$45/moGeneral liability median
$83/moBOP median
$88/moProfessional liability median
$245/moCommercial auto median
Key takeaway: For a typical small business with a handful of employees, general liability costs a median of about $45 a month and a BOP about $83. Professional liability ($88), cyber ($129) and commercial auto ($245) cost more. Your industry, location, revenue, payroll, claims history and chosen limits matter more than averages, so get several quotes.
How we put this guide together: Costs come from Insureon’s 2026 data on premiums paid by about 100,000 small business customers; most had one to four employees and revenue under $100,000. Workers’ comp market data comes from NCCI. Costs and rules vary by state, industry and insurer; figures were checked in October 2026. This is general information; a licensed agent can confirm what your business needs. See our advertiser disclosure.

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Median costs by policy

PolicyMedian monthly costAbout per year
General liability$45$538
Workers’ compensation$54$648
Business owner’s policy (BOP)$83$990
Professional liability (E&O)$88$1,056
Cyber insurance$129$1,548
Commercial auto$245$2,940

Source: Insureon, median premiums paid by its small business customers (February 2026). Most of these customers had one to four employees and revenue under $100,000.

Commercial auto premiums ranged from under $375 to more than $16,000 a year, depending on vehicles, drivers and use.

What drives your premium

  • Industry: riskier work (construction, healthcare, retail with foot traffic) costs more than desk-based work.
  • Location: local laws, weather and claim costs vary.
  • Revenue and payroll: liability and workers’ comp premiums often scale with sales and wages.
  • Number of employees and vehicles.
  • Limits and deductibles: higher limits cost more; higher deductibles cost less.
  • Property value: replacement cost cover costs more than actual cash value.
  • Claims history and risk management, such as safety programs and cybersecurity.

Workers’ comp pricing

Workers’ comp is priced per $100 of payroll by job classification, adjusted for your claims record. The market is currently profitable for insurers: NCCI reported a 2025 combined ratio of 91 across the states it serves, with premiums roughly flat (down 0.2%). But medical and wage-replacement costs per claim each rose 4%, which may push rates up over time. See our workers’ comp guide.

Example: a two-person consulting business

Using Insureon’s medians, a small consulting firm with professional liability ($88), general liability ($45) and cyber ($129) cover would pay about $262 a month, roughly $3,150 a year. Bundling general liability and property into a BOP, or choosing lower cyber limits, could reduce that. Actual prices depend on revenue, clients and limits.

How to save

  1. Bundle general liability, property and business income in a BOP.
  2. Pay annually instead of monthly where possible.
  3. Choose limits that match contracts, not more than you need.
  4. Raise deductibles on property cover if you have reserves.
  5. Invest in safety and security; many insurers reward safety programs and cybersecurity controls.
  6. Classify employees correctly for workers’ comp.
  7. Compare insurers and marketplaces; see our insurer comparison.

Frequently asked questions

How much is general liability insurance for a small business?

A median of about $45 a month, or $538 a year, among Insureon’s small business customers in 2026.

How much does a business owner’s policy cost?

A median of about $83 a month, or $990 a year.

Why is my business insurance so expensive?

Usually because of your industry risk, revenue or payroll, location, claims history or high limits. Compare quotes and consider bundling.

Is workers’ comp expensive?

The median was about $54 a month in Insureon’s data. It’s priced per $100 of payroll by job type, so office businesses pay far less than construction firms.

Can I pay business insurance monthly?

Most insurers offer monthly payments, though paying annually can cost less.

Sources

Insurance prices, discounts and rules change often and vary by state. Figures were checked in October 2026; confirm details with the insurer or your state insurance department.