We found NEXT Insurance has the best professional indemnity insurance for small businesses, with top scores in customer service and coverage. The Hartford came in second for its low rates, and Simply Business ranked third with strong coverage options.
Best Professional Indemnity Insurance
NEXT Insurance ranks as the best professional indemnity insurance carrier in our study with a 4.73 MoneyGeek score.
Discover affordable professional indemnity coverage below.
Select your industry
Select state
Updated: August 20, 2025
Advertising & Editorial Disclosure
Key Takeaways
NEXT Insurance, The Hartford and Simply Business ranked as the best professional indemnity insurance providers in our analysis.
Your industry risks, coverage limits, budget and insurer's financial stability determine the best professional indemnity insurance for you.
Assess your risks, compare multiple quotes, review policy terms and bundle coverage to find optimal protection.
Best Professional Indemnity Insurance Companies
| The Hartford | 4.70 | $72 |
| NEXT Insurance | 4.73 | $72 |
| Progressive Commercial | 4.44 | $75 |
| Thimble | 4.37 | $76 |
| Simply Business | 4.51 | $76 |
| Hiscox | 4.39 | $77 |
| Coverdash | 4.44 | $78 |
| biBERK | 4.42 | $79 |
| Nationwide | 4.40 | $82 |
| Chubb | 4.20 | $89 |
How Did We Determine These Rates and Rankings?
These rates are estimates based on 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.
Best Professional Indemnity Insurance By State
NEXT Insurance has the best professional indemnity insurance for small businesses across all 50 states. The Hartford ranks second in 48 states, with Simply Business appearing in two.
| Alabama | NEXT Insurance | 4.73 |
| Alaska | NEXT Insurance | 4.70 |
| Arizona | NEXT Insurance | 4.73 |
| Arkansas | NEXT Insurance | 4.76 |
| California | NEXT Insurance | 4.73 |
| Colorado | NEXT Insurance | 4.71 |
| Connecticut | NEXT Insurance | 4.74 |
| Delaware | NEXT Insurance | 4.76 |
| Florida | NEXT Insurance | 4.73 |
| Georgia | NEXT Insurance | 4.71 |
| Hawaii | NEXT Insurance | 4.72 |
| Idaho | NEXT Insurance | 4.74 |
| Illinois | NEXT Insurance | 4.70 |
| Indiana | NEXT Insurance | 4.76 |
| Iowa | NEXT Insurance | 4.75 |
| Kansas | NEXT Insurance | 4.71 |
| Kentucky | NEXT Insurance | 4.70 |
| Louisiana | NEXT Insurance | 4.74 |
| Maine | NEXT Insurance | 4.74 |
| Maryland | NEXT Insurance | 4.71 |
| Massachusetts | NEXT Insurance | 4.71 |
| Michigan | NEXT Insurance | 4.73 |
| Minnesota | NEXT Insurance | 4.69 |
| Mississippi | NEXT Insurance | 4.73 |
| Missouri | NEXT Insurance | 4.74 |
| Montana | NEXT Insurance | 4.73 |
| Nebraska | NEXT Insurance | 4.72 |
| Nevada | NEXT Insurance | 4.74 |
| New Hampshire | NEXT Insurance | 4.74 |
| New Jersey | NEXT Insurance | 4.70 |
| New Mexico | NEXT Insurance | 4.72 |
| New York | NEXT Insurance | 4.76 |
| North Carolina | NEXT Insurance | 4.74 |
| North Dakota | NEXT Insurance | 4.74 |
| Ohio | NEXT Insurance | 4.75 |
| Oklahoma | NEXT Insurance | 4.70 |
| Oregon | NEXT Insurance | 4.75 |
| Pennsylvania | NEXT Insurance | 4.73 |
| Rhode Island | NEXT Insurance | 4.71 |
| South Carolina | NEXT Insurance | 4.72 |
| South Dakota | NEXT Insurance | 4.73 |
| Tennessee | NEXT Insurance | 4.70 |
| Texas | NEXT Insurance | 4.73 |
| Utah | NEXT Insurance | 4.76 |
| Vermont | NEXT Insurance | 4.71 |
| Virginia | NEXT Insurance | 4.70 |
| Washington | NEXT Insurance | 4.69 |
| West Virginia | NEXT Insurance | 4.72 |
| Wisconsin | NEXT Insurance | 4.69 |
| Wyoming | NEXT Insurance | 4.72 |
How Did We Determine These Rates and Rankings?
These rates are estimates based on 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. Professional indemnity insurance regulations vary by state, and certain coverage options may not be available in all locations. Contact insurers directly for personalized quotes and to confirm availability in your state.
LEARN MORE ABOUT PROFESSIONAL INDEMNITY INSURANCE
Before choosing the best professional indemnity insurance for your business, explore our comprehensive guides below to understand coverage basics, costs and money-saving strategies.
Best Professional Indemnity Insurance Reviews
We highlight what makes our top three picks stand out for the best professional indemnity insurance coverage, helping you understand which provider fits your business needs.
NEXT
Best for Customer Service
MoneyGeek Rating
4.7/ of 5
4.7/5Affordability
4.7/5Customer Experience
4.8/5Coverage Options
Average Monthly Rate
$72These rates are estimates based on MoneyGeek's analysis of small businesses with two employees across 79 major industries.Availability
50 StatesOur Survey: Claims Process
3.9Our Survey: Likely to be Recommended to Others
4.8
The Hartford
Best for Affordability
MoneyGeek Rating
4.7/ of 5
4.8/5Affordability
4.6/5Customer Experience
4.7/5Coverage Options
Average Monthly Rate
$72These rates are estimates based on MoneyGeek's analysis of small businesses with two employees across 79 major industries.Availability
48 StatesOur Survey: Claims Process
4.5Our Survey: Likely to be Recommended to Others
4.5
Simply Business
Best for Coverage Availability
MoneyGeek Rating
4.5/ of 5
4.5/5Affordability
4.2/5Customer Experience
4.9/5Coverage Options
Average Monthly Rate
$76These rates are estimates based on MoneyGeek's analysis of small businesses with two employees across 79 major industries.Availability
50 StatesOur Survey: Claims Process
3.7Our Survey: Likely to be Recommended to Others
4.2
How To Get The Best Professional Indemnity Insurance
Getting the best professional indemnity insurance requires comparing providers, understanding your coverage needs and finding competitive rates. Follow these steps to secure the right financial protection for your business.
- 1
Assess Your Business Risk Exposure
Identify what professional mistakes could cost your business. A marketing consultant might face claims for campaign failures, while a client could sue an accountant for tax preparation errors.
- 2
Determine Your Coverage Limits
Calculate how much financial protection you need based on your client contracts and project values. Coverage limits typically range from hundreds of thousands to several million dollars, depending on your business size and risk.
- 3
Look for Industry-Specific Coverage
Find an insurer familiar with your line of work and its common problems. Software developers get sued for coding mistakes, while business consultants face lawsuits over bad advice.
- 4
Compare Quotes from Multiple Insurers
Get quotes from at least three providers to compare rates and coverage options. Monthly premiums range from $72 (The Hartford) to $89 (Chubb), showing how much rates can vary.
- 5
Review Policy Terms and Exclusions
Before purchasing, check what your policy covers and what it doesn't. Some policies exclude certain work types or have strict deadlines for reporting potential claims.
- 6
Bundle Policies for Better Rates
Combine professional indemnity with public liability or other business coverage for discounts. Most insurers offer savings when you bundle multiple policies together.
- 7
Maintain a Clean Claims History
Keep detailed records of your work and client communications to prevent claims. Document project scope, timelines and changes to protect yourself when disputes happen.
- 8
Reassess Your Coverage Regularly
Review your policy annually as your business grows and services expand. A freelance designer who adds web development work needs higher limits or additional coverage types.
Best Professional Indemnity Insurance: Bottom Line
Finding the best professional indemnity insurance starts with understanding your industry risks and coverage needs. NEXT Insurance, The Hartford and Simply Business lead our rankings, but comparing quotes and reviewing policy terms ensures you get the right financial protection for your business at the best price.
Best Small Business Professional Indemnity Insurance: FAQ
We've answered the most frequently asked questions about finding the best professional indemnity insurance for your business:
What does professional indemnity insurance cover?
This coverage pays for legal expenses and claim settlements when clients sue over professional mistakes, errors or negligence. It protects against missed deadlines, incorrect advice or design flaws causing financial losses. Coverage excludes intentional wrongdoing, property damage and bodily injuries.
How much does professional indemnity insurance cost for small businesses?
Small businesses pay $72 to $89 monthly based on MoneyGeek's analysis. Food businesses start at $26 monthly, while high-risk industries like mortgage brokers pay up to $164 monthly. Your rate depends on industry risk, coverage limits and choice of provider.
Do I need professional indemnity insurance as a small business?
You need coverage if clients could sue over professional mistakes. Marketing consultants, accountants, software developers and business consultants face significant risk from campaign failures, tax errors or coding mistakes. Defense expenses alone can cost hundreds of thousands, even when you win.
What's the difference between professional indemnity and general liability insurance?
Professional indemnity covers mistakes in your services, while general liability protects against property damage and physical injuries from business operations. Professional indemnity handles client lawsuits over bad advice. General liability covers accidents at your business location.
Can I get professional indemnity insurance online?
Yes, providers like NEXT Insurance and Simply Business offer online coverage. NEXT provides quotes in under 10 minutes with instant certificate access, while Simply Business connects you with multiple carriers through one platform. Traditional insurers focus more on phone service.
How We Scored the Best Professional Indemnity Insurance Companies
Professional liability claims cost businesses hundreds of thousands in legal fees, even when you win. We built our analysis to help you find affordable coverage that protects during claims.
Our Research Method
We gathered thousands of professional indemnity quotes from 79 industries using a two-employee business with $300,000 annual revenue. Coverage included $1 million per claim and $2 million aggregate limits.
Our Scoring Categories
- Affordability (50%): We compared each company's rates across multiple coverage types, focusing on businesses that need comprehensive financial protection.
- Customer Experience (30%): Professional liability claims drag on for months. We measured claims handling using J.D. Power ratings, complaint data and agency scores.
- Coverage Options (15%): We evaluated coverage breadth, policy limits and customization options for different professional services.
- Financial Strength (5%): We assessed stability using AM Best ratings, financial reports and business longevity.
Testing identical business profiles shows how rates and services compare for businesses like yours.
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.