NEXT tops our analysis of Pennsylvania business insurance providers because of its strong customer service and comprehensive coverage. The Hartford and Simply Business are also reliable options for small business owners across the state.
Updated: August 21, 2025
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Key Takeaways
Small business owners can get the best business insurance in Pennsylvania from NEXT, The Hartford and Simply Business.
The best business insurance in Pennsylvania depends on your industry risks, employee count and preferred coverage limits.
To find the best coverage, assess your risks, compare multiple quotes, research provider service quality and maximize available discounts.
Best Business Insurance Companies in Pennsylvania
| NEXT | 4.62 | 3 | 1 | 2 |
| The Hartford | 4.61 | 1 | 2 | 3 |
| Simply Business | 4.48 | 4 | 5 | 1 |
| Nationwide | 4.47 | 8 | 2 | 4 |
| Coverdash | 4.40 | 5 | 6 | 2 |
| biBERK | 4.40 | 7 | 2 | 5 |
| Thimble | 4.33 | 2 | 8 | 5 |
| Progressive Commercial | 4.32 | 3 | 7 | 5 |
| Hiscox | 4.28 | 6 | 4 | 6 |
| Chubb | 4.26 | 9 | 3 | 4 |
How Did We Determine These Rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus on four coverage types: general liability, professional liability/E&O, workers' comp and business owner's policy. Survey results reflect limited sample data and may not represent all available rates in your area.
Best by Coverage Type
The Hartford leads Pennsylvania businesses with top-rated general liability coverage and business owner's policies (BOP). NEXT provides the best professional liability insurance and workers' compensation coverage.
| Business Owners Policy | The Hartford | 4.64 |
| General Liability | The Hartford | 4.64 |
| Professional Liability (E&O) | NEXT | 4.73 |
| Workers Compensation | NEXT | 4.60 |
How Did We Determine These Rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus on four coverage types: general liability, professional liability/E&O, workers' comp and business owner's policy. Survey results reflect limited sample data and may not represent all available rates in your area.
Best Pennsylvania Small Business Insurance Reviews
Our research team analyzed Pennsylvania's business insurance providers to identify the top three options for small business owners. Here's what makes each company stand out when you need comprehensive coverage.
NEXT
Best Customer Experience
MoneyGeek Rating
4.6/ of 5
4.4/5Affordability
4.7/5Customer Experience
4.8/5Coverage Options
Average Monthly Cost of General Liability Insurance
$119This rate is for small businesses with two employees across 79 major industries or business types and focus solely on general liability policies.Average Monthly Cost of Workers' Comp Insurance
$80This rate is for small businesses with two employees across 79 major industries or business types and focus solely on workers' comp policies.Our Survey: Claims Process
3.9/5Our Survey: Likely to Be Recommended to Others
4.8/5
The Hartford
Best for Affordability
MoneyGeek Rating
4.6/ of 5
4.6/5Affordability
4.6/5Customer Experience
4.7/5Coverage Options
Average Monthly Cost of General Liability Insurance
$76This rate is for small businesses with two employees across 79 major industries or business types and focus solely on general liability policies.Average Monthly Cost of Workers' Comp Insurance
$64This rate is for small businesses with two employees across 79 major industries or business types and focus solely on workers' comp policies.Our Survey: Claims Process
4.5/5Our Survey: Likely to Be Recommended to Others
4.5/5
Simply Business
Best for Coverage Availability
MoneyGeek Rating
4.5/ of 5
4.4/5Affordability
4.2/5Customer Experience
4.9/5Coverage Options
Average Monthly Cost of General Liability Insurance
$111This rate is for small businesses with two employees across 79 major industries or business types and focus solely on general liability policies.Average Monthly Cost of Workers' Comp Insurance
$82This rate is for small businesses with two employees across 79 major industries or business types and focus solely on workers' comp policies.Our Research: Policy Management
3.7/5Our Survey: Likely to Be Recommended to Others
4.2/5
Cheapest Business Insurance Companies in Pennsylvania
The Hartford provides the most affordable business insurance in Pennsylvania with rates of $97 monthly ($1,170 annually). Thimble and Simply Business round out the top three budget-friendly options, offering coverage at $107 and $112 per month respectively. Review the complete list of providers and their rates in the table below.
| The Hartford | $97 | $1,170 |
| Thimble | $107 | $1,285 |
| Simply Business | $112 | $1,348 |
| Progressive Commercial | $115 | $1,380 |
| NEXT | $116 | $1,387 |
| Coverdash | $117 | $1,407 |
| Nationwide | $118 | $1,416 |
| biBERK | $119 | $1,424 |
| Hiscox | $123 | $1,475 |
| Chubb | $136 | $1,634 |
How Did We Determine These Rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus on four coverage types: general liability, professional liability/E&O, workers' comp and business owner's policy. Survey results reflect limited sample data and may not represent all available rates in your area.
Cheapest General Liability Insurance Companies in Pennsylvania
Pennsylvania business owners can find the cheapest general liability coverage through The Hartford at $95 monthly. Simply Business offers the next lowest rate at $111 per month. Compare rates from all providers in the table below.
| The Hartford | $95 | $1,140 |
| Simply Business | $111 | $1,331 |
| Nationwide | $113 | $1,351 |
| Progressive Commercial | $116 | $1,395 |
| NEXT | $119 | $1,433 |
| Coverdash | $120 | $1,438 |
| Thimble | $122 | $1,468 |
| biBERK | $130 | $1,557 |
| Hiscox | $130 | $1,559 |
| Chubb | $138 | $1,652 |
How Did We Determine These Rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus solely on general liability policies. Survey results reflect limited sample data and may not represent all available rates in your area.
Cheapest Professional Liability Insurance Companies in Pennsylvania
The Hartford offers the cheapest professional liability insurance (E&O) at $83 monthly ($995 annually). NEXT provides another affordable option for Pennsylvania business owners.
| The Hartford | $83 | $995 |
| NEXT | $84 | $1,006 |
| Progressive Commercial | $87 | $1,042 |
| Hiscox | $88 | $1,053 |
| Thimble | $88 | $1,055 |
| Simply Business | $88 | $1,060 |
| Coverdash | $90 | $1,083 |
| biBERK | $91 | $1,088 |
| Nationwide | $95 | $1,142 |
| Chubb | $102 | $1,226 |
How Did We Determine These Rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus solely on professional liability/errors and omissions policies. Survey results reflect limited sample data and may not represent all available rates in your area.
Cheapest Workers’ Comp Insurance Companies in Pennsylvania
Our research shows that NEXT offers the cheapest workers' comp rates at $80 monthly ($956 annually). Thimble and The Hartford offer similarly competitive rates, making all three solid choices for Pennsylvania businesses.
| NEXT | $80 | $956 |
| Thimble | $80 | $964 |
| The Hartford | $81 | $968 |
| Hiscox | $81 | $969 |
| Progressive Commercial | $82 | $982 |
| Simply Business | $82 | $990 |
| Coverdash | $84 | $1,010 |
| biBERK | $85 | $1,021 |
| Nationwide | $94 | $1,129 |
| Chubb | $98 | $1,178 |
How Did We Determine These Rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus solely on workers’ comp policies. Survey results reflect limited sample data and may not represent all available rates in your area.
Cheapest BOP Insurance Companies in Pennsylvania
The Hartford offers the cheapest BOP rates in Pennsylvania at $131 per month ($1,576 annually). Business owners can also find affordable BOP insurance with Thimble, Simply Business and biBERK.
| The Hartford | $131 | $1,576 |
| Thimble | $138 | $1,652 |
| Simply Business | $168 | $2,011 |
| biBERK | $169 | $2,030 |
| Nationwide | $170 | $2,041 |
| Coverdash | $175 | $2,098 |
| Progressive Commercial | $175 | $2,101 |
| NEXT | $179 | $2,153 |
| Hiscox | $193 | $2,319 |
| Chubb | $206 | $2,478 |
How Did We Determine These Rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus solely on BOP policies. Survey results reflect limited sample data and may not represent all available rates in your area.
How Much Does Business Insurance Cost in Pennsylvania?
Business insurance in Pennsylvania costs between $85 and $171 monthly, with workers' compensation being the most affordable and business owner's policies the most expensive. Rates vary based on the coverage type your business needs.
| BOP | $171 |
| General Liability | $119 |
| Professional Liability (E&O) | $90 |
| Workers Comp | $85 |
How Did We Determine These Rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus on four coverage types: general liability, professional liability/E&O, workers' comp and business owner's policy. Survey results reflect limited sample data and may not represent all available rates in your area.
Cost of Business Insurance by Industry and Coverage
Business insurance costs in Pennsylvania vary significantly by industry and coverage type. Our analysis shows speech therapists pay just $7 monthly for workers' compensation, while pressure washing businesses pay up to $1,607 for a business owner's policy.
Data filtered by:Results filtered by:
Select
Coverage Type:Business Owners Policy
Select
Industry:Accountants
| Accountants | Business Owners Policy | $38 |
How Did We Determine These Rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus on four coverage types: general liability, professional liability/E&O, workers' comp and business owner's policy. Survey results reflect limited sample data and may not represent all available rates in your area.
What Factors Influence My Costs?
Your Pennsylvania business insurance premiums are influenced by several key factors. Here are the main elements that affect your insurance costs:
Industry Risk Level
Your line of work drives your insurance costs more than any other factor. In Pennsylvania, construction companies pay $800 to $1,200 monthly because job sites have higher accident rates. Compare that to consultants, who often pay under $100 monthly due to minimal physical risks.
Geographic Location and Weather Risks
Your business location affects your insurance rates in Pennsylvania. According to FEMA data, Pennsylvania ranks fourth nationwide in disaster declarations from 2020 to 2023. Businesses in flood-prone areas like the Susquehanna Valley pay more than those in higher elevations. Urban areas like Philadelphia and Pittsburgh also see higher rates due to increased property crime risks.
Business Size
Your workforce size directly impacts your insurance costs. Workers' compensation rates in Pennsylvania are calculated per $100 of payroll, while liability coverage costs reflect your revenue and customer traffic. A retail store with 20 employees pays substantially more than a solo consultant working from home.
Claims History
Previous claims raise your rates across all coverage types for years. Even one property damage claim can increase your premiums by 20% or more. Insurance companies reward claim-free businesses with lower rates and special discounts.
Coverage Types and Limits
Your choice of coverage types and limits determines your final cost. Higher liability limits increase premiums, but bundling coverage through a business owner's policy often saves 15% or more compared to separate policies.
Years in Business
New Pennsylvania businesses face higher insurance rates because insurers lack data to assess their risk level. After three years of operation with no claims, many businesses qualify for experience credits that lower their premiums.
Professional Certifications
Safety certifications and professional licenses can reduce your insurance costs. Pennsylvania contractors with OSHA safety certifications often save 5% to 10% on workers' compensation insurance. Professional associations may offer additional discounts to certified members.
Pennsylvania Business Insurance Buying Guide
Running a business takes all your focus, and getting business insurance can feel like one task too many. Our guide breaks down everything Pennsylvania business owners need to know about protecting their companies.
What Coverage Is Required?
We've researched Pennsylvania business insurance requirements to save you time. Below is a detailed breakdown of coverage requirements.
Workers' Comp
Pennsylvania requires workers' compensation insurance for most businesses, with one of the strictest enforcement systems in the country. You must carry workers' comp if you have one or more employees, including part-time and seasonal workers. Pennsylvania has strict rules: corporate officers are automatically covered unless they formally opt out and meet specific criteria. Even sole proprietors in construction must carry coverage. The state conducts regular audits and imposes penalties for non-compliance, including criminal charges for willful non-compliance.
Commercial Auto Insurance
Small businesses that own vehicles or require employees to drive for work need commercial auto insurance. Pennsylvania requires all vehicles to carry at least $15,000 per person and $30,000 per accident for bodily injury, plus $5,000 for property damage. You can choose between full tort or limited tort coverage, which affects your right to sue for pain and suffering after an accident.
Unemployment Compensation
Pennsylvania requires unemployment compensation for businesses that pay wages of $1,500 or more in any quarter or employ one or more workers for 20 weeks during a calendar year. You must register with the Pennsylvania Department of Labor and Industry and pay quarterly contributions based on your payroll and experience rating.
Professional Liability Insurance
If you hold a professional license in Pennsylvania for medical, legal, architectural or engineering work, you'll need professional liability insurance. Health care providers must carry malpractice coverage with minimum amounts that vary by specialty, while other professionals should check with their licensing boards for specific requirements.
Contractor Bonds and Insurance
If you hold a contractor license in Pennsylvania, you'll need to carry liability insurance and may need to post a surety bond depending on your work type. Home improvement contractors must carry at least $50,000 in liability coverage and register with the state. Larger contractors may need higher coverage amounts and bonding requirements.
State Disability Insurance
Pennsylvania requires state disability insurance through small payroll deductions from employees in certain counties. This coverage provides partial wage replacement for workers who can't work due to non-work-related injuries or illnesses. The requirement applies only to employees working in specific Pennsylvania counties, not statewide.
What Coverage Do We Recommend?
Pennsylvania keeps business insurance regulations light, leaving you to make smart coverage decisions. Our analysis shows the best insurance options for the state's leading industries:
Manufacturing | General liability, product liability, workers' compensation, commercial property, business interruption, steel production coverage, pharmaceutical manufacturing, environmental liability, tornado coverage | Pennsylvania steel, pharmaceutical and machinery manufacturers face environmental contamination from industrial legacy sites, tornado damage and FDA regulatory violations. Steel production requires specialized coverage for high-temperature operations and environmental compliance. |
Food | General liability, product liability, commercial property, equipment breakdown, business interruption, contamination coverage, recall coverage, mushroom processing coverage, snack food manufacturing | Pennsylvania food processors handle mushrooms, snack foods and dairy products with contamination risks and recall liability. Mushroom processing requires specialized coverage for agricultural contamination, while snack food manufacturing creates unique allergen and contamination exposures. |
Construction/Contractor | General liability, workers' compensation, commercial auto, builder's risk, professional liability, environmental remediation, tornado coverage, historic building restoration, pharmaceutical facility construction | Pennsylvania construction faces environmental liability from historical industrial contamination, tornado damage and specialized pharmaceutical facility construction. Historic building restoration in Philadelphia requires specialized coverage for preservation requirements and heritage compliance. |
Excavation | General liability, workers' compensation, commercial auto, equipment coverage, environmental liability, coal mining legacy coverage, underground utility damage, contaminated soil remediation, tornado coverage | Pennsylvania excavation companies face environmental liability from coal mining legacy contamination, underground utility damage and historical industrial site cleanup. Disturbing contaminated soils requires specialized remediation coverage and regulatory compliance. |
How to Get the Best Cheap Business Insurance in Pennsylvania
Getting business insurance in the Keystone State can be complex and costly for small business owners. Here are practical ways to secure reliable coverage while keeping your insurance costs under control:
- 1
Assess Your Actual Risks First
Evaluate real business risks specific to your Pennsylvania operation rather than accepting blanket recommendations. A Philadelphia restaurant needs strong liability and property coverage, while a Pittsburgh consulting firm might focus more on professional liability protection.
- 2
Get Quotes from Multiple Insurers
Insurance providers calculate risk differently, leading to price variations for the same coverage. Contact at least three insurers to compare rates, as Pennsylvania businesses often save hundreds annually through comparison shopping.
- 3
Choose Providers Based on Service Quality
Investigate each insurer's reputation for handling claims and its experience with Pennsylvania businesses. A manufacturing company in Allentown needs an insurer familiar with industrial risks, while a York retail store wants responsive customer service for property claims.
- 4
Maximize Available Discounts
Combine compatible policies and maintain good safety records to reduce premiums. A Harrisburg contractor could save by bundling general liability with commercial auto insurance while documenting regular safety training.
- 5
Review Coverage Annually
Business needs evolve with growth and market changes in Pennsylvania. A small Erie retailer expanding to online sales might need additional cyber liability coverage, while a growing Scranton service business may require increased general liability limits.
Pennsylvania Business Insurance: Bottom Line
Based on our analysis, NEXT, The Hartford and Simply Business are Pennsylvania's best business insurance providers. However, what's ideal for you depends on your business risks and employee needs. Research each company's service quality, maximize discounts and select coverage that fits your budget.
Small Business Insurance in Pennsylvania: FAQ
Small business owners in Pennsylvania often need answers about business insurance coverage and requirements. Here are the most frequently asked questions and answers:
What business insurance is required by law in Pennsylvania?
Pennsylvania requires workers' compensation insurance for businesses with employees. Commercial auto insurance is mandatory for business vehicles with minimum limits of $15,000/$30,000/$5,000. Most clients require general liability coverage, but it's not legally mandated.
How much does business insurance cost in Pennsylvania?
Our analysis shows that business insurance costs in Pennsylvania range from $85 to $171 monthly. Workers' comp is the most affordable at $85, while Business Owner's Policies cost $171. Actual costs depend on your industry, business size and claims history.
Which company has the cheapest business insurance in Pennsylvania?
The Hartford offers the lowest rates at $97 monthly in Pennsylvania, with Thimble ($107) and Simply Business ($112) following behind. Always compare quotes since rates vary based on specific risks.
What business insurance do I need for my small business in Pennsylvania?
Start with general liability to protect against customer injuries and property damage claims. Include workers' compensation for employees and commercial auto for company vehicles. Construction businesses need builders' risk coverage, while retail stores require property insurance.
What is the best business insurance company in Pennsylvania?
NEXT leads Pennsylvania's business insurance market with a MoneyGeek score of 4.62 out of 5.0. The Hartford and Simply Business round out the top choices.
Compare multiple insurance providers to find coverage that matches your business requirements.
Do small businesses in Pennsylvania need workers' compensation insurance?
Yes, Pennsylvania requires workers' compensation insurance for all businesses with employees. The only exceptions are for sole proprietors and some agricultural workers.
What factors affect business insurance costs in Pennsylvania?
Your industry impacts costs. Construction businesses pay higher premiums than consulting firms. Location affects rates, with coastal areas paying more. Employee count drives workers' comp costs, while claim history and safety certifications influence rates.
How do I get cheap business insurance in Pennsylvania?
Compare quotes from multiple insurers like NEXT and The Hartford, which offer competitive rates in Pennsylvania. Bundle policies and implement safety programs to secure additional discounts.
What's the difference between general liability and errors and omissions (professional liability) insurance in Pennsylvania?
General liability insurance protects against physical injuries and property damage. Professional liability (E&O) covers financial losses from service mistakes or negligence. Service businesses often need both types of coverage.
Can I get business insurance quotes online in Pennsylvania?
Yes, leading providers offer online business insurance quotes in Pennsylvania. Have your business information ready for accurate quotes, but complex businesses may need an agent for specialized coverage.
How We Scored the Best Business Insurance Companies in Pennsylvania
Small business owners in Pennsylvania need reliable coverage that protects their operations without breaking their budgets. We designed our methodology to help Pennsylvania entrepreneurs navigate challenges like severe weather risks and the state's workers' compensation laws.
We studied thousands of quotes from 79 industries across four coverage types for a two-employee firm with $300,000 annual revenue and $150,000 payroll. All policies included $1 million per occurrence and $2 million total per year, with BOPs adding $5,000 business property coverage.
- Affordability (50% of score): We compare premiums across providers using standardized coverage limits and deductibles to ensure fair price comparisons.
- Customer experience (30% of score): Our analysis includes claims processing speed, customer service responsiveness and online account management tools.
- Coverage options (15% of score): We evaluate the range of coverage types, policy customization options and industry-specific endorsements.
- Financial strength (5% of score): We assess each insurer's ability to pay claims using ratings from independent agencies.
This approach helps Pennsylvania small business owners compare insurers on what matters most: affordable premiums, reliable service, adequate coverage and financial stability.
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.
sources
- FEMA. "Disasters and Other Declarations." Accessed August 22, 2025.
- NEXT. "NEXT Empowers Agents with Enhanced Products, Cutting-Edge Digital Tools, Opening New Revenue Opportunities and Sparking Momentum in Small Business Insurance." Accessed August 22, 2025.
- Simply Business. "Simply Business Offers Insurance to Third-Party Sellers Through Amazon Insurance Accelerator." Accessed August 22, 2025.
- The Hartford. "Customer Claims Ratings and Reviews." Accessed August 22, 2025.
- Trustpilot. "NEXT." Accessed August 22, 2025.
- Trustpilot. "Simply Business US." Accessed August 22, 2025.
- Trustpilot. "The Hartford." Accessed August 22, 2025.