Compare Rates and Save on Small-business Insurance

widget-location-pin

As a general contractor in the construction industry, it's important to invest in general liability insurance to shield yourself against property damage or bodily injury claims that can impact your finances.

Securing your finances doesn’t have to be expensive. MoneyGeek examined a range of providers to find the cheapest general liability insurance for contractors. We analyzed insurers based on affordability, customer satisfaction, financial stability and the online quote process for LLCs and sole proprietors.

MoneyGeek Logo IconCheapest General LiabilityInsurance
2023

Cheapest General Liability Insurance for Contractors

Cheapest Overall General Liability Insurance for Contractors

For contractors in the construction industry, The Hartford provides the cheapest general liability insurance. LLCs pay an average of $922 per month, while sole proprietors pay only $90 monthly. The Hartford also has a high complaint score and AM Best rating, indicating that customers are satisfied and the company can meet its financial obligations.

How was this MoneyGeek score calculated?

Company
MoneyGeek Cheap Score
Sole Proprietor Monthly Cost
LLC Monthly Cost

The Hartford

100

$90

$922

Nationwide

90

$221

$2,158

Thimble

87

$126

$4,507

Hiscox

85

$85

No Data

biBERK

84

$100

No Data

Next

75

$504

$4,130

MoneyGeek’s Pick: The Hartford

The Hartford

pros

Affordable for both LLCs and sole proprietors

High AM Best rating

High customer satisfaction

cons

Slower quote time compared to other providers

May not offer general liability insurance to contractors in all states

COMPANY HIGHLIGHTS

The Hartford is a well-established insurer with a solid financial standing, great customer service and affordable premiums. At The Hartford, LLCs pay an average of $11,059 per year, while sole proprietors pay an average of $1,081 annually.

However, The Hartford’s general liability insurance may not be available online for contractors nationwide. In addition, requesting a quote may take longer than other providers since you must contact an agent.

Cheapest General Liability Insurance for Contractors by State

In most states, The Hartford offers the cheapest general liability insurance for contractors. However, your business location plays a critical role in the cost of your policy. For instance, businesses in areas with higher risk factors, such as flood or earthquake-prone zones, may pay higher insurance premiums. This is because businesses are more likely to make claims in such regions, which is a higher risk for the insurer.

To find the cheapest general liability insurance for contractors by state, MoneyGeek collected quotes from Zip codes with the highest population density in each state.

How did MoneyGeek rank these companies?

State
Cheapest Company
Sole Proprietor Monthly Cost
LLC Monthly Cost

Alabama

The Hartford

$75

$492

Alaska

Thimble

$49

$1,746

Alaska

Next

$87

$1,028

Arizona

The Hartford

$85

$723

Arkansas

The Hartford

$76

$577

California

Next

$257

$3,072

California

Thimble

$110

$3,936

Colorado

The Hartford

$80

$540

Connecticut

The Hartford

$91

$873

Delaware

The Hartford

$99

$808

Florida

Thimble

$135

$4,856

Georgia

Nationwide

$121

$1,399

Hawaii

Next

$138

$1,193

Idaho

The Hartford

$83

$579

Illinois

The Hartford

$115

$1,051

Indiana

The Hartford

$85

$618

Iowa

The Hartford

$78

$510

Kansas

The Hartford

$76

$526

Kentucky

The Hartford

$94

$696

Louisiana

Thimble

$261

$9,352

Maine

The Hartford

$92

$719

Maryland

The Hartford

$90

$679

Massachusetts

The Hartford

$98

$808

Michigan

The Hartford

$71

$404

Minnesota

The Hartford

$63

$286

Mississippi

The Hartford

$75

$462

Missouri

The Hartford

$81

$556

Montana

The Hartford

$90

$1,027

Nebraska

The Hartford

$79

$521

Nevada

The Hartford

$117

$1,079

New Hampshire

The Hartford

$91

$696

New Jersey

The Hartford

$175

$1,921

New Mexico

The Hartford

$80

$543

New York

biBERK

$0

No Data

North Carolina

The Hartford

$65

$284

North Dakota

The Hartford

$90

$630

Ohio

The Hartford

$67

$327

Oklahoma

The Hartford

$71

$356

Oregon

The Hartford

$88

$653

Pennsylvania

The Hartford

$180

$3,329

Rhode Island

The Hartford

$98

$799

South Carolina

Nationwide

$189

$2,605

South Dakota

The Hartford

$98

$606

Tennessee

The Hartford

$80

$591

Texas

The Hartford

$91

$697

Utah

The Hartford

$86

$630

Vermont

Nationwide

$202

$1,349

Virginia

The Hartford

$76

$473

Washington

Nationwide

$90

$2,128

West Virginia

The Hartford

$85

$613

Cheapest General Liability Insurance for Sole Proprietor Contractors

The cheapest contractor insurance for sole proprietors is from Hiscox, with rates averaging $1,134 per year or $85 per month. Aside from being affordable, Hiscox also offers a good balance between financial stability, customer satisfaction and the time to get a quote.

MoneyGeek’s Pick: Hiscox

Hiscox

pros

Highly affordable for sole proprietors

Shorter time to get a quote compared to other providers

5% rate reduction if you buy two or more Hiscox insurance products

cons

Does not offer coverage in Alaska

Availability of business coverage varies by state

COMPANY HIGHLIGHTS

Hiscox is the ideal option for sole proprietors looking for cheap general contractor insurance that delivers high-quality service. You can even get a 5% rate reduction if you get more than one Hiscox insurance product.

However, Hiscox does not offer its policies in all states, and coverage availability will depend on your state. If you want to supplement your general liability policy with other coverages, such as professional liability, your options may be limited.

Cheapest General Liability Insurance for Contractors With Employees

The Hartford offers the cheapest general liability insurance for contractors with an LLC, charging an average of $11,059 per year or $922 per month. Note that this is for a general contractor LLC with 20 employees, which means your costs may vary if you have more or fewer employees.

MoneyGeek’s Pick: The Hartford

The Hartford

pros

Highly affordable for employers at an average of $11,059 per year

High rate of customer satisfaction

cons

Waiting time for a quote is longer than other insurers

Does not offer insurance in all states

COMPANY HIGHLIGHTS

For LLCs, The Hartford offers the cheapest contractor insurance at an average of $11,059 per year. Having been in the business for over a century, The Hartford also boasts a great AM Best rating and a low average complaint score, indicating it’s a financially stable insurance provider with excellent customer service. The downsides are that The Hartford’s policies may not be available in all states and it may take a long time to get a quote.

Cheapest General Liability Insurance for Online Quotes for Contractors

If you're looking for a fast insurance quote, Thimble's rapid response time makes it an excellent choice over other providers. Taking an average of 34 seconds to get a quote online, contractors can quickly determine a ballpark figure for their insurance. However, it's important to note that while Thimble offers quick insurance quotes, its rates may not be the most affordable compared to other providers.

MoneyGeek’s Pick: Thimble

Thimble

pros

Affordable for sole proprietors at an average of $1,530 annually

Offers quotes quickly

cons

High customer complaint volume compared to other insurers

Costly option for LLCs (average of $54,109 per year)

COMPANY HIGHLIGHTS

As an online insurance provider, Thimble offers quick and accessible general liability insurance to both sole proprietors and LLCs. Available nationwide with a rapid quote time that surpasses other insurers, Thimble’s policies average $1,530 per year for sole proprietors and $54,109 per year for LLCs.

However, Thimble also has a high average number of customer complaints based on the National Association of Insurance Commissioners (NAIC) complaint index. This might be attributed to the company's reliance on online customer support.

How to Get the Cheapest General Liability Insurance for Contractors

How much general liability insurance costs for contractors can depend on several things, including business location, previous claims history, coverage amount and number of employees.

Businesses with more employees tend to have higher insurance premiums due to the potential for accidents and injury claims. Your claims history can also impact your insurance costs, as frequent or severe claims can lead to higher rates.

There are a few things you can do to find a policy with the cheapest premiums and coverage that meets your needs.

Consider Your Coverage Needs

Determine the appropriate level of general liability coverage you require to avoid overpaying for unnecessary coverage or being underinsured. Skimping on coverage to save on insurance costs can leave your business vulnerable to financial losses in the event of a claim.

The amount of coverage you need will depend on factors such as the services you provide or how many employees you have. By assessing your business's unique needs, you can ensure they have adequate coverage without overpaying for unnecessary protection.

Limit Your Liability Claims

Ensuring the work site is safe is a key way to reduce the likelihood of accidents. The costs of workplace accidents and injuries are numerous: medical bills or property damage for the injured employee or third party, increased insurance premiums and potential business losses.

By keeping your work site safe and minimizing accidents and injuries, you can keep your claims count low and your reputation clean—and keep your premiums lower.

Bundle Multiple Policies

Bundling insurance policies can be an effective way to save money on premiums. Many insurers offer bundling options that let you benefit from discounts. For instance, you can get general liability, commercial auto and business income insurance in one bundle, depending on the provider.

However, while bundling policies can save money, ensuring that your coverage is sufficient to protect the business from potential losses is essential. You also want to avoid getting unnecessary coverage.

Cheap General Liability Insurance for Contractors FAQs

Getting cheap general liability insurance is vital as a contractor to protect your assets and bottom line. Our answers to frequently asked questions provide more information about cheap general contractor 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.