Small Business Insurance
Small business liability insurance is a series of protections customized to your needs. From injuries to losses to theft, it helps you protect your business so you can dream big without worry!
Start: Meet insurance requirements for events, contracts, and more.
Protect: Shield your business, dreams, and livelihood from costly claims.
Grow: Manage your policy online anytime for coverage that moves with you.
Continue reading to learn more, or get covered today by selecting your industry below.
What is Small Business Insurance?
Small business insurance refers to a catalog of commercial liability coverages that protect your business from financial losses caused by third-party claims. These commonly include:
- Property damage
- Bodily injury
- Professional errors
- Employee work-related injury claims
- Cyber-related losses
- Business interruption
- Product-related claims
- And more
Who Needs Small Business Insurance?
Every business, from side hustles to full-fledged companies, needs small business insurance to protect themselves from unexpected liability claims.
Insurance Canopy protects a broad range of business types across 400+ industries, including (but not limited to):
- Bartenders + Alcohol Vendors
- Beauty + Body Professionals
- Cannabis Cultivators
- CBD Budtenders
- Cleaners + Janitors
- Consultants
- Educators
- Entertainment Professionals
- Fitness + Personal Trainers
- Food + Beverage Professionals
- Landscapers
- Life Coaches
- Online Sellers
- Pet Professionals
- Retailers + Manufacturers
- Vendors + Exhibitors
- Videographers + Photographers
Don’t see your profession? Don’t worry! We insure most small businesses — because our business is protecting yours.
Why Do All Small Businesses Need Insurance?
Every business runs the risk of being sued due to business operations, professional services, employees, or products sold.
The question is: Do you have the ability to pay for a legal battle when it happens?
Claims and lawsuits are expensive and could bring any business to its knees. This is why every small business should carry insurance to protect themselves.
Don’t lose what you have worked so hard to build. Protecting your business is protecting yourself, your livelihood, and your dreams!
Types of Small Business Insurance
You can customize your small business insurance with several coverage options depending on the nature of your industry, operations, and assets. There’s no single coverage that protects you from every potential risk, so it’s essential to personalize your policy to your unique business needs.
Here are the best small business insurance coverage types used by entrepreneurs and enterprises everywhere:
General Liability Insurance
Commercial general liability (CGL) covers many common risks and claims, like bodily injury, customer property damage, rented premise damage, and advertising injury.
✔️ Slips, trips, and falls
✔️ Fire damage
✔️ Libel and slander
Professional Liability Insurance
Sometimes called Error & Omissions (E&O), professional liability covers damages and harm caused by negligence, mistakes, and oversights in the services and advice you provide.
✔️ Financial harm
✔️ Inaccurate advice
✔️ Failure to deliver
Product Liability Insurance
Product liability insurance covers handcrafters, manufacturers, and retailers for injuries and damages caused by the products they make, sell, or distribute.
✔️ Manufacturing errors
✔️ Design defects
✔️ Mislabeling
Workers Compensation Insurance
Workers comp is a no-fault policy required in most states for businesses with employees, covering costs for work-related injuries, illnesses, or death.
✔️ Medical expenses
✔️ Disability benefits
✔️ Employee lost wages
Commercial Property Insurance
Commercial property insurance covers costs resulting from direct physical loss or damage to your business’s physical structure and its contents, like inventory.
✔️ Fire and explosion
✔️ Windstorms
✔️ Vandalism and theft
Business Owners Policy (BOP)
A Business Owners Policy, or BOP, bundles commercial general liability and property insurance, as well as other coverage options, into one insurance plan for business owners.
✔️ Injuries and damages
✔️ Buildings and contents
✔️ Business interruptions
Additional Small Business Insurance Needs
No two businesses are the same, so you’ll likely need to add endorsements (which are additional types of protection) to your policy to ensure you’re covered for every unique risk and exposure you face.
These are the top additional coverages that fulfill most small business insurance needs:
Liquor Liability Insurance
Liquor liability insurance covers injuries or damages caused by selling, serving, or providing alcohol. It’s designed for bartenders, dram shops, caterers, and vendors.
Inland Marine Insurance
Inland marine insurance, also known as tools and equipment coverage, insures moveable business goods, supplies, and inventory against claims of theft or damages.
Errors & Omissions Insurance (E&O)
Errors and omissions insurance, sometimes referred to as professional liability, protects from financial losses caused by mistakes and oversights in services or advice you provide.
Cyber Liability Insurance
Cyber liability insurance, also known as data breach coverage, can help you and your customers recover from a cyber attack on your business that results in financial harm or stolen private information.
Employment Practices Liability Coverage (EPLI)
Employment practices liability insurance covers employment-related claims against your business regarding a violation of employees’ rights, like wrongful termination.
Employee Benefits Coverage
Employee benefits insurance covers claims of errors and omissions when administering non-wage compensations, like benefits, perks, or insurance plans.
Product Recall Coverage
Product recall insurance mitigates the cost of removing a defective product from the market due to potential risks of consumer bodily injury or property damage.
Hired/Non-Owned Auto Coverage
Hired and non-owned auto insurance helps cover third-party injuries and damages caused by vehicles you do not own but use for business, like rented, leased, or employee-owned vehicles.
Excess Liability Limits
Excess liability is an increase in limits beyond what the policy traditionally provides; it’s an additional limit of liability insurance.
Surety Bonds
Surety bonds are three-party agreements that protect your clients, guaranteeing that you will fulfill contractual obligations through performance, compliance, or financial assurance.
Additional Insureds (AI)
Additional insureds are third parties who could face financial consequences because of your business operations (like events, landlords, property managers, or manufacturers, for example) and request to be added to your small business insurance policy, usually as a contractual requirement.
How Much Does Small Business Insurance Cost?
Insurance Canopy’s most popular policies range from $10 to $99 per month! The cost of your small business insurance policy may vary widely, depending on several factors, such as:
- Location
- Day-to-day operations
- Industry
- Business size
- Revenue
- Claims history
Many small businesses carry lower risks than bigger corporations, allowing you to access policies at discounted rates fit for your budget.
Get a Free Small Business Insurance Quote Today
Insurance Canopy provides quick quotes and customizable coverage designed around your unique needs. We offer ready-made policies that can be purchased online in minutes, as well as personalized plans tailored to you by our team of in-house agents.
Simply follow these steps to apply for a free quote today:
- Select your industry
- Begin your application
- Provide key information about you and your business
- Receive your instant quote, or get a custom quote from an agent within 24 hours
If you can’t find the right coverage for you, give our team a call at 844.520.6993! A licensed, U.S.-based agent will happily assist you (not sell to you). We’ll work with our vast network of carriers to help you know exactly what you need, even if your perfect policy isn’t with us!
Why 250,000+ Small Businesses Trust Insurance Canopy
Looking for the best small business liability insurance? You’re in the right place. No hoops, jargon, or hidden fees. Just real insurance for real people, with support from real humans.
More than 250,000 entrepreneurs have trusted us as their one-stop shop for small business insurance — now it’s your turn to experience the customized coverage difference!
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Thank you so much
Steve Monreal
July 11, 2025I needed a portable policy as a yoga instructor. I found this company in an online search. Called and got details from them, was quite surprised at how affordable... Read More
Jamie Calaway
July 4, 2025Very easy & quick experience. We got insurance in no time with no hassle. Thank you!
Robert Earnest
July 4, 2025 -
I am glad I went with them. I needed a last minute policy to cover an event I was doing and they had exactly what I needed at a... Read More
Deloris Pacheco
June 27, 2025great little company, with fair pricing, for entertainers who need occasional coverage. however, they have long hold times to speak to an agent, and their customer service left a little something... Read More
Gretje Angell
June 18, 2025What a lovely experience I had with Insurance Canopy! Easy and fast sign up, great policy, matches my needs as a self-employed business owner. Highly recommend!
Masha Rusanov
June 18, 2025 -
Needed DJ insurance for Memorial Day weekend & was squared away within an hour for 2 events! Highly recommend
Jay Solis
June 18, 2025Very user friendly platform. Multiple options. Very good pricing. Needed liability insurance in order to secure a very good paying event for my solo tribute show. Was set up within... Read More
Michael Riley
June 18, 2025Would have 5 starts, but not right now. This is the first time I have ever had to pay for an additional insured ever in 20 year's. They either have... Read More
Anthony Burgess
June 18, 2025 -
Representative Sarah was very helpful. Walked me through every step and not to mention the price even matched the service! Would recommend to any and everyone.
queenkiam
June 18, 2025Very easy to renew policy
Elyce Nissinoff
June 18, 2025They can help.you with the right Insurance you need, and the lowest price
Alvaro Baltazar
May 18, 2025 -
Provides event insurance at a very reasonable price compared to other companies. Easy to purchase and provide proof of insurance.
David Fox
May 18, 2025Affordable for dance & yoga folk. Thumbs up!
Maia Claire
May 18, 2025Extremely affordable event insurance and an easy to work with system and team that will advise you every step of the way!
Ishan Arvin
May 18, 2025 -
everything is excellent
Radames Martinez
May 18, 2025I'm a new customer/policy holder. Super easy online application and policy setup. Very competitive rates. Certificate of insurance generated and received (PDF) immediately once method of payment established. Great service... Read More
Matthew Terry
April 18, 2025For me, this application process was super efficient and easy to navigate on line. That goes a long way!
Holly Mulder
April 18, 2025 -
Affordable. Thank you.
Ana Young
April 18, 2025I have not had any issues over the years with Insurance Canopy, with canceling and renewing, I have found the cost of coverage in line or better then some. I have... Read More
John Corkins
March 18, 2025Canopy insurance has covered my DJ business for several years and I am totally satisfied with their services. Thank you DjVic🎧
DjVic Universal Sounds
March 18, 2025 -
I have them for 3 years this year seems price went up . I have never had to use them for a claim so really couldn’t tell you about that!
Denice Lapointe
February 18, 2025Great for Event Insurance - most affordable
Gaby Nobrega
February 18, 2025I was feeling overwhelmed with the specifications needed for my insurance coverage. I was offered friendly, quick and clear assistance. Through Canopy and Rey's help I was able to obtain... Read More
ESPIE QUINTERO
February 18, 2025 -
TLJ's Mobile Mixology, LLC had been insured with Insurance Canopy since it's inception and we have no complaints.
Tenisha J.
February 4, 2025Knowledgeable, kind, attentive and professional. She helped me to feel comfortable, well taken good care of and get the service possible.
Ed Levitt
February 3, 2025As a Massage Therapist, I was not aware until a few years ago that I did not have to be part of an Organization to get my liability insurance! I... Read More
Kristie Williams
January 30, 2025 -
This insurance has helped me secure events with my corporate and local government clients. They have great customer service and are always willing to help.
Tony Felix
January 23, 2025Representative was clear & concise in explaining specifics of the policy. Cost of policy very reasonable.
John B
January 16, 2025I’m very happy with my purchase of liability insurance for a one-off event. I was even able to edit the policy after it had been issued with the help of... Read More
jay gedeon
January 6, 2025
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Thank you so much
July 11, 2025 -
Very easy & quick experience. We got insurance in no time with no hassle. Thank you!
Robert Earnest
July 4, 2025 -
I needed a portable policy as a yoga instructor. I found this company in an online search. Called and got details from them, was quite surprised at how affordable... Read More
July 4, 2025 -
I am glad I went with them. I needed a last minute policy to cover an event I was doing and they had exactly what I needed at a... Read More
Deloris Pacheco
June 27, 2025 -
great little company, with fair pricing, for entertainers who need occasional coverage. however, they have long hold times to speak to an agent, and their customer service left a little something... Read More
Gretje Angell
June 18, 2025 -
Representative Sarah was very helpful. Walked me through every step and not to mention the price even matched the service! Would recommend to any and everyone.
queenkiam
June 18, 2025 -
What a lovely experience I had with Insurance Canopy! Easy and fast sign up, great policy, matches my needs as a self-employed business owner. Highly recommend!
Masha Rusanov
June 18, 2025 -
Needed DJ insurance for Memorial Day weekend & was squared away within an hour for 2 events! Highly recommend
Jay Solis
June 18, 2025 -
Very user friendly platform. Multiple options. Very good pricing. Needed liability insurance in order to secure a very good paying event for my solo tribute show. Was set up within... Read More
Michael Riley
June 18, 2025 -
Would have 5 starts, but not right now. This is the first time I have ever had to pay for an additional insured ever in 20 year's. They either have... Read More
Anthony Burgess
June 18, 2025
Small Business Liability Insurance FAQs
Is Business Insurance Required by Law?
While business insurance is not required by law for most industries, some professionals are required to have liability coverage, such as:
- Businesses with employees are required to have workers compensation in most states
- Vendors are often required to show proof of insurance before attending an event
- Cottage food laws require home-based food businesses to carry liability insurance
- Individuals like fitness instructors, consultants, and beauty professionals, are often required to have liability insurance to be hired or lease space for work
- Retailers, manufacturers, landlords, commercial clients, and property managers may not enter into contracts with you until you show proof of insurance
It is important to check with your state or industry regulators to determine whether or not insurance is required for your industry, profession, or operations.
What Happens if You Run a Business Without Insurance?
If you run a business without insurance, you run the risk of exposing your business to significant financial losses from potential claims and lawsuits, as well as:
- Eviction or contract denial due to non-compliance
- Business closures due to disruptions
- Legal consequences from injured employees
- Hefty property damage costs
- Cyber attacks and data breaches
- Lost contracts or business opportunities
- Damage to your reputation with customers
- Financial losses from product recalls
- Bills for third-party medical expenses
- Slowed or paused operations from missing or broken equipment
Not purchasing insurance for your small business is a huge gamble with high stakes. It’s not worth rolling the dice on protecting your business!
Do I Need Business Insurance if I Work for Myself?
Yes, you need business insurance if you work for yourself. This includes:
- Individuals
- Independent contractors
- Sole proprietors
- Self-employed businesses
- Limited liability companies (LLCs)
- Home or online businesses
- Partnerships
- Corporations
You are still exposed to the same types of risks as larger businesses — the only difference is you may not have as many resources as them to defend or pay for claims. This leaves you to cover medical bills, legal fees, repair costs, and more on your own.
Small business insurance acts as a financial safety net, backing your business in times of peril.
What is Basic Liability Insurance for Small Businesses?
General liability insurance for small businesses is the basic coverage needed to start protecting your business from common claims.
While it can cover a variety of third-party claims due to bodily injury, property damage, and personal and advertising injury, it doesn’t cover every risk your business may face. You can still be exposed to certain risks, which is why most businesses purchase policies with more than one type of coverage included.
Talking with a professional insurance representative can help you identify unique risks and tailor an insurance policy that responds to exposures threatening your business.
Small Business Insurance Resources
Chris Van Leeuwen | VP of Agency Development
Chris Van Leeuwen is the VP of Agency Development for Insurance Canopy. He has held the prestigious Certified Insurance Counselor (CIC) designation since 1996.
Because he strongly believes in the importance of helping business owners understand their insurance coverage, Chris uses his wealth of experience to offer insights to small business owners across the country who are looking to navigate business liability insurance.
Chris Van Leeuwen is the VP of Agency Development for Insurance Canopy. He has held the prestigious Certified Insurance Counselor (CIC) designation since 1996.
Because he strongly believes in the importance of helping business owners understand their insurance coverage, Chris uses his wealth of experience to offer insights to small business owners across the country who are looking to navigate business liability insurance.
JoAnne Hammer | Program Manager
JoAnne Hammer is the Program Manager for Insurance Canopy. She has held the prestigious Certified Insurance Counselor (CIC) designation since July 2004.
JoAnne understands that starting and operating a business takes a tremendous amount of time, dedication, and financial resources. She believes that insurance is the single best way to protect your investment, business, and personal assets.
JoAnne Hammer is the Program Manager for Insurance Canopy. She has held the prestigious Certified Insurance Counselor (CIC) designation since July 2004.
JoAnne understands that starting and operating a business takes a tremendous amount of time, dedication, and financial resources. She believes that insurance is the single best way to protect your investment, business, and personal assets.
