To find the best general liability insurance in Iowa, MoneyGeek looked for a company that combines critical factors like pricing, customer satisfaction and financial stability. Our analysis found that Nationwide is the state's best general liability insurance provider.

Nationwide is also Iowa's cheapest general liability insurance company for small businesses. It charges $35 per month for LLCs with 20 employees and $18 for sole proprietors with no employees.

MoneyGeek Logo IconBest General LiabilityIowa
2024

Best General Liability Insurance in Iowa

Why Trust MoneyGeek? We collected 1,229 general liability insurance quotes and analyzed cost information alongside customer satisfaction and financial stability reports to determine the best general liability insurance companies for small businesses in Iowa.

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Coverage costs and company information for general liability insurance providers in Iowa were last updated in 2023.

1,229Quotes Analyzed
 
6 Companies Compared
 
50 Zip Codes

Best Overall General Liability Insurance in Iowa

MoneyGeek determined that Iowa’s top general liability insurance provider is Nationwide, with an outstanding MoneyGeek rating of 98 out of 100.

Look at the table below to view the companies analyzed by MoneyGeek for this study so that you can compare their rankings, pricing and MoneyGeek scores for yourself.

How was this MoneyGeek score calculated?

NationwideMoneyGeek Score98Monthly Cost Without Employees$18Monthly Cost With 20 Employees$35
The HartfordMoneyGeek Score89Monthly Cost Without Employees$31Monthly Cost With 20 Employees$48
ThimbleMoneyGeek Score89Monthly Cost Without Employees$22Monthly Cost With 20 Employees$54
NextMoneyGeek Score85Monthly Cost Without Employees$26Monthly Cost With 20 Employees$35
HiscoxMoneyGeek Score82Monthly Cost Without Employees$29Monthly Cost With 20 Employees$89
Best OverallScore: 98
Nationwide
5/5LLC Affordability
5/5Sole Proprietor Affordability
5/5Customer Satisfaction
4/5Financial Stability
3/5Online Quote Process
PROS

Most affordable insurer for LLCs and sole proprietors

Exceptional customer service

Strong financial stability

CONS

Slow online quotes service

Company Highlights

Nationwide is our top pick for general liability insurance in Iowa, thanks to its excellent ratings across our metrics. It combined affordability and customer service excellence to outrank all of its competitors.

It earned the lowest customer complaint index among all the general liability insurers in our study, despite its relatively inefficient online quote service. It also obtained an A+ rating from AM Best, implying a robust financial backing to settle policyholders’ claims reliably.

Cheapest General Liability Insurance in Iowa

General liability insurance from Nationwide is the least expensive provider for businesses in Iowa, costing only $18 per month for sole proprietors and $35 per month for LLCs with 20 employees.

We averaged the providers’ affordability scores for sole proprietors and LLCs to get an appropriate overall ranking. The winner may not always be the cheapest in both business types — although, in this case, it is.

How was this MoneyGeek score calculated?

CheapestScore: 100
Nationwide
5/5LLC Affordability
5/5Sole Proprietor Affordability
5/5Customer Satisfaction
4/5Financial Stability
3/5Online Quote Process
PROS

Most affordable general liability insurance for LLCs and sole proprietors in Iowa

Rated A+ by AM Best for financial stability

CONS

Slowest online quotes service

Company Highlights

Nationwide is Iowa’s cheapest general liability insurance provider, whether you have an LLC or are a sole proprietor without employees. On average, it costs $415 per year for LLCs with 20 employees and $213 per year for sole proprietors.

Policyholders can rest easy knowing Nationwide has an A+ rating from AM Best for its financial standing, meaning that it’s unlikely this company will go under and not make good on its claims obligations.

Best General Liability Insurance for Employers in Iowa

Nationwide provides companies with the most affordable general liability insurance in Iowa, with an average monthly premium of $35. It received an almost perfect score of 99 out of 100 from MoneyGeek. The average monthly premium for LLCs with 20 employees was the basis for our rankings in this category.

The quantity of employees significantly impacts the cost of general liability insurance. A firm with less than 20 employees typically pays less than the average premium, while companies with more employees will pay more.

How was this MoneyGeek score calculated?

Best for EmployersScore: 98
Nationwide
5/5LLC Affordability
5/5Customer Satisfaction
4/5Financial Stability
3/5Online Quote Process
PROS

Cheapest general liability insurance for LLCs

Excellent customer service

Strong financial standing

CONS

Inefficient online quotes system

Company Highlights

Nationwide is the top general liability insurance company for employers in Iowa due to its low prices, excellent customer service and strength of its financial backing. The average monthly insurance premium for LLCs with 20 employees is $35.

In addition to affordable policies, the few customer complaints received by Nationwide demonstrate that this provider often satisfies the expectations of its policyholders, giving them peace of mind. Paying claims is also not a problem because of Nationwide's solid financial position.

Best General Liability Insurance for Sole Proprietors in Iowa

In Iowa, Nationwide offers the best general liability insurance for sole proprietors without employees at an average monthly premium of $18. MoneyGeek gave it a score of 98 out of 100.

We based our ranking for this group on the average general liability rates for sole proprietors. However, your insurance costs might be higher than average if you operate in a risky sector like construction.

How was this MoneyGeek score calculated?

Best for Sole ProprietorsScore: 98
Nationwide
5/5Sole Proprietor Affordability
5/5Customer Satisfaction
4/5Financial Stability
3/5Online Quote Process
PROS

Offers the most affordable general liability rates for sole proprietors

Low rate of customer complaints

Strong financial stability

CONS

Slower online quoting system relative to competitors

Company Highlights

MoneyGeek found that Nationwide offers the most affordable general liability insurance for sole proprietors in Iowa, at an average of $18 monthly or $213 annually.

Nationwide's A+ rating from AM Best demonstrates that it has the financial capacity to cover claims from sole proprietors. Its customer-to-complaint ratio is scant compared to other insurers, which indicates that it can satisfy the claims of the policyholders it serves. Its online quoting system is not the fastest, though, making it harder to compare quotes.

Do You Need General Liability Insurance in Iowa?

Although Iowa doesn’t mandate general liability insurance, we still recommend that businesses invest in these policies. This coverage can prevent you from losing significant money if your company gets sued by a third party.

General liability insurance covers bodily injury of a third party to which your business is liable, damages to others’ properties that your business caused and liability related to various offenses like copyright infringement, slander and libel.

These policies cover medical costs for accidents on your business premises and include the general public. General liability insurance also handles your defense and legal fees resulting from legal action against your business.

Unlike commercial auto insurance, states generally don’t require general liability insurance. However, businesses within specific industries might need this coverage for closing a contract or getting a license.

In Iowa, businesses with any number of employees (except for LLC members, agricultural exchange employees and domestic employees earning less than $1,500) are obligated to carry business insurance, specifically workers' compensation. Moreover, commercial auto insurance for company-owned cars must have the following minimum liability limits:

  • $20,000 per person
  • $40,000 per accident for bodily injury
  • $15,000 for property damage

This insurance covers accidents that occur while using a business vehicle.

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SMALL BUSINESS RESOURCES IN IOWA

Iowa offers IEDA (Iowa Economic Development Authority) programs for small business owners. It provides companies with information about federal funding, legal requirements for Iowa businesses and assistance for small businesses owned by women, veterans, minorities or individuals with disabilities.

How Much Is General Liability Insurance in Iowa?

In Iowa, the average cost of general liability insurance for LLCs with 20 employees is $52 per month, compared to $25 for sole proprietors with no employees.

We based these premiums on a policy with a $0 deductible, a $1 million occurrence limit and a $2 million aggregate limit. The occurrence limit defines the maximum amount an insurer will pay per claim, whereas the aggregate limit represents the highest amount an insurer will pay out for claims throughout the policy period. The deductible is the amount policyholders must pay out of pocket before their insurance kicks in.

Factors That Impact General Liability Insurance Costs in Iowa

Several factors affect how much general liability insurance will cost for your company. We’ve detailed the major considerations below:

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    Policy limits

    The higher the policy limits you choose, the more you will have to pay for coverage. General liability insurance covers the aggregate limit (maximum coverage amount per policy period) and the occurrence limit (maximum coverage amount per claim).

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    Number of employees and payroll costs

    More employees and higher payroll costs also increase general liability insurance rates. Our analysis showed that LLCs in Iowa pay a yearly average of $623, while sole proprietors without employees pay $302.

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    Business location

    The physical location of your business also affects your premiums. Companies operating in an area with dense populations are more likely to pay higher premiums than those in rural areas. Being in a busier area makes you statistically more likely to submit claims.

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    Claims history

    Businesses with prior claims history are considered risky customers by general liability insurance providers. Insurers usually charge higher rates for these companies than companies that have never filed a claim.

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    Industry

    The industry your business belongs to also determines how much your general liability insurance will cost. For instance, a high-risk industry like construction tends to have higher premiums than those with less hazardous work.

CleaningMonthly Cost Without Employees$42Monthly Cost With 20 Employees$995
General ContractorMonthly Cost Without Employees$103Monthly Cost With 20 Employees$1,506
Software DevelopmentMonthly Cost Without Employees$25Monthly Cost With 20 Employees$52

Frequently Asked Questions About General Liability Insurance in Iowa

Here are some answers to the most frequently asked questions regarding general liability insurance in Iowa to help you find the best provider.

Which company has the best general liability insurance in Iowa?
Which company has the cheapest general liability insurance in Iowa?
What does general liability insurance cover in Iowa?
Does Iowa require businesses to have general liability insurance?

About Melissa Wylie


Melissa Wylie headshot

Melissa Wylie is a Content and SEO Manager at MoneyGeek. Melissa has worked in the financial content space since 2018 and has spent much of that time focused on all things small business.

Prior to joining MoneyGeek, Melissa held SEO positions at Bankrate and LendingTree. Melissa’s work has also appeared on LendingTree-owned websites ValuePenguin and MagnifyMoney.

Melissa began her career at American City Business Journals in 2015 as a reporter for the company’s women-focused publication Bizwomen. Melissa has a Bachelor of Arts in Journalism from the University of North Texas. Melissa relies on her foundation in journalism to craft content that simplifies complex financial topics to help everyone feel confident when making decisions with their money.

Melissa's other work can be read on LendingTree and Bizwomen.


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