Running your own business can be satisfying with the perks of being your own boss, higher potential of success, and independence. But it also has its own challenges and stresses. One of the most significant challenges is protecting your business from liabilities or losses, which is why small business insurance is so important. Whether you’re the victim of a data breach or a customer is injured on your premises, the right insurance policy provides peace of mind and keeps your business operational.
To help you find the best insurance for your company, we evaluated 22 insurance companies based on their available coverages, customer service and financial stability (view our full methodology) and identified the top 10 small business insurers.
The 10 best small business insurers of February2024
- Best overall: State Farm
- Best for customer service: Nationwide
- Best for financial stability: Chubb
- Best for commercial auto coverage: Allstate
- Best for coverage add-ons: The Hartford
- Best for landlord coverage: American Family
- Best for data breach or cyber insurance: Travelers
- Best for policy discounts: Farmers
- Best for home-based businesses: The Hanover
- Best insurance marketplace: CoverHound
Whether you’re a solopreneur or you manage a growing team, running your own small businesses is a booming trend. The Economic Innovation Group reported that Americans submitted 5.5 million new business applications in 2023, an increase of 8% from the prior year.
For new business owners and those who have been managing a company for years, it’s a good idea to shop around periodically and review your business insurance needs to ensure you have adequate coverage. To help you get started, here are our picks for the best small business insurers of 2024.
1. Best overall: State Farm
About: Founded in 1922, State Farm has been providing insurance coverage for over 100 years, and it has an outstanding reputation in the insurance industry. It has the highest-possible AM Best Financial Strength Rating of A++, signaling its financial stability and reliability, but it also stands out due to its innovative products, award-winning mobile app, online platform, and other tools. And it also has high scores for customer support.
- Am Best Rating: A++ (Superior)
- J.D. Power Customer Satisfaction Index Ranking: 2nd out of 13 issuers
- Number of Small Business Products: 14 small business insurance products and add-ons