MoneyGeek evaluated various factors to determine the best general liability insurance in California. Our analysis included affordability for limited liability companies (LLCs), affordability for sole proprietors, customer satisfaction, financial stability and the online quote process. Thimble is the best and cheapest general liability insurance provider in California, offering highly competitive rates. For sole proprietors with no employees, Thimble provides the cheapest monthly premiums at $22 on average, while rates for LLCs with 20 employees are approximately $45 per month.
Best General Liability Insurance in California (2024)
Updated: October 29, 2024
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Best General LiabilityCaliforniaBest General Liability Insurance in California
Best Overall - Thimble
Cheapest - Thimble
Best for Employers - Thimble
Best for Sole Proprietors - biBERK
Why Trust MoneyGeek? We collected 1,229 general liability insurance quotes and analyzed cost information alongside customer satisfaction and financial stability reports to determine the best general liability insurance companies for small businesses in California.
Coverage costs and company information for general liability insurance providers in California were last updated in 2023.
1,229Quotes Analyzed
6 Companies Compared
50 Zip Codes
Best Overall General Liability Insurance in California
Thimble is the best overall company for general liability insurance in California, earning a MoneyGeek score of 94 out of 100. You can compare the MoneyGeek scores and pricing for all the companies we evaluated in the table below.
How was this MoneyGeek score calculated?
MoneyGeek used the following weights to rank the best general liability insurance in California:
- Affordability for LLCs: 30%
- Affordability for sole proprietors: 30%
- Customer satisfaction: 20%
- Financial stability: 15%
- Online quote process: 5%
MoneyGeek used two business profiles to gather general liability quotes:
- An LLC with five years in business, 20 employees, $5 million in annual revenue and $1,250,000 in annual payroll costs.
- A sole proprietorship with five years in business, no employees, $500,000 in annual revenue and no payroll costs.
| Thimble | 94 | $22 | $45 |
| Hiscox | 90 | $29 | $170 |
| Next | 90 | $25 | $35 |
| biBERK | 89 | $23 | No Data |
| Nationwide | 84 | $42 | $328 |
| The Hartford | 83 | $42 | $397 |
Best OverallScore: 94
5/5LLC Affordability
5/5Sole Proprietor Affordability
2/5Customer Satisfaction
3/5Financial Stability
5/5Online Quote Process
PROS
Offers fast quotes
Has the most affordable rates for sole proprietors
CONS
Has more customer complaints on average
Company Highlights
Thimble offers the best general liability insurance in California. The company excels in providing quick quotes, with a remarkable response time of just 28 seconds. It also offers highly competitive rates, particularly for sole proprietors, with the cheapest monthly premiums at $22. For LLCs, rates are $45 per month, ranking second in this category.
Cheapest General Liability Insurance in California
Thimble is the cheapest insurance provider in California, based on our analysis. For sole proprietors, premiums cost an average of $22 per month, while the average cost for LLCs is $45 per month.
Our rankings were determined by an affordability score that combines the monthly costs for sole proprietors and LLCs, with both categories weighted equally at 50%. The company ranked as the cheapest option overall may not have the most affordable rates for sole proprietors and LLCs individually.
How was this MoneyGeek score calculated?
MoneyGeek used the following weights to find the cheapest general liability insurance in California:
- Affordability for LLCs: 50%
- Affordability for sole proprietors: 50%
CheapestScore: 100
5/5LLC Affordability
5/5Sole Proprietor Affordability
2/5Customer Satisfaction
3/5Financial Stability
5/5Online Quote Process
PROS
Has the lowest rates for sole proprietors
Has the second most affordable rates for LLCs
Strong financial strength rating according to AM Best
CONS
Customer satisfaction can be improved
Company Highlights
Thimble stands out as the best option for businesses seeking the cheapest general liability insurance in California. It offers the lowest rates for sole proprietors at an average of $22 per month. Additionally, Thimble provides the second most affordable rates for LLCs, with premiums averaging $45 per month. These competitive rates make Thimble an attractive choice for businesses looking to minimize their insurance cost.
Supporting Thimble's position as the best company is its A+ financial strength rating. This ensures that Thimble has the necessary resources to fulfill policyholders' claims and provide reliable coverage.
Best General Liability Insurance for Employers in California
Thimble is the top-ranked company for employers, with a MoneyGeek score of 94 out of 100. These rankings are based on the average monthly rate for LLCs with 20 employees.
Thimble charges an average monthly cost of $45 for LLCs. However, businesses with fewer than 20 employees can expect to pay less than the average cost mentioned, while those with more employees can anticipate higher premiums.
How was this MoneyGeek score calculated?
MoneyGeek used the following weights to find the best general liability insurance for employers in California:
- Affordability for LLCs: 60%
- Customer satisfaction: 20%
- Financial stability: 15%
- Online quote process: 5%
Best for EmployersScore: 94
5/5LLC Affordability
2/5Customer Satisfaction
3/5Financial Stability
5/5Online Quote Process
PROS
Offers fast online quotes
High financial strength rating
Affordable monthly rates for LLCs
CONS
Poor customer satisfaction ratings
Company Highlights
Thimble is MoneyGeek’s top-rated provider for employers. It provides a seamless user experience by generating fast online quotes in an average of 31 seconds. It also boasts a high financial strength rating of A+, showing that it has the necessary resources to pay out claims.
This insurer offers affordable monthly rates for LLCs at $45 per month, but it received lower customer satisfaction ratings compared to other providers.
Best General Liability Insurance for Sole Proprietors in California
biBERK is our top-ranked company for sole proprietors in California, with a MoneyGeek score of 97 out of 100. These rankings are based on the average rates for sole proprietors with no employees. biBERK offers affordable rates for sole proprietors, with an average monthly cost of $23. Costs may increase for sole proprietors in riskier industries, including construction.
How was this MoneyGeek score calculated?
MoneyGeek used the following weights to find the best general liability insurance for sole proprietors in California:
- Affordability for sole proprietors: 60%
- Customer satisfaction: 20%
- Financial stability: 15%
- Online quote process: 5%
Best for Sole ProprietorsScore: 97
5/5Sole Proprietor Affordability
4/5Customer Satisfaction
5/5Financial Stability
3/5Online Quote Process
PROS
A++ AM Best rating
Second cheapest rates for sole proprietors
Fewer customer complaints than average
CONS
Slower quote process
Company Highlights
biBERK's strong financial rating, competitive rates and positive customer feedback make it the best choice for sole proprietors in California. biBERK holds an impressive A++ AM Best rating, indicating its reliability as an insurer in handling claims. It also offers highly competitive rates for sole proprietors, with an average monthly cost of $23. biBERK also receives fewer customer complaints than the industry average, reflecting its commitment to providing satisfactory service.
Note that getting an online quote from biBERK may take some time, with an average response time of two minutes and five seconds.
Do You Need General Liability Insurance in California?
Purchasing general liability insurance in California offers protection against risks, even if it's not legally required for basic operation like other types of business insurance. In the event of a lawsuit, it protects businesses from claims related to bodily injury, property damage, personal injury and advertising injury. General liability insurance might also be required for obtaining licenses or winning contracts in certain industries.
In California, workers' compensation insurance is mandatory for businesses with any number of employees, and it provides coverage for work-related injuries or illnesses. In terms of commercial auto insurance requirements, this state mandates minimum coverage of $15,000 per person, $30,000 per accident for bodily injury and $5,000 for property damage.
SMALL BUSINESS RESOURCES IN CALIFORNIA
The California Office of the Small Business Advocate (CalOSBA) supports California small businesses by providing crucial training and consulting. It helps navigate resources and legal regulations, advocating for equitable access to capital through grants.
How Much Is General Liability Insurance in California?
In California, the average monthly cost of general liability insurance is $195 for LLCs and $30 for sole proprietors. We set policy limits of a $2 million aggregate limit and a $1 million occurrence limit with a $0 deductible.
The aggregate limit of $2 million refers to the maximum amount the insurance company will pay for all claims during the policy period. The occurrence limit of $1 million specifies the maximum amount the insurance company will pay for each individual claim. The deductible is the amount the business owner is responsible for paying out of pocket before the insurance coverage kicks in to pay for a claim.
Factors That Impact General Liability Insurance Costs in California
Premiums for general liability insurance vary for each business based on a few factors.
Policy limits
Opting for higher coverage limits provides greater protection by increasing the potential payout from the insurer in the event of a claim, but increased limits typically lead to pricier insurance premiums.
Number of employees and payroll costs
Businesses with more employees or higher payroll costs are exposed to increased risks, which can raise premiums. For example, our data shows that California LLCs with 20 employees pay around $165 more per month compared to sole proprietors.
Business location
Riskier locations, such as cities prone to natural disasters or those with high crime rates, tend to have higher insurance premiums. As a result, statewide averages may vary depending on your city.
Claims history
Having previous claims can indicate a higher risk of future claims, leading to increased premiums. Insurance companies assess the claims history of a business to determine the level of risk involved and adjust premiums accordingly.
Industry
High-risk industries, such as construction, tend to have higher insurance premiums due to the increased likelihood of accidents. You can use the table below to compare the average cost of general liability insurance for cleaning businesses, software development companies and general contractors in California.
| Cleaning | $85 | $2,513 |
| Software Development | $30 | $195 |
| General Contractor | $184 | $3,504 |
Frequently Asked Questions About General Liability Insurance in California
To help you choose the best general liability insurance for your California business, we’ve answered some frequently asked questions about this type of coverage.
Which company has the best general liability insurance in California?
Thimble offers the best general liability insurance in California, with quick online quotes and competitive rates. Keep in mind that the ideal general liability insurance for your business depends on variables like your company’s size, employee count and specific coverage needs.
Which company has the cheapest general liability insurance in California?
Thimble is the most affordable option, with the lowest rates of $22 per month for sole proprietors and $45 per month for LLCs. Thimble also holds an A+ financial strength rating. We advise that readers evaluate their company’s individual circumstances and requirements when comparing rates.
What does general liability insurance cover in California?
General liability insurance in California provides coverage for bodily injury, property damage and advertising injury. It does not cover professional errors or intentional acts.
Does California require businesses to have general liability insurance?
General liability insurance is not legally required at the state level in California.
About Melissa Wylie
Melissa Wylie is the Content and SEO Manager at MoneyGeek, with nearly a decade of editorial experience and six years of work in financial content focused on small businesses. She previously held SEO positions at Bankrate and LendingTree, with bylines on ValuePenguin and MagnifyMoney.
Wylie has a journalism degree from the University of North Texas. Her strong foundation in journalism helps her craft content that simplifies complex financial topics to help everyone feel confident when making decisions with their money.