We analyzed California general liability insurance options to guide you in choosing the best business insurance. These answers cover important points about requirements, costs and provider options.
Best General Liability Insurance in California
The Hartford tops California for best and cheapest general liability coverage, with plans starting at $91 per month.
Get matched to the best and cheapest general liability insurer for you below.
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Updated: December 1, 2025
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Commercial General Liability Insurance in California: Fast Answers
Which company offers the best general liability insurance in California?
The Hartford is the best general liability insurance company in California, earning a 4.60 out of 5. It offers competitive rates at $91 per month and strong claims handling. NEXT follows with a 4.57 score, known for its easy-to-use digital platform and responsive customer service at $115 per month.
Who offers the cheapest general liability insurance in California?
The cheapest general liability insurance companies in California are:
- The Hartford: $91 per month
- Simply Business: $107 per month
- Nationwide: $108 per month
- Progressive: $112 per month
- NEXT: $115 per month
Do California businesses legally need general liability insurance?
California doesn't mandate general liability insurance for most businesses statewide. However, licensed contractors, electricians, and other trades must carry specific coverage amounts to maintain their licenses. Local cities and counties may impose additional requirements. Even without legal requirements, landlords and clients demand proof of insurance before signing contracts or leases.
How much does general liability insurance cost in California?
General liability insurance costs between $19 and $1,025 per month for small California businesses with two employees. The drone industry has the lowest rates at $19 per month, while pressure washing businesses pay the most at $1,025 per month. Your actual premium depends on your industry, location, coverage limits and business size.
Best General Liability Insurance Companies in California
The Hartford is our top choice for general liability insurance in California, offering a strong mix of affordable rates and quality customer service. NEXT also performs well, especially in customer support for small business owners. Nationwide completes our recommendations with solid financial stability and reasonable pricing for California businesses looking for reliable coverage.
| The Hartford | 4.60 | $91 |
| NEXT Insurance | 4.57 | $115 |
| Nationwide | 4.52 | $108 |
| Simply Business | 4.48 | $107 |
| Coverdash | 4.37 | $115 |
| Thimble | 4.35 | $119 |
| biBERK | 4.30 | $127 |
| Progressive Commercial | 4.27 | $112 |
| Chubb | 4.27 | $132 |
| Hiscox | 4.19 | $127 |
How Did We Determine These Rates?
These rates reflect MoneyGeek's analysis of small businesses with two employees across 79 major industries. Actual rates vary based on your business location, industry risk factors, claims history, coverage limits and individual insurer underwriting criteria. Contact insurers directly for personalized quotes.
Get Matched to the Best Cheap California General Liability Insurer
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LEARN MORE ABOUT THE BEST BUSINESS INSURANCE IN CALIFORNIA
General liability insurance covers customer injuries and property damage for your California business, but other risks need different financial protection. Explore these additional coverage options:
Best California General Liability Insurance Reviews
Finding the best general liability insurance in California means looking beyond affordable rates to consider coverage quality and customer service. Our research analyzed top business insurers to help you make the right choice.
The Hartford
Best California General Liability Insurer
MoneyGeek Rating
4.6/ 5
4.5/5Affordability
4.6/5Customer Experience
4.7/5Coverage Points
Average Monthly General Liability Premium
$91These rates are for small businesses with two employees across 79 major industries or business types and focus solely on general liability policies.Our Survey: Claims Process
4.5/5Our Survey: Likely to Be Recommended to Others
4.5/5
NEXT
Best California Commercial General Liability Customer Experience
MoneyGeek Rating
4.6/ 5
4.3/5Affordability
4.7/5Customer Experience
4.8/5Coverage Points
Average Monthly General Liability Premium
$115These rates are for small businesses with two employees across 79 major industries or business types and focus solely on general liability policies.Our Survey: Claims Process
3.9/5Our Survey: Likely to Be Recommended to Others
4.8/5
Cheapest General Liability Insurance Companies in California
The Hartford offers the cheapest general liability insurance in California at $91 per month, saving businesses $23 or 20% compared to the state average. Simply Business and Nationwide also provide affordable coverage options for California businesses.
| The Hartford | $91 | $1,095 |
| Simply Business | $107 | $1,280 |
| Nationwide | $108 | $1,299 |
| Progressive Commercial | $112 | $1,341 |
| NEXT Insurance | $115 | $1,378 |
| Coverdash | $115 | $1,382 |
| Thimble | $119 | $1,430 |
| Hiscox | $127 | $1,521 |
| biBERK | $127 | $1,522 |
| Chubb | $132 | $1,589 |
How Did We Determine These Rates?
These rates reflect small businesses with two employees across 79 major industries and focus solely on general liability policies. Your premium depends on where your business is located, what industry you're in, how much coverage you choose and other factors insurers consider. Available options differ by state.
Cheapest General Liability Insurance in California by Industry
MoneyGeek's research identifies the five most affordable general liability insurance providers across California industries.
- The Hartford ranks cheapest in 17 industries, with particularly affordable rates in service sectors like electrical work, trucking, pest control and security services.
- Simply Business has the lowest rates in 16 industries, especially in professional services like accounting, consulting and legal practices, plus retail and food businesses.
- Thimble offers the most affordable coverage in 12 industries, particularly in tech sectors including software development, computer programming and cleaning services.
- biBERK provides the cheapest rates across 11 industries, with strong pricing in contractor work, engineering, beauty services and veterinary practices.
- Nationwide completes the top five with the best rates in nine industries, including construction, manufacturing and restaurant businesses.
Data filtered by:
Select
| Ad Agency | Thimble | $111 | $1,328 |
| Accountants | Simply Business | $16 | $193 |
| Automotive | Coverdash | $123 | $1,477 |
| Bakery | biBERK | $88 | $1,057 |
| Auto Repair | Nationwide | $90 | $1,078 |
| Barber | biBERK | $91 | $1,086 |
| Beauty Salon | biBERK | $91 | $1,086 |
| Cannabis | Hiscox | $84 | $1,005 |
| Bounce House | Thimble | $85 | $1,025 |
| Candle | Simply Business | $107 | $1,287 |
| Cleaning | Thimble | $93 | $1,118 |
| Catering | Hiscox | $85 | $1,016 |
| Coffee Shop | Simply Business | $94 | $1,127 |
| Contractor | biBERK | $227 | $2,724 |
| Computer Programming | Thimble | $109 | $1,312 |
| Computer Repair | Nationwide | $88 | $1,061 |
| Construction | Nationwide | $87 | $1,039 |
| Consulting | Simply Business | $16 | $193 |
| Daycare | The Hartford | $29 | $344 |
| Courier | The Hartford | $186 | $2,230 |
| Ecommerce | Chubb | $87 | $1,046 |
| Dental | NEXT Insurance | $14 | $168 |
| DJ | Thimble | $93 | $1,118 |
| Dog Grooming | Simply Business | $85 | $1,019 |
| Drone | The Hartford | $14 | $171 |
| Electrical | The Hartford | $95 | $1,134 |
| Engineering | biBERK | $19 | $224 |
| Food | Simply Business | $86 | $1,031 |
| Excavation | biBERK | $413 | $4,950 |
| Florist | Simply Business | $34 | $411 |
| Gardening | Simply Business | $91 | $1,092 |
| Food Truck | Simply Business | $86 | $1,031 |
| Funeral Home | biBERK | $90 | $1,076 |
| Home-based | The Hartford | $19 | $234 |
| Handyman | biBERK | $194 | $2,331 |
| Hospitality | Chubb | $91 | $1,088 |
| Home-based | NEXT Insurance | $51 | $615 |
| Janitorial | Nationwide | $109 | $1,308 |
| HVAC | Thimble | $120 | $1,438 |
| Junk Removal | The Hartford | $141 | $1,694 |
| Jewelry | Thimble | $182 | $2,188 |
| Lawn/Landscaping | Simply Business | $91 | $1,092 |
| Massage | NEXT Insurance | $84 | $1,010 |
| Lawyers | Simply Business | $16 | $193 |
| Manufacturing | Nationwide | $22 | $268 |
| Marine | The Hartford | $26 | $314 |
| Mortgage Broker | NEXT Insurance | $18 | $212 |
| Moving | Nationwide | $96 | $1,152 |
| Painting | The Hartford | $123 | $1,480 |
| Nonprofit | biBERK | $29 | $351 |
| Personal Training | The Hartford | $21 | $249 |
| Party Rental | Progressive Commercial | $86 | $1,033 |
| Pest Control | The Hartford | $28 | $337 |
| Pet | Simply Business | $85 | $1,019 |
| Pharmacy | Chubb | $86 | $1,031 |
| Physical Therapy | Thimble | $953 | $11,438 |
| Photography | NEXT Insurance | $15 | $179 |
| Plumbing | Simply Business | $302 | $3,624 |
| Pressure Washing | The Hartford | $953 | $11,438 |
| Restaurant | Nationwide | $92 | $1,108 |
| Real Estate | Nationwide | $134 | $1,610 |
| Retail | Simply Business | $84 | $1,013 |
| Security | The Hartford | $123 | $1,474 |
| Roofing | Thimble | $230 | $2,765 |
| Snack Bars | Coverdash | $87 | $1,048 |
| Software | Thimble | $93 | $1,118 |
| Tech/IT | NEXT Insurance | $18 | $212 |
| Spa/Wellness | The Hartford | $92 | $1,099 |
| Speech Therapist | Simply Business | $22 | $267 |
| Startup | Simply Business | $16 | $193 |
| Tree Service | Nationwide | $96 | $1,152 |
| Transportation | The Hartford | $35 | $419 |
| Travel | biBERK | $18 | $211 |
| Tutoring | Thimble | $109 | $1,312 |
| Trucking | The Hartford | $90 | $1,080 |
| Wedding Planning | Thimble | $96 | $1,154 |
| Veterinary | biBERK | $28 | $331 |
| Wholesale | Coverdash | $38 | $452 |
| Welding | The Hartford | $150 | $1,797 |
| Window Cleaning | The Hartford | $143 | $1,718 |
Average Cost of General Liability Insurance in California
Most small businesses in California pay around $114 monthly for general liability insurance. The average cost of general liability coverage depends on your industry type, company size, location and policy limits.
Manufacturing companies pay higher premiums because of increased liability risks, while accounting firms often pay less due to lower exposure levels. Sole proprietors generally spend less on coverage compared to businesses with employees.
Average Cost of General Liability Insurance in California by Industry
General liability insurance in California costs between $19 monthly for drone businesses and $1,025 for pressure washing companies. This wide range shows how much your industry affects your rates. Review this table to find typical general liability coverage costs for your specific business type.
Data filtered by:
Select
| Accountants | $25 | $296 |
| Ad Agency | $40 | $475 |
| Automotive | $60 | $716 |
| Auto Repair | $170 | $2,040 |
| Bakery | $101 | $1,213 |
| Barber | $50 | $595 |
| Beauty Salon | $75 | $897 |
| Bounce House | $79 | $944 |
| Candle | $61 | $738 |
| Cannabis | $75 | $900 |
| Catering | $98 | $1,177 |
| Cleaning | $148 | $1,779 |
| Coffee Shop | $100 | $1,205 |
| Computer Programming | $33 | $390 |
| Computer Repair | $53 | $640 |
| Construction | $196 | $2,355 |
| Consulting | $25 | $295 |
| Contractor | $285 | $3,423 |
| Courier | $219 | $2,625 |
| Daycare | $37 | $442 |
| Dental | $24 | $289 |
| DJ | $28 | $340 |
| Dog Grooming | $71 | $852 |
| Drone | $19 | $224 |
| Ecommerce | $82 | $983 |
| Electrical | $126 | $1,510 |
| Engineering | $45 | $535 |
| Excavation | $521 | $6,255 |
| Florist | $48 | $575 |
| Food | $120 | $1,446 |
| Food Truck | $159 | $1,904 |
| Funeral Home | $68 | $811 |
| Gardening | $126 | $1,509 |
| Handyman | $273 | $3,279 |
| Home-based | $27 | $319 |
| Home-based | $51 | $615 |
| Hospitality | $73 | $875 |
| HVAC | $275 | $3,295 |
| Janitorial | $153 | $1,841 |
| Jewelry | $45 | $541 |
| Junk Removal | $182 | $2,182 |
| Lawn/Landscaping | $135 | $1,614 |
| Lawyers | $26 | $306 |
| Manufacturing | $71 | $858 |
| Marine | $31 | $377 |
| Massage | $107 | $1,287 |
| Mortgage Broker | $26 | $307 |
| Moving | $139 | $1,666 |
| Nonprofit | $40 | $482 |
| Painting | $161 | $1,932 |
| Party Rental | $89 | $1,068 |
| Personal Training | $27 | $321 |
| Pest Control | $36 | $433 |
| Pet | $63 | $753 |
| Pharmacy | $69 | $830 |
| Photography | $27 | $324 |
| Physical Therapy | $123 | $1,478 |
| Plumbing | $405 | $4,856 |
| Pressure Washing | $1,025 | $12,296 |
| Real Estate | $60 | $714 |
| Restaurant | $162 | $1,947 |
| Retail | $73 | $878 |
| Roofing | $434 | $5,212 |
| Security | $156 | $1,869 |
| Snack Bars | $131 | $1,577 |
| Software | $29 | $354 |
| Spa/Wellness | $119 | $1,433 |
| Speech Therapist | $35 | $419 |
| Startup | $32 | $384 |
| Tech/IT | $30 | $354 |
| Transportation | $42 | $505 |
| Travel | $23 | $280 |
| Tree Service | $145 | $1,743 |
| Trucking | $115 | $1,378 |
| Tutoring | $34 | $406 |
| Veterinary | $50 | $602 |
| Wedding Planning | $31 | $372 |
| Welding | $185 | $2,215 |
| Wholesale | $50 | $600 |
| Window Cleaning | $178 | $2,139 |
How Did We Determine These Rates?
These rates reflect small businesses with two employees across 79 major industries and focus solely on general liability policies. Your premium depends on where your business is located, what industry you're in, how much coverage you choose and other factors insurers consider. Available options differ by state.
What Factors Affect California General Liability Insurance Costs?
A number of factors affect what California businesses pay for general liability insurance coverage.
California's Legal and Regulatory Environment
California's Proposition 103 requires insurers to obtain Department of Insurance approval before implementing rate changes for commercial lines including business owners policies and other liability coverage through a "prior approval" system. The law allows public intervenors to participate in rate filings and recover costs from insurers.
This creates stable but slower rate adjustments compared to other states, with regulatory constraints that haven't adapted to modern business practices.
California's Litigation Environment and Social Inflation
Swiss Re Institute research found social inflation increased liability claims in the United States by 57% over the past decade and reached an annual peak of 7% in 2023. California doesn't cap liability damages, creating exposure to unlimited awards.
California general liability insurance costs an average of $115 monthly ($1,374 annually), about $130 more than the national average yearly. Businesses in high-litigation environments pay substantially more than businesses in lower litigation states.
California's Geographic Location and Urban Density
Urban areas with higher population density and more frequent litigation tend to have higher premiums. Location plays a major role in general liability insurance costs because some areas see more lawsuits and larger court awards.
In California, major metro regions often have higher rates due to more claims from heavy foot traffic, higher medical costs and property values, costly labor markets and active plaintiff attorneys in cities like Los Angeles and San Francisco.
California's Industry-Specific Regulations and Mandates
California cannabis businesses can't operate legally without general liability insurance: $2 million aggregate, $1 million per occurrence. Certain licensed trades face similar minimums. These industry-specific requirements push coverage higher than standard businesses need, which means higher premiums.
All these requirements add compliance costs and liability exposure on top of what regular general liability covers across California.
How Much General Liability Insurance Do I Need in California?
Most California businesses don't legally need general liability insurance. The exceptions: licensed contractors and cannabis operations must carry it to keep their licenses. Commercial general liability standards typically hit $1 million per occurrence and $2 million aggregate.
Even without legal requirements, clients and landlords usually demand proof of coverage before they'll sign contracts or lease you space. These standard limits satisfy most California contractual requirements.
Licensed Contractors
California requires contractors organized as LLCs to carry at least $1 million in general liability insurance, with an additional $100,000 for each member beyond five personnel members, not to exceed $5 million total. Most project owners require at least $2 million aggregate limits for California construction liability insurance.
Cannabis Businesses
The California Department of Cannabis Control sets requirements for commercial general liability insurance with minimum limits of $1 million per occurrence and $2 million aggregate for retailers, distributors, microbusinesses, and testing laboratories. All cannabis businesses must also have a $5,000 surety bond for each business location.
Local Requirements
Los Angeles requires general contractors to carry $1 million per occurrence and $2 million aggregate for commercial projects, while residential projects require $300,000 minimum personal liability limits. Check with your city or county for additional local insurance requirements beyond state mandates.
Note: State insurance requirements change regularly. Check current requirements with the California Department of Insurance or a licensed insurance agent.
How to Choose the Best General Liability Insurance in California
Choosing general liability insurance in California means finding coverage that fits your business operations and risk exposure. Getting business insurance starts with understanding your coverage needs and comparing quotes from multiple insurers. The right policy protects your business from accidents and property damage claims without breaking your budget.
- 1Assess Coverage Needs
Most California businesses aren't legally required to carry general liability. Contractors and cannabis operations must hit specific minimums to keep their licenses active.
Standard business insurance limits run $500,000 to $2 million per occurrence. Los Angeles and some other cities require contractors to carry $1 million per occurrence and $2 million aggregate for commercial projects. Check your client contracts and landlord requirements to figure out how much coverage you actually need.
- 2Gather Business Information
Insurers need your annual revenue, employee count, location and business classification code to quote you accurately. California premiums factor in your industry's risk level plus regional hazards: earthquake zones, wildfire areas. Have your EIN, California business registration and state tax permits ready before you call to speed things up.
- 3Compare Multiple Quotes
Get quotes from at least three California-licensed insurers; identical coverage can cost hundreds more depending on who's selling it. Compare deductibles, coverage limits and whether legal defense costs count toward your policy max or get added on top. Understanding business insurance pricing across carriers helps you spot the best value.
- 4Evaluate Policy Details
Read exclusions carefully. Don't choose coverage based on price alone. California general liability policies don't cover professional errors, pollution damage or employee injuries. You'll need separate coverage for those.
Even affordable business insurance should provide enough protection for the accidents and property damage claims your business might face.
- 5Verify Insurer Credentials
Search the California Department of Insurance database to confirm your insurer has a valid license to operate in the state. Check AM Best financial strength ratings and complaint ratios through the state's consumer complaint system to avoid carriers with weak claims-paying records.
Choosing the best insurance for your business means finding financially solid insurers that stay stable when paying claims after major California disasters.
- 6Explore Available Discounts
California insurers cut premiums when you bundle multiple policies, stay claims-free, implement safety programs or pay annually instead of monthly. Combining general liability with property or auto coverage in a business owner's policy saves 10% to 25% and simplifies your paperwork. California's "Safer from Wildfires" program gives extra discounts if you complete wildfire mitigation work.
- 7Obtain Insurance Certificate
California clients, landlords and contractors won't sign agreements or let you on their property without proof of insurance. Most insurers send digital certificates instantly through online portals, though some take 24 to 48 hours. Keep your agent's contact info handy for rush certificate requests that could otherwise hold up projects or cost you contracts.
- 8Schedule Annual Reviews
Review your coverage annually after you add employees, launch new services or blow past your original revenue projections. Start shopping renewal quotes 60 to 90 days before your policy expires to lock in better rates or adjust coverage.
California's changing insurance market and growing climate risks make annual reviews essential. Catch coverage gaps now before audits find them and trigger surprise premium hikes.
Top General Liability Insurance in California: Bottom Line
Finding the right California general liability insurance starts with understanding what your business actually needs and thoroughly comparing providers. The Hartford, NEXT and Nationwide are all solid options, but your best choice depends on your industry, company size and budget. Get quotes from multiple insurers and check their credentials before you decide.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
He writes about economics and insurance, breaking down complex topics so people know what they're buying.
sources
- California Department of Industrial Relations. "Minimum Wage Frequently Asked Questions." Accessed December 8, 2025.
- California Department of Insurance. "Order No. 2025-1: Approving the California FAIR Plan Association's Request to Issue Assessment." Accessed December 8, 2025.
- California Department of Insurance. "Prop 103 Consumer Intervenor Process." Accessed December 8, 2025.
- California Seismic Safety Commission. "Commercial Property Owner's Guide to Earthquake Safety State of California." Accessed December 8, 2025.
- Swiss Re Institute. "Sigma 4/2024: Social Inflation: Litigation Costs Drive Claims Inflation.." Accessed December 8, 2025.
- U.S. Bureau of Labor Statistics. "Changing Compensation Costs in the Los Angeles Metropolitan Area — June 2025." Accessed December 8, 2025.