Nationwide is top for Colorado’s best general liability insurance in MoneyGeek’s analysis, with a score of 94 out of 100. However, NEXT, The Hartford, Hiscox, and Thimble are also great options for best general liability insurance.
Best General Liability Insurance in Colorado
Updated: June 20, 2025
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Key Takeaways
Overall, the best general liability insurance company in Colorado is Nationwide, which has a great balance of affordable rates for LLCs and good customer service.
The cheapest general liability insurance for sole proprietors in Colorado is offered by NEXT at $27 per month. For LLCs, NEXT is the most affordable option at $28 a month.
General liability insurance costs in Colorado depend on your industry, and we found they can range from $30 to $3,283 per month on average.
Best Cheap General Liability Insurance in Colorado
| Nationwide | 94 | $37 | $38 |
| NEXT | 90 | $27 | $28 |
| The Hartford | 87 | $34 | $56 |
| Hiscox | 83 | $32 | $71 |
| Thimble | 79 | $24 | $68 |
*Rates were based on a $1,000,000 per occurrence and $2,000,000 aggregate limit for a software development company.
Nationwide: Best Overall
pros
Low rates for LLC businesses
Large coverage selection
Low customer claims frequency
cons
Higher rates for sole proprietors
COMPANY HIGHLIGHTS
Nationwide receives our top ranking for general liability insurance in Colorado by striking an ideal balance between reasonable premiums and reliable customer support. The insurer ties for first place with the lowest NAIC claims ratio while earning second place for LLC affordability, with businesses investing approximately $456 annually for comprehensive liability coverage.
NEXT: Cheapest Overall
pros
Easy fast buying process
Very cheap rates overall, regardless of business size
Business-insurance-only focus
cons
Higher customer complaint frequency
COMPANY HIGHLIGHTS
NEXT is our pick for the cheapest overall general liability insurance in Colorado. The company has the 2nd cheapest rates for sole proprietors at $27 per month and the lowest rates for LLCs at $28 monthly. It does have more claims that other competitors in the state, but it makes up for it with a smooth and efficient process.
How Much Is General Liability Insurance in Colorado?
An average general liability insurance policy in Colorado typically costs around $30 per month for sole proprietors and $52 per month for LLCs. However, this only represents software development companies and the costs can vary widely by industry.
| Cleaning | $1,386 | $74 |
| General Contractor | $3,283 | $227 |
| Software Development | $52 | $30 |
*Rates are based on a $1,000,000 per occurrence and $2,000,000 aggregate coverage policy for general liability.
Factors That Impact General Liability Insurance Costs in Colorado
The cost of general liability insurance for businesses in Colorado can fluctuate based on a few crucial factors. We have compiled a list of these elements and their impact on coverage expenses below.
Policy limits
Coverage limits can greatly influence insurance premiums. Higher limits lead to increased costs, while lower limits generally result in more affordable premiums.
Number of employees and payroll costs
Businesses with a large workforce and high payroll expenses often see an increase in general liability insurance costs. Our review of LLCs and sole proprietorships shows this connection.
Business location
Your business's location can significantly affect insurance costs. Keep in mind that state-level average rates might differ from city to city, so account for these variations when assessing your coverage needs.
Claims history
A business with a record of multiple claims may be viewed as riskier by insurers, leading to higher premiums.
Industry
Industries with higher risk levels, like construction, often encounter higher general liability insurance costs.
Colorado General Liability Insurance: Buyer's Guide
Business insurance is a complicated industry and can be difficult to navigate. So, to simplify your understanding of general liability insurance, we've created a short guide detailing how to get the best coverage, defining what it covers, listing requirements in Colorado, and explaining how much coverage you should consider getting.
How to Find the Best General Liability Insurance Company
To help ensure that you get the best small business insurance regardless of your industry, we've created a step-by-step guide to simplify your coverage search.
- 1
Define your coverage needs
Determine your liability risk by considering your industry, services, customer types, business size and market impact. Assess the frequency and costs of common claims in your industry to evaluate coverage options better.
- 2
Research average costs for your business
To understand how good of a deal you're getting from business insurance companies, you need to research average costs for your particular business. Knowing average expenses will give you a way to judge whether a company is saving you money or not.
- 3
Consult similar businesses
Your business community is your greatest resource. You'll likely be able to get better recommendations for your specific needs and an understanding of what claims are common within your industry. They may also provide ways to mitigate risks associated with general liability insurance.
- 4
Compare multiple options through different Means
Comparing multiple companies lets you see which option is best for your business. Also, choosing multiple means of comparison, like online comparison sites and brokers, will give you a better view of pricing and provide more opportunities to get advice.
What Does General Liability Insurance Cover and How Does It Work?
General liability insurance coverage consists of two parts: per occurrence and aggregate limits. Per occurrence refers to the maximum a single claim can go up to, while the aggregate limit is the total coverage you can get per year. In terms of covered items, this type of policy includes the following:
Bodily injuries or property damage on business property
Legal fees for bodily injury or property damage that your company may be responsible for
Damages to leased or rented business property
Bodily injury or property damage caused by your product or service
Libel, slander, or reputational harm legal defense
Legal fees for copyright infringement accusations
Is General Liability Insurance Required in Colorado?
Like in most states, general liability insurance isn't expressly required by state law and instead varies by your industry. However, if you are looking to apply for a professional license, sign a contract with a larger company, or sign an office lease, some form of general liability insurance may be required. While not an exhaustive list, the following industries tend to fall into these categories:
- Medical
- Accounting
- Real estate
- Insurance
- Contracting
- Engineering
- Marketing
- Law
- Consulting
- Media/Communications
How Much General Liability Insurance Do I Need?
Most small businesses will only need a standard policy with 1 million dollars of protection per occurrence and a 2 million limit per year. This will likely cover most or all damages caused over a year for most business types. Even so, your particular industry's risks and the size of your operation may require a larger coverage limit than standard.
WHO MAY NEED MORE COVERAGE
Certain businesses in healthcare, construction, contracting, hospitality, and retail. If you're in one of these fields, looking at higher insurance coverage might be wise. The same goes for larger businesses with many employees or serving more people. They should check their risks and consider if more than the minimum coverage is necessary.
Best General Liability Insurance in Colorado: Bottom Line
Overall the best general liability insurance companies in Colorado are Nationwide, NEXT, and The Hartford. However, we recommend comparing around yourself and getting plenty of quotes to ensure you get the best deal possible.
General Liability Insurance in Colorado: FAQ
Below, we address frequently asked questions regarding general liability insurance in Colorado:
Which company has the best general liability insurance in Colorado?
MoneyGeek's leading choice for general liability insurance in Colorado is Nationwide, which earned an overall score of 94 out of 100. However, the ideal insurance for you depends on various details, including your business size, number of employees, and specific coverage requirements.
Which company has the cheapest general liability insurance in Colorado?
NEXT offers the most affordable general liability insurance in Colorado. For sole proprietors, NEXT provides coverage for $324 annually ($27 per month). For LLCs, NEXT also leads with rates of $336 per year ($28 per month).
Does Colorado require businesses to have general liability insurance?
Even though Colorado does not mandate it, securing general liability insurance is a smart move to protect your business from potential financial liabilities due to third-party claims.
How We Chose the Best General Liability Insurance Providers in Colorado
We broke down our scores into these categories and weights:
- LLC cost (55% of score)
- Sole proprietor cost (5% of score)
- Customer satisfaction (25% of score)
- Financial strength (10% of score)
- Quote process time (5% of score)
For all business insurance companies, we assumed software development industry LLCs with 20 employees. We based customer satisfaction and financial strength scores on NAIC and AM Best ratings. Quote process scores came from our MoneyGeek experts' personal experiences.
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!
Passionate about economics and insurance, he aims to promote transparency in financial topics and empower others to make confident money decisions.