Best General Liability Insurance for Small Businesses in 2025

General liability insurance protects your business if you harm or are accused of harming a person or their property. Virtually all business insurance companies sell it, and all business owners should have this protection.

After evaluating 19 options, these are our top picks that can help you get the general liability coverage you need quickly and affordably.

Nearly all business insurance companies sell general liability insurance. But financially strong providers that get minimal complaints about their general liability coverage are the best options. We also like insurers that let you get a quote and make a purchase online so you can get the policy you need fast.

NerdWallet recommends getting multiple quotes so you can find the best coverage at the best price.

Business owner’s policies include general liability protections along with commercial property and business interruption insurance. If you have a physical location, a BOP may be the best way to get general liability coverage. Chubb’s BOP is available online to businesses with less than $2 million in revenue. And Chubb had fewer complaints about general liability insurance filed with state regulators than expected given its market share, according to NerdWallet's analysis.

Read NerdWallet’s review of Chubb small-business insurance.

If you need general liability insurance quickly, you can get a quote and buy a policy online in minutes from Next. The company says its general liability insurance policies start at $11 per month, and some product liability coverage is included.

Read NerdWallet’s review of Next business insurance.

In addition to general liability insurance, Nationwide offers specialty coverages like surety and fidelity bonds. Those policies may be important for construction companies, cleaning businesses and other specialty firms. You can get a quote online, but you’ll have to work with an agent to buy a policy.

Read NerdWallet’s review of Nationwide business insurance.

Thimble offers general liability insurance by the month or for individual events, making it a good option for businesses that want coverage mainly to comply with contractual requirements. The company says it sells policies starting at $17 per month.

Read NerdWallet’s review of Thimble business insurance.

Hiscox offers general liability insurance, like virtually all business insurance companies. But if you give advice to clients for a fee, you should have professional liability insurance, too. Hiscox’s professional liability policies cover work done by general contractors and artisan subcontractors in particular. You can get a quote for and buy both types of liability insurance online.

Read NerdWallet’s review of Hiscox business insurance.

If you’d rather work with a professional than buy insurance on your own, consider finding a business insurance agent near you. State Farm may be a good place to start. It earned the highest customer satisfaction score in J.D. Power’s 2024 Small Commercial Insurance Study of any brand we cover. An agent will help you get a quote and buy a policy, and they’ll be your primary point of contact if you ever need to file a claim.

Read NerdWallet’s review of State Farm business insurance.

Commercial general liability insurance policies can pay out in cases of:

It can also cover medical payments for injuries that happen on your property, regardless of whose fault the injury was or whether a legal claim is filed.

What’s not covered by general liability insurance

You may need the following types of insurance to supplement your general liability insurance:

• Product liability insurance: This provides protection against claims that a product your business manufactured, delivered or sold caused harm to a person or property. General liability insurance policies typically include some of this coverage. But if you operate a manufacturing, retail or wholesale business, shop for a separate and more robust product liability coverage.

• Professional liability insurance: Also called errors and omissions insurance, this coverage can protect a business that performs a service — think accountants, lawyers, doctors and architects — if they’re sued by a client who thinks they were negligent or made a mistake that resulted in harm. 

• Workers’ compensation insurance: The part of a general liability policy that covers bodily injury liability only applies to third parties, not to employees. Instead, workers’ comp pays for medical costs, physical therapy and lost wages while an employee recovers from a workplace injury.

» COMPARE: General liability vs. professional liability insurance | General liability vs. workers’ comp

NerdWallet recommends that all businesses carry general liability insurance, even though it’s usually not required by law. It provides a baseline level of protection that can keep your business afloat if you’re sued.

Beyond that, your landlord, client or contractor may insist you have this coverage before they’ll work with you. That’s because if you’re responsible for an accident or injury but don’t have insurance, your landlord or client’s policy may have to cover the costs — driving up their future premiums.

In order for general liability insurance to cover a claim, you’ll need to have a policy in place at the time the accident happens.

» MORE: Does your business need insurance?

When to buy a business owner’s policy instead

General liability insurance is often packaged in a business owner’s policy alongside business property insurance and business income insurance. Look for a BOP instead of general liability insurance if::

• You rent space or own a building.

• You’ve invested in inventory or costly equipment.

• A disaster or accident would force your business to close, cutting off revenue.

General liability insurance has a median premium of $42 per month or $500 per year, according to insurance marketplace Insureon.

But how much general liability insurance costs can vary widely depending on what your company does, where you’re located, how many employees you have and whether you have prior claims. For instance, Next says a yoga teacher pays a median monthly premium of $12; a property manager, $31; and an HVAC contractor, $63.

For businesses with less than $1 million in revenue, online brokerage Coverdash says the general liability policies it sells usually have annual premiums in these ranges:

• Retail businesses: $700-$1,500 annually ($58-$125 per month).

• Professional, scientific and technical services: $700-$1,300 annually ($58-$108 per month).

• Wholesale trade: $700-$2,500 annually ($58-$208 per month).

• Accommodation and food services: $1,000-$3,000 annually ($83-$208 per month).

• Construction businesses: Up to $5,000 annually (up to $417 per month).

Online quotes can give you a sense of how much your business’s premiums might be.

General liability insurance policy limits

General liability insurance policies typically include two numbers: the per-occurrence limit and the aggregate limit. The higher your limits, the more expensive your premiums will typically be.

• Per-occurrence limit: The maximum amount the insurance company will pay out for a single claim. A typical general liability policy includes a per-occurrence limit of $1 million, which includes both legal and settlement costs.

• Aggregate limit: The total amount the insurer will pay out in a single year. A typical general liability policy includes an aggregate limit of $2 million. The aggregate limit refreshes every year if you have an occurrence-based policy.