Business insurance is priced and billed as a premium for the year, but most owners think about it as a monthly cost, so that is how this page shows it. Every figure is an annual premium divided by twelve, which makes the numbers comparable whether you later pay monthly or all at once.
How much is business insurance per month?
Four policies cover most small businesses. Insureon’s small business customers pay these median amounts:
| Coverage | Median monthly | About a year | What it covers |
|---|---|---|---|
| General liability ($1M per occurrence) | $45/mo | $542/yr | Injury and damage to customers and the public; what leases and contracts name. |
| Business owner’s policy (BOP) | $83/mo | about $996/yr | General liability plus cover on equipment, stock and premises. |
| Professional liability (E&O) | $88/mo | about $1,056/yr | Financial loss a client suffers from your advice or work. |
| Workers’ compensation | $54/mo | $643/yr | Medical bills and lost pay for employees hurt at work; priced on payroll. |
| Hiscox advertised starting price | from $22.50/mo | from $270/yr | E&O from $22.50, general liability from about $29, a BOP from about $42. |
Insureon’s published national medians for its small business customers, $1M/$2M limits. Not quotes. Hiscox writes 49 states plus DC.
See the monthly cost for your own business, size and state
Medians sit in the middle of a wide spread. Insureon reports that 63% of its general liability customers pay under $50 a month, while 43% of its professional liability customers pay under $75. Our guide to how much small business insurance costs has the full distributions.
Business insurance cost per month by trade
Risk is priced per trade, so the same policy costs a consultant a fraction of what it costs a contractor. These are the monthly medians used in our cost estimator, each taken from Insureon’s published figure for that type of business. A dash means no figure is published or the cover is rarely bought by that trade. Select a trade for its full cost guide.
| Business type | General liability | BOP | E&O | Workers’ comp |
|---|---|---|---|---|
| Event planner | $29 | $42 | $42 | — |
| Photographer or videographer | $29 | $47 | — | — |
| Personal trainer or fitness | $29 | $59 | $42 | — |
| Marketing consultant | $30 | — | $59 | — |
| Accountant or bookkeeper | $30 | $60 | $45 | — |
| Massage therapist | $30 | $82 | $42 | — |
| Consultant | $32 | $61 | $62 | $44 |
| Real estate agent | $33 | $58 | $68 | — |
| Beauty salon or barber | $35 | $70 | $42 | $66 |
| IT or software developer | $37 | $46 | $110 | $41 |
| Online store | $42 | $95 | — | — |
| Cleaning or janitorial | $48 | $76 | — | $136 |
| Landscaping or lawn care | $51 | $94 | — | $169 |
| Handyman | $81 | $105 | $67 | $108 |
| General contractor | $162 | — | — | $160 |
Median monthly premiums from Insureon’s published figures by business type, $1M/$2M limits where relevant. Not quotes. Hiscox does not write every trade; restaurants and auto repair shops are left out for that reason.
The pattern is simple. Office and advice-based work (consulting, photography, fitness, events) sits near $30 a month for general liability. Work that happens on other people’s property, with tools, vehicles or crews, costs several times that, and workers’ compensation is the line that grows fastest once you hire.
What a typical monthly bill looks like
Almost nobody buys all four policies. Three common combinations, using the medians above:
- Solo consultant or freelancer: general liability ($32) plus professional liability ($62) is about $94 a month, or a BOP alone from about $61.
- Personal trainer or event planner: general liability ($29) plus professional liability ($42) is about $71 a month.
- Cleaning business with two employees: a BOP ($76) plus workers’ compensation ($136) is about $212 a month.
These add the trade medians together and are a starting point, not a quote. Bundling usually lowers the total, and employee payroll can push the workers’ compensation line well above the median.
Paying monthly or paying for the year
The monthly figures here are the annual premium divided by twelve. When you buy, the insurer decides how you can pay. Some let you split the premium into monthly instalments, sometimes with a small fee, and some give a discount for paying the full year up front. The quote step shows which options you have, and the total across the year is the number to compare.
What moves your monthly price
- Trade. The biggest single factor, as the table shows.
- Revenue and payroll. Premiums rise with both. Workers’ compensation is priced directly on payroll.
- Headcount. More people means more chances of a claim and, if they are employees, a legal duty to carry workers’ compensation in almost every state.
- State. Insureon’s general liability medians run from $40 in Illinois to $59 in Maine, so state matters less than trade. See average business insurance cost by state.
- Limits. $1M/$2M is what nearly every contract names, and the $2M/$4M option costs only about a dollar more a month at the median. See $1 million liability insurance cost.
- Claims history and business age. A new business with no claims is neutral to the insurer; see business insurance cost for a new business.
How to lower your monthly cost
- Buy only what you need first. General liability, then professional liability if you sell advice, then a BOP once you own equipment or stock.
- Bundle. A BOP usually beats general liability plus property cover bought apart.
- Quote real revenue and payroll. Over-estimating either is paid for all year.
- Pick the trade class that matches the work. A consultancy priced as a general contractor pays for a $162 median instead of $32.
- Compare more than one quote. Prices for the same business differ between insurers.
Where these numbers come from
The medians are Insureon’s published figures for its small business customers, and the by-trade table uses the same sources as our cost estimator. Annual figures are twelve times the monthly median, except where Insureon publishes the annual number. Hiscox starting prices are the advertised “from” prices. Nothing here is a quote, and our editorial policy explains how figures are sourced and updated.
Hiscox and monthly cost
Hiscox quotes small businesses online, and its advertised starting prices sit below Insureon’s medians, so they mark the floor a low-risk business can aim for. A business with employees, vehicles or a higher-risk trade will usually do better comparing several insurers through a broker as well. Hiscox pays us when you get a quote, which does not change your price.
Frequently asked questions
How much is business insurance per month?
Insureon’s small business customers pay a median of $45 a month for general liability, $83 for a business owner’s policy (BOP), $88 for professional liability (E&O) and $54 for workers’ compensation. Most small businesses buy one or two of these, so a typical total is about $45 to $130 a month depending on the trade.
How much is general liability insurance per month?
The median is $45 a month, about $542 a year, for $1 million per occurrence and $2 million aggregate limits. Insureon reports that 63% of its customers pay under $50 a month. Trades with more physical risk, such as contractors, pay far more.
How much is a business owner’s policy per month?
The median is $83 a month. A BOP bundles general liability with cover for equipment, stock and premises, and usually costs less than buying the two separately.
How much is professional liability insurance per month?
The median is $88 a month, though 43% of Insureon’s customers pay under $75. Hiscox advertises professional liability from $22.50 a month for low-risk work.
How much is workers’ compensation insurance per month?
The median is $54 a month, which works out to about $643 a year. It is priced on payroll and job class, so a desk-based business pays far less than a roofing or landscaping crew.
Is it cheaper to pay business insurance monthly or yearly?
Insurers set their own terms, so check at the quote step. Some charge a small fee for monthly instalments or give a discount for paying the year up front. The monthly figures on this page are annual premiums divided by twelve, so they are comparable either way.
What is the cheapest business insurance per month?
General liability or, for advice-based work, professional liability. Hiscox advertises professional liability from $22.50 a month, general liability from about $29 and a BOP from about $42, which mark the floor for a low-risk business. Your own quote depends on your trade, revenue, headcount and state.
Do I have to buy through you?
No. This site publishes cost guides and earns a commission if you get a quote through a partner link. We are not an insurer or a broker, we do not sell your details, and a quote costs nothing.
Get a real price
These figures are estimates. Only an insurer can give you a real price.
Direct online insurer
Fill in a form and see a price on screen. Best for simple businesses.
Example: Hiscox. Rated A (Excellent) by AM Best. Sold in 49 states and DC.
Hiscox pays us when you get a quote. It does not change your price.
Online broker or marketplace
One form, several insurers compared. Best if you want more than one price.
Local independent agent
Talk it through by phone or in person. Best for higher-risk businesses.
Find an independent agent near you (free directory, no payment to us)
Disclaimer: Informational only, not insurance advice or a substitute for a licensed agent. Coverage descriptions are summaries; policy terms govern. Prices are illustrative and vary by state and business. Hiscox is available in 49 states and DC, not Alaska.