Running a business always comes with risks. From customer injuries to property damage and lawsuits, unexpected events can put your company’s finances at risk.
That’s where business liability insurance comes in. It protects businesses from financial losses and provides peace of mind. But with so many providers in the market, how do you choose the best business liability insurance companies?
In this guide, we’ll compare the top-rated insurers, discuss their features, and explain how to select the right policy for your business.
Why Business Liability Insurance Matters
Whether you operate a small business, startup, or large enterprise, liability insurance is essential. Here’s why:
- Covers bodily injury and property damage claims.
- Pays for legal defense and settlement costs.
- Helps businesses meet contract requirements.
- Builds trust and credibility with clients and vendors.
Without commercial liability insurance, even a minor lawsuit could cost thousands of dollars, making it difficult for businesses to survive.
Top 7 Best Business Liability Insurance Companies in 2025
Here are the leading insurers offering reliable business liability insurance coverage:
1. The Hartford Business Insurance
- Why it’s best: Known for its tailored small business liability insurance plans.
- Highlights: Strong customer support, affordable general liability policies, and add-on options like professional liability.
- Best for: Small and medium-sized businesses.
2. Nationwide Commercial Insurance
- Why it’s best: Offers broad coverage and flexible policy customization.
- Highlights: General liability, product liability, and professional liability coverage.
- Best for: Businesses that want affordable business liability insurance quotes.
3. Progressive Commercial Insurance
- Why it’s best: Provides bundled policies for business owners.
- Highlights: Combines liability insurance with commercial auto, workers’ comp, and property coverage.
- Best for: Companies looking for multiple coverage options under one plan.
4. State Farm Business Liability Insurance
- Why it’s best: Offers local agents with personalized service.
- Highlights: Affordable general liability coverage and excellent claims support.
- Best for: Small businesses that prefer working with agents face-to-face.
5. Chubb Insurance
- Why it’s best: Known for strong financial stability and global coverage.
- Highlights: Comprehensive policies for large enterprises, professional firms, and manufacturers.
- Best for: Medium to large businesses with high-value risks.
6. Travelers Business Insurance
- Why it’s best: Offers highly customizable policies and strong cyber liability coverage.
- Highlights: General liability, professional liability, and data breach insurance.
- Best for: Companies in industries vulnerable to cyberattacks.
7. Liberty Mutual Commercial Insurance
- Why it’s best: Provides scalable business liability policies.
- Highlights: Flexible coverage, affordable pricing, and excellent claims support.
- Best for: Growing businesses that need scalable liability protection.
Key Coverage Options to Look For
When choosing the best liability insurance for business, consider policies that include:
- General Liability Insurance – Protects against third-party bodily injury and property damage.
- Professional Liability Insurance (Errors & Omissions) – Covers claims of negligence or mistakes.
- Product Liability Insurance – Essential for manufacturers, wholesalers, and retailers.
- Cyber Liability Insurance – Protects against data breaches and cyberattacks.
- Employer’s Liability Insurance – Covers employee claims not included in workers’ comp.
The best business insurance companies usually allow you to bundle these coverages into a Business Owner’s Policy (BOP) for affordability.
Average Cost of Business Liability Insurance
The price of business liability insurance coverage depends on:
- Business size and industry
- Number of employees
- Annual revenue
- Location
- Coverage limits
On average:
- Small businesses: $400 – $600 per year for general liability.
- Mid-sized companies: $1,000 – $3,000 annually.
- High-risk industries: $5,000+ depending on coverage.
Comparing business liability insurance quotes from different providers ensures you get the best rates.
How to Choose the Best Business Liability Insurance Company
To select the right provider, follow these steps:
- Assess Your Risks – Identify industry-specific risks your business faces.
- Compare Quotes – Request commercial liability insurance quotes from at least three companies.
- Check Financial Strength – Ensure the insurer has a strong A.M. Best rating.
- Look for Discounts – Some insurers offer savings for bundling multiple policies.
- Review Customer Service – Claims support and customer satisfaction should be top priorities.
Benefits of Choosing the Right Insurance Provider
Selecting one of the best business liability insurance companies provides:
- Financial protection against lawsuits.
- Credibility when working with clients and partners.
- Peace of mind knowing risks are covered.
- Affordable coverage tailored to business needs.
Final Thoughts
In today’s fast-paced business environment, risks are inevitable. Choosing one of the best business liability insurance companies ensures that your business is protected against unexpected lawsuits, property damage, and legal claims.
Top providers like The Hartford, Nationwide, Progressive, State Farm, Chubb, Travelers, and Liberty Mutual offer comprehensive coverage options at competitive rates. By comparing business liability insurance quotes and tailoring a plan to your needs, you can safeguard your company’s future.
Protect your business today with the right commercial liability insurance coverage—because one lawsuit could cost more than years of premiums.