideal for those with employees in multiple states or who need help navigating complex state-by-state regulations.
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Key Coverage Options:
Commercial Property
General Liability
Workers’ Compensation
Inland Marine
Umbrella Insurance
Pros:
Scalable policies for multi-location businesses
Strong network of risk control specialists
A- rated by A.M. Best
Cons:
Not the easiest for microbusinesses to navigate
Slower quoting process compared to digital-first platforms
9. Thimble – Best for On-Demand Insurance & Short-Term Projects
Website: thimble.com
Best For: Freelancers and gig workers who need insurance by the hour, day, or month.
Thimble is made for flexibility. You can buy coverage by the job — literally by the hour — which is perfect for gig economy workers, pop-up events, or seasonal work. It’s 100% app-based and super easy to manage on the go.
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Key Coverage Options:
General Liability (hourly, daily, monthly)
Professional Liability
Event Insurance
Equipment Protection
Pros:
On-demand insurance (pause or resume any time)
Fast COIs via mobile app
Great for freelancers and side hustlers
Cons:
Not ideal for full-time or large businesses
Limited coverage types
10. Nationwide – Best for Bundled Business Coverage
Website: nationwide.com/business
Best For: Small to mid-sized businesses that want to bundle coverage and save.
Nationwide is well-known in the insurance world and offers robust bundling options through its Business Owners Policy (BOP). It combines general liability, commercial property, and business interruption insurance, making it a great all-in-one solution for small businesses.
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Key Coverage Options:
Business Owners Policy (BOP)
Equipment Breakdown
Crime Insurance
Workers’ Comp
Pros:
Great bundling discounts
Strong reputation and financial ratings
Dedicated agents plus digital tools
Cons:
Not the fastest quoting process
Less ideal for ultra-niche industries
How to Choose the Right Small Business Insurance in 2025
Here’s a quick checklist to help you make a smart decision:
Assess Your Risks – Are you customer-facing? Selling physical goods? Managing employees? Your risks shape your policy.
Compare Quotes – Don’t settle for the first offer. Get at least 3 quotes.
Read the Fine Print – What’s excluded? What are the limits? Understanding these details matters.
Look for Industry Experience – Some insurers specialize in your type of business — use that to your advantage.
Check Financial Strength – Use A.M. Best or Moody’s to verify an insurer’s financial health. You want them to be around if you ever need them.
Final Thoughts
Choosing the right business insurance isn’t just about checking a legal box — it’s about protecting your hard-earned dream. Each of the five companies listed here brings something unique to the table. Whether you’re just starting out or have been in business for years, the right coverage will give you peace of mind, and help you focus on what really matters: growing your business.
Have experience with any of these companies? Drop a comment below — your insight could help a fellow entrepreneur.
I am Sabiq Rasel is an Entrepreneur and broadcaster. I believe that every sip of coffee holds the potential for a moment of inspiration, creativity, and every cup tells a story.
