What are the average rates for small business insurances (liability)?

Question

I am starting a company and am looking to get average prices and best companies to get small business insurance. Help!

Answer 1

Its always better to suggest a true professional of this particular sector. I too was assuming before some days but found the right place to get answer. Here is the link:

http://www.rghins.com/

Answer 2

You forgot to mention what your small business will be doing. The rates vary significantly between different occupations. I am sure that you already know that the rates for a small business that replaces roofs will be different than for someone who is going to open a shop selling posters.

You have to call an independent agent in your area to get an accurate premium so that you can build that expense in to your expense planning. If you will be charging an hourly rate you need an accurate figure to build in to the rate you plan on charging. If you are opening a shop you need to build in the cost of insurance as well as other expenses to calculate the mark up you will need to make a profit.

The fact is you need an accurate answer and you won't get it here. An average premium is of no value. You need to call an independent agent in your area to get an accurate estimate.

Check your Yellow Pages or go to this link to find an independent agent - http://www.iiaba.net/agentlocator/findag...

Good luck on your new business.

Answer 3

How do you average an accountant and a demolition contractor?  Or a hairdresser and a taxi driver?  

There's no average.  The range, would be from $500 to $100,000, depending on the exposure - that's the type of business, the type of insurance you need, and the rating factors - which are total sales, total payroll, number of units, etc.  

You'll have to go to a local agent to get some quotes.

Answer 4

Congrats on your decision to start a company.

The first thing I would do is ask my friends/family for a local Insurance agent(s) with whom they are happy.

Next, contact these agents and find out if they write GL (General Liability) or BOP (Business Owners)

If so, get face to face with the agent and have them run a quote through the different companies for whom they write.  

Generally, depending on the risk and exposure to risk of your business, how much insurance you need (some states mandate a certain amount of coverage) and whether or not you need a commercial auto policy, rates should be relatively low.  Without asking a series of underwriting questions (location, type of business, financial responsibility (credit- yes this is huge factor), etc) it would be difficult to pinpoint rates.  

Don't spend too much time before visiting a local agent in case you're entering a high-risk business so that you can prepare for the financial involvement.  

Remember to provide outstanding service to your clients along with an equally outstanding product/service and you will succeed.

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