Business Insurance

Last updated: December 9, 2025 Recently updated

Business Insurance Guide

Protection for your business and employees. Find comprehensive information to help you understand your options and make informed decisions.

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Business Insurance Types

Explore the different types of business insurance available:

General Liability Insurance - Protects businesses from third-party claims of injury or property damage
Professional Liability Insurance - Errors and omissions coverage for professional services
Workers Compensation Insurance - Coverage for employee injuries and illnesses occurring on the job
Business Owners Policy (BOP) - Bundled coverage combining property and liability for small businesses
Cyber Liability Insurance - Protection against data breaches and cyber attacks
Commercial Auto Insurance - Coverage for vehicles used for business purposes

Starting a Business Checklist - Essential business insurance for new ventures
Going Freelance Checklist - Business coverage when self-employed

10 Small Business Insurance Mistakes - Common coverage gaps to avoid
Small Business Insurance Types Explained - Essential coverage guide
Small Business Insurance Costs - What to budget for coverage
Business Insurance by Industry - Industry-specific considerations
Business Insurance Cost Comparison - State-by-state analysis

Umbrella Insurance - Extra liability coverage beyond standard limits
Health Insurance - Coverage options for business owners and employees
Disability Insurance - Income protection if you can’t work
Life Insurance - Key person and succession planning coverage

Official Resources

SBA Business Insurance Guide (opens in new tab) - Small Business Administration insurance requirements
NAIC Business Insurance (opens in new tab) - State regulator consumer information
OSHA Workers’ Compensation (opens in new tab) - Federal workplace safety and comp requirements
Find Your State Insurance Department (opens in new tab) - Verify insurers, file complaints

Data Sources

Business insurance data in this guide come from NAIC (opens in new tab) , Insurance Information Institute (opens in new tab) , SBA (opens in new tab) , and state regulatory filings. Learn more about our data collection methods on our Methodology page.

Frequently Asked Questions

What insurance does a small business need?

Most small businesses need general liability insurance and should consider professional liability (if providing services), commercial property insurance, and business interruption coverage. If you have employees, workers’ compensation is required in most states. A Business Owner’s Policy (BOP) bundles common coverages at lower cost.

What is general liability insurance?

General liability covers third-party claims of bodily injury, property damage, and personal/advertising injury related to your business operations. If a customer slips in your store or your product damages someone’s property, general liability responds. It’s foundational coverage for most businesses.

How much business insurance do I need?

Common liability limits are $1 million per occurrence and $2 million aggregate. Your needs depend on industry, contracts (many clients require specific limits), assets at risk, and risk exposure. Higher-risk businesses or those with valuable contracts may need $2-5 million.

What's a Business Owner's Policy (BOP)?

A BOP bundles general liability and commercial property insurance into one package, typically at a lower cost than buying separately. BOPs are designed for small to medium businesses and often include business interruption coverage. They don’t include professional liability, workers’ comp, or commercial auto.