The Sunshine State is booming. The U.S. Census Bureau reported that it had the second-highest rate of population growth in the country.
If you’re one of the three million small businesses in the state, that growth presents enormous opportunities. But to protect your company, you’ll likely need one or more small business insurance products to insure your business against damages or losses from hurricanes, floods, and accidents.
To help you find the necessary coverage, we identified the five best small business insurance companies in Florida based on their product options, financial stability and customer service (view full methodology).
The 5 best small business insurers in Florida for 2024
- Best Overall: Nationwide
- Best Commercial Auto: State Farm
- Best for Rental Property Coverage: The Hartford
- Best for Freelancers and Entrepreneurs: CoverHound
- Best for Flood Insurance: Assurant
*Last updated February 26, 2024
Businesses in Florida employ 3.6 million people; according to the Small Business Administration (SBA), that’s approximately 40% of Florida’s workforce. A variety of industries thrive within the state, including construction, tourism, healthcare and transportation.
Whether you’re an independent contractor or you run a business with several employees, here are five of the top insurers in the state (we’ve also have’ve also identified the best insurance companies for small businesses across the entire country):
Best Overall: Nationwide
About: Nationwide is a national insurer, and it’s been in operation since 1925. Since its inception, the company has expanded to sell commercial and personal lines of insurance, and it sells and services policies through a network of over 11,000 independent agents.
- AM Best Rating: A (Excellent)
- J.D. Power Customer Satisfaction Ranking: 1st out of 13 insurers
- Number of Small Business Products: 14
- Customer support: You can request quotes online, contact an independent agent or reach customer service by phone.
Our verdict
Nationwide is the best overall insurer because of its broad range of coverage options for multiple industries within Florida, including business owners’ policies (BOPs), commercial auto insurance and cyber liability coverage. It also has other services for business owners, such as telematics for commercial fleets or farm equipment.
Nationwide has an excellent rating for financial stability, so it should be able to honor its policies and pay out claims in the future, and was the top-ranked company for customer satisfaction in the 2023 J.D. Power U.S. Small Commercial Insurance Study.
Best for Commercial Auto Insurance: State Farm
About: State Farm is one of the largest insurers in the country. According to the Insurance Information Institute, it’s the top writer of property and casualty insurance based on direct premiums written. State Farm was founded in 1922, and it sells policies online and through its network of agents.
State Farm sells multiple small business insurance products, including options for commercial vehicles.
- AM Best Rating: A++ (Superior)
- J.D. Power Customer Satisfaction Ranking: 2nd out of 13 issuers
- Number of Small Business Insurance Products: 14
- Customer support: You can request quotes from one of State Farm’s 19,000 agents, or you can reach customer support by phone or live chat.
Our verdict
When it comes to uninsured drivers, Florida is one of the worst states in the country. The Insurance Research Council reported that approximately 20% of drivers in the state are uninsured. As a business owner, that means if your vehicle is in an accident, there’s a significant risk you’ll be on the hook for the entire cost of repairing or replacing your vehicle.
Getting the appropriate commercial auto insurance policy provides critical protection. State Farm insures multiple vehicle types, including trucks, vans and farm vehicles, and you can add uninsured and underinsured motorist coverage to your policy. This coverage pays for the injuries or damages that occur if you’re in an accident and the other person doesn’t have the necessary insurance.
Best for Landlord Insurance: The Hartford
About: The Hartford has been in operation for over 200 years, and it’s highly-rated for financial stability and strength. It sells both personal and commercial insurance policies, including specialized options for certain industries, such as real estate.
- AM Best Rating: A+ (Superior)
- J.D. Power Customer Satisfaction Ranking: 10th out of 13 issuers
- Number of Small Business Insurance Products: 17
- Customer support: You can request quotes for some products through The Hartford website, call customer support, or reach out to a local agent.
Our verdict
The Hartford is our choice as the best insurer in Florida for landlord insurance because it offers comprehensive coverage for owners of apartment buildings or rental units. In Florida, landlord insurance is a growing need as more people relocate to the state; Florida is one of the fastest-growing states in the country, and there is massive demand for housing and rentals.
The Hartford’s landlord insurance policies provide protection for the physical property, other structures that aren’t attached — such as sheds or garages — your personal property inside the home, including your appliances, and medical payments and premises liability insurance.
Best for Freelancers and Entrepreneurs: CoverHound
About: CoverHound is a relatively new insurance technology company. It’s not an issuer of insurance policies; instead, it’s a marketplace that connects its customers to policies from leading insurers like Nationwide, Chubb or Liberty Mutual. Through CoverHound, users can get quotes and purchase insurance for their small business.
- AM Best Rating: Not applicable.
- J.D. Power Customer Satisfaction Ranking: Not ranked.
- Number of Small Business Products: 13
- Customer support: You can get quotes and even purchase coverage online. If you need to reach customer support, you can reach CoverHound via phone or email.
Our verdict
Florida is one of the top states for entrepreneurs, so CoverHound is a good option for freelancers, independent contractors and entrepreneurs launching new businesses. CoverHound allows you to buy BOPs, workers’ compensation, commercial auto and other products online. Your coverage can begin in as little as 24 hours. For startup owners and independent contractors, CoverHound is a helpful tool to get affordable coverage quickly.
Best for Commercial Flood Insurance: Assurant
About: Initially launched in 1892, Assurant is a leading provider of personal and commercial insurance products. It operates in over 20 countries, and it has insurance options that can help businesses protect against damages or losses related to natural disasters, theft and other causes.
- AM Best Rating: A+ (Superior)
- J.D. Power Customer Satisfaction Rating: Not ranked.
- Number of Small Business Products: 9
- Customer support: Assurant doesn’t offer online quotes for its business products, but you can contact a local agent or call customer support for assistance.
Our verdict
Florida has experienced several major storms over past decade that severely damaged homes and businesses within the state, so Assurant is our choice as the leading provider of commercial flood insurance. Standard business insurance policies exclude damages related to flooding, including flooding that results from hurricane-related storm surges, so businesses will need to purchase a separate flood insurance policy.
Assurant sells policies through the National Flood Insurance Program, but it also sells private flood policies with higher coverage limits and optional add-ons, making it a good choice for those with pricey equipment or property to protect.
What to know about Small Business Insurance in Florida
To protect your Florida business, you’ll probably need one or more of the following business insurance products:
- Liability: Commercial liability insurance protects your business from legal expenses and losses related to injuries, professional mistakes or accidents.
- Property: Property damage insurance provides coverage for damages that may result from storms, fires or theft. These insurance policies can cover both the building your business operates in as well as the equipment and inventory.
- Business owners policy (BOP): A BOP is a suite of common small business insurance products, combining liability and property coverage in one policy.
- Commercial auto: If you transport passengers or physical goods, you’ll need to insure your vehicle with commercial auto insurance. Your policy must meet the state minimum liability requirements.
- Flood: Business property insurance policies exclude damages related to floods, so you’ll likely need to purchase a separate flood insurance policy to protect your building and other property.
- Worker’s compensation: Workers’ compensation is a form of insurance that provides for your employees if they are injured on the job.
In Florida, the only forms of small business insurance that are mandatory are workers’ compensation insurance and, if you own a business vehicle, commercial auto coverage.
How to choose Small Business Insurance in Florida
When thinking about what coverage you need and who to purchase coverage from, consider the following risks:
- Hurricanes: Florida is prone to hurricanes, and the damage from these storms can be significant. When shopping for a policy, make sure your coverage will protect you against storm-related damages, including wind damage.
- Flood damage: Standard business policies exclude flood damage — including damage from hurricane-related storm surges — so you may need to purchase a separate flood insurance policy, or you may be able to purchase flood insurance as an optional endorsement to an existing policy. Not all insurers sell flood insurance, so you may need to work with a different insurer than the issuer of your other business insurance coverage.
- Uninsured drivers: Florida has a high percentage of uninsured drivers, so you may need to add uninsured or underinsured motorist protection to your commercial auto policy to cover your business.
Frequently asked questions
How much does business insurance cost in Florida?
The cost of your premiums will depend on your coverage, policy limits, industry and company size. Typically, general liability policies in Florida cost $45 to $400 per month.
What are Florida’s business insurance requirements?
In Florida, all businesses with employees must have workers’ compensation insurance. And if your business involves the use of vehicles, you may also need commercial auto coverage.
What coverage is required for commercial vehicles in Florida?
In Florida, all vehicles must meet the minimum liability requirements:
- $10,000 in personal injury protection
- $10,000 in property damage liability
Taxis must have $125,000 per person of bodily injury insurance, up to $250,000 per accident, and $50,000 in property damage protection.
Our methodology
We identified the best small business insurance companies in Florida by evaluating insurers on the following factors:
- Financial strength: Financial strength indicates a company’s ability to honor its policies and pay out future claims. We looked for companies with AM Best ratings of A (Excellent) or higher.
- Availability: Many insurers have left Florida due to the increased risk of claims, so we narrowed our list based on the insurers that sell commercial products in Florida.
- Customer service: Companies that scored better than the industry average in the J.D. Power U.S. Small Commercial Insurance Study were given priority.
- Add-ons: In Florida, floods and hurricanes are major threats to businesses, so we looked for companies that sell coverages for those issues as standalone policies or optional add-ons.
