Best Commercial General Liability Insurance in 2024 (Top 10 Companies Ranked)

Progressive, Geico, and State Farm have the best commercial general liability insurance.

General liability insurance is one of the main types of auto insurance that will protect both your vehicles and your business. Many different companies offer it, but the best companies for this coverage are listed below.

Our Top 10 Company Picks: Best Commercial General Liability Insurance

This guide breaks down the commercial general liability insurance definition so you can decide if this policy provides enough coverage for your business and commercial vehicles. When you are ready to shop for commercial general liability insurance, compare rates to find the best deal. Enter your ZIP in our free tool to get started.

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#1 – Progressive: Top Pick Overall

Pros

• Many Discounts: Progressive has a full selection of discounts that could help business owners save. Read more in our Progressive review.
• Flexible Payment Options: Business owners have options for payment methods and payment schedules.
• Repair Shop Network: Repairs can be done at a trusted repair shop method.

Cons

• High-Risk Rates: Rates will be higher if commercial drivers have poor driving records.
• Customer Service: Some customers have issues with responsiveness from Progressive customer service.

#2 – Geico: Best for Deductible Options

Pros

• Deductible Options: Commercial customers can adjust deductibles on their commercial auto liability insurance policies.
• Online Management: Geico’s user-friendly tools make it easy to manage commercial general liability coverage policies.
• Financial Stability: Customers’ automobile liability insurance will be covered by a financially strong company.

Cons

• Agent Availability: Local agent support isn’t available from Geico. Read more in our Geico car insurance review.
• Claim Handling: Customers have reported slower processing than expected.

#3 – State Farm: Best for Cheap Rates

Pros

• Cheap Rates: State Farm has some of the most affordable rates for general liability auto insurance.
• Local Agents: There is local support in most locations for commercial liability insurance policies.
• Customer Service: Rated as good by the majority of customers. Find out more in our State Farm review.

Cons

• Financial Rating: Your commercial auto liability insurance will be backed by a company with a lower financial rating.
• Online Capabilities: Most policy actions will have to be finalized through an agent.

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#4 – Allstate: Best for Online Convenience

Pros

• Online Convenience: Commercial liability car insurance can be managed online from Allstate’s app. Learn more by reading our Allstate review.
• Specialized Policies: Allstate offers specialized policy plans for small businesses.
• Claim Satisfaction Guarantee: Allstate guarantees claim satisfaction on claims and offers premium credits to unsatisfied customers.

Cons

• Claim Satisfaction: There are complaints about the efficiency of claims processing.
• Higher Rates: Allstate’s rates are higher if businesses are deemed high-risk.

#5 – Nationwide: Best for Add-On Coverages

Pros

• Add-On Coverages: Nationwide offers other types of business auto insurance besides just liability.
• Risk Management: Nationwide has strong risk management.
• Bundling Discount: Given to customers who purchase multiple types of insurance.

Cons

• Online Management: Nationwide’s online management may not be as simple as at other companies.
• Customer Service: Nationwide’s service isn’t always rated highly. Read more in our review of Nationwide.

#6 – Farmers: Best for Local Agents

Pros

• Local Agents: Farmers has local agents to assist with business car insurance policies. Learn more in our Farmers review.
• Add-On Coverages: Farmers sells more than just commercial liability auto insurance for businesses.
• Discount Availability: There are a few discounts that can be used to reduce business insurance costs.

Cons

• Online Tools: Policies may not be able to be managed as well online at Farmers.
• Claims Processing: There are some reports of slow processing of claims.

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#7 – Liberty Mutual: Best for Customizable Policies

Pros

• Customizable Policies: Liberty Mutual offers small customizations on liability insurance.
• Risk Management: The company has strong risk management.
• Add-On Coverages: Liberty Mutual has multiple commercial auto insurance options.

Cons

• Customer service: Less personalized at the company due to its larger size and fewer local agents. Read more in our review of Liberty Mutual.
• Discount Options: May be more limited compared to the competition.

#8 – USAA: Best for Military Savings

Pros

• Military Savings: USAA customers, who are exclusively military and veterans, have cheaper rates.
• Customer Service: Considered excellent by most customers. Read more in our USAA review.
• Claims Satisfaction: Also rated highly by the majority of USAA customers.

Cons

• Eligibility Requirements: Coverage is available only to military members and veterans.
• Office Availability: Local offices for personalized assistance aren’t available in most areas.

#9 – American Family: Best for Loyalty Discount

Pros

• Loyalty Discount: Businesses who stick with American Family will get a small discount.
• Customer Service: Mostly positive reviews are left by customers. Find out more in our American Family review.
• Tailored Policies: Small businesses can tailor their commercial auto insurance to suit their needs.

Cons

• Availability: Some business owners won’t have American Family in their state.
• Online Resources and Tools: They may not be as useful as at other companies.

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#10 – Travelers: Best for 24/7 Support

Pros

• 24/7 Support: Travelers offers constant support with customers’ commercial liability insurance. Learn more in our Travelers review.
• Financial Stability: Your policy will be backed by a company with excellent finances.
• Coverage Options: Travelers offers more than just liability insurance for commercial policies.

Cons

• Customer Reviews: Customer service could use improvement at Travelers.
• Claims Processing: Some reviewers have commented on slower claims processing times.

General Liability Insurance Defined

The general liability (GL) insurance meaning and how it applies to businesses shouldn’t be confused with liability auto insurance coverage. While both pay for damages and injuries caused to another party, the general liability insurance definition only applies to businesses and business owners.

Why does a business need general liability insurance coverage? This policy protects you if someone gets injured or dies on your business property or if someone gets hit by a company vehicle. It also protects against damages caused by your business products or services.

The policy also protects your business if customers, clients, or other business entities sue you.

However, the definition of general liability coverage doesn’t include your own personal or business property or any electronic or digital property. The policy also won’t cover employee injuries — businesses need business insurance and worker’s compensation policies for that coverage.

Typically, these are the three areas of general liability insurance coverage:

• Bodily Injury and Property Damage: Covers injuries, sickness, death, or tangible property damage caused by your business products or services.
• Personal and Advertising Injury: Protects you and your business from malicious prosecution, libel, slander, false eviction or imprisonment, or if you get sued.
• Medical Payments Coverage: Covers medical bills for accidental injuries on your business property regardless of fault.

General liability policies also provide minimum automobile liability insurance for business vehicles, but you’ll need to shop around for cheap commercial auto insurance quotes if you want full coverage while on the job.

Difference Between General Liability and Auto Liability

One of the biggest differences is that general liability insurance is only for businesses. However, auto liability is available to individuals and businesses. Business owners also don’t need a separate commercial auto liability policy if they cover their business vehicles with general liability.

Additionally, the law doesn’t require general liability insurance, whereas nearly every U.S. state requires auto liability coverage for its drivers.

So, business owners must buy enough coverage to meet their state’s minimum car insurance requirements if they don’t purchase general liability coverage.

Finally, auto liability coverage is limited to auto collisions and only covers damages you cause to another driver or pedestrians in a car accident. General liability covers injuries or deaths on your business property or those caused by your products and services.

Difference Between General Liability and Business Insurance

Like auto liability, general liability coverage is limited and doesn’t apply to your business property. For example, you can’t file a claim with your general liability insurance if your business gets robbed, vandalized, or damaged. So, you need business insurance to protect your tangible and digital property in case of a loss.

Business insurance — or a business owner’s policy (BOP) — can provide income replacement, data loss restoration, and faulty equipment coverage, and additional protections against dishonest employees.

Business insurance provides the same liability coverage as a general policy, and it extends to your own property, including the building your business operates in and any company equipment.

Another big difference between general liability and business insurance is that BOP doesn’t offer the same auto liability protection. Some insurers provide BOP riders with commercial vehicle coverage, but you’ll incur higher rates.

Cost of Commercial General Liability Insurance

General liability insurance rates vary based on the business type and its location. Business size also impacts your rates, with bigger companies often paying higher rates.

Commercial General Liability Insurance Monthly Rates by Coverage Level & Provider

For example, the more employees and commercial vehicles you have, the more likely your business will file a claim. Personal variables also affect your rates. If you have a history of filing insurance claims, you may have difficulty finding affordable general liability insurance quotes. However, if you qualify for auto insurance discounts, you may find rates cheaper.

On average, general liability insurance costs $50 per month for $2 million in coverage. Most insurance companies offer general liability limits of $1 million per incident but no more than $2 million per year. If you make additional claims or exceed policy limits, your insurance rates will rise at the next renewal.

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Who Should Purchase Commercial General Liability

It’s in the best interest of every business owner to consider general liability insurance. This coverage type will protect you from paying out of pocket if you or your business gets sued for bodily injury or property damage, whether you are driving commercial trucks or vans (learn more: Does auto insurance pay over the limit of bodily injury to settle lawsuits?).

If you’re unsure if you need general liability coverage, ask yourself the following questions:

• Is my business open to the public?
• Do I make deliveries?
• Have I hired temporary or part-time employees?
• Do I create advertising materials for my business?
• Do I use social media professionally for my business?

If you answered yes to one or more of the questions above, it’s a good idea to compare general liability insurance quotes and find a policy soon. You can get quotes directly from Progressive and other companies or use a quote comparison tool.

If you don’t get quotes and purchase insurance, you risk paying legal settlements, lawyer fees, and more out of pocket.

Finding the Best Commerical General Liability Coverage

General liability and auto liability don’t provide the same kind of coverage, though general liability can cover vehicles you use for your business. However, the main difference between the two policies is that auto liability coverage is limited to auto collisions, and general liability provides broader protections for business owners.

When do you need business auto coverage? If you have business vehicles and choose not to list them on your general liability policy, you’ll need to buy commercial auto coverage. Some companies may also offer a business add-on to your personal auto policy, but this feature isn’t available in every state.

When you know what kind of business and commercial auto insurance you need, you can start exploring your options for general liability coverage.

Start by comparing quotes from local insurance companies to see which offers the best rates in your area. To see which coverages fit your budget, you should also compare commercial auto and general liability quotes side-by-side. Compare rates now with our free quote tool.

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