With nearly a million small businesses operating in New Jersey, finding the right insurance coverage is key. The Garden State’s unique challenges and threats, such as increased risk of flood damage, require tailored insurance policies that differ from those in other states. To simplify this process, we evaluated 22 leading small business insurance companies, identifying the top five options for New Jersey business owners. These were chosen based on available coverage, industry specialties, customer service, and financial stability.
The Top Small Business Insurers in New Jersey of 2024
1. Best Overall: Nationwide
2. Best for Landlords: The Hartford
3. Best for Commercial Auto: Allstate
4. Best for Flood Insurance: Philadelphia Insurance Companies
5. Best for Independent Contractors: CoverHound
*Last updated February 16, 2024
New Jersey small businesses employ 1.9 million employees, making up nearly half of the state’s workforce. The top five industries within the state are professional services, real estate, transportation, construction, and healthcare. Regardless of whether you’re an independent contractor or employ dozens of employees, you’re likely to need one or more business insurance products.
Why These Companies Made Our List
Nationwide is an industry leader since 1925, selling personal and commercial insurance policies through over 11,000 independent insurance agents nationwide. The company offers a variety of insurance products that can benefit New Jersey business owners, including general liability and workers’ compensation insurance. With its A (Excellent) AM Best Rating, stellar customer service, and various small business products, it’s our top pick overall.
The Hartford, operating since 1810 and serving over one million small businesses, is the best for landlords. It offers specialized products for specific industries, such as shipping or real estate, and has an A+ (Superior) AM Best Rating.
For commercial auto coverage, Allstate stands out. Launched in 1931, it’s the ninth-largest commercial auto insurer based on direct premiums written. Considering that transportation and warehousing are some of the biggest industries in New Jersey, Allstate’s comprehensive auto insurance options are a major asset to Garden State businesses.
Given the growing risk of flood damage in New Jersey, Philadelphia Insurance Companies is our top pick for flood coverage. Established in 1962, it offers flood insurance to protect commercial buildings and their contents, including business interruption coverage.
Finally, for independent contractors and freelancers, CoverHound is the best choice. It’s an insurance marketplace that allows you to get quotes from multiple insurance companies at once, offering a variety of business insurance products, including professional liability and cyber risk coverage.
Choosing the Right Small Business Insurance in New Jersey
Choosing the right insurance for your small business in New Jersey requires careful consideration. You need to understand the risks your business faces, whether you have employees, and whether clients visit your business in person. Keep in mind that all employers with workers must maintain workers’ compensation insurance, and business owners or owners of rental units must maintain at least $500,000 in liability insurance for bodily injuries or deaths.
By considering these factors and exploring your options with the top insurers we’ve identified, you can secure the best insurance coverage for your New Jersey small business. For more information, visit the Insurance Information Institute.
