Nationwide is Iowa’s best general liability insurance provider in MoneyGeek’s analysis, with a score of 99 out of 100. However, The Hartford, NEXT, Thimble and Hiscox are also great options for general liability policies.
Best General Liability Insurance in Iowa
Updated: June 20, 2025
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Key Takeaways
Due to its balance of affordable rates and strong customer service, Nationwide is the top overall general liability insurance provider for LLCs in Iowa.
The cheapest general liability insurance for sole proprietors in Iowa is offered by Nationwide at $19 per month. For LLCs, Nationwide is the most affordable option at $37 a month.
General liability insurance costs in Iowa depend on your industry, and we found they can range from $27 to $1,626 per month on average.
Best Cheap General Liability Insurance in Iowa
| Nationwide | 99 | $19 | $37 |
| The Hartford | 94 | $33 | $52 |
| NEXT | 89 | $28 | $38 |
| Thimble | 88 | $24 | $58 |
| Hiscox | 83 | $32 | $96 |
*Rates were based on a $1,000,000 per occurrence and $2,000,000 aggregate limit for a software development company.
Nationwide: Best and Cheapest Overall
pros
Low rates for sole proprietors
Large coverage selection
Low customer claims frequency
cons
Limited coverage options
COMPANY HIGHLIGHTS
Nationwide earned our spot for the best overall and cheapest general liability insurance in Iowa, offering the lowest rates for both LLCs and sole proprietors at $37 and $19, respectively. The company also tied for first for the lowest claims ratio from the NAIC.
How Much Is General Liability Insurance in Iowa?
An average general liability insurance policy in Iowa typically costs around $27 per month for sole proprietors and $56 per month for LLCs. However, this only represents software development companies and the costs can vary widely by industry.
| Cleaning | $1,075 | $46 |
| General Contractor | $1,626 | $111 |
| Software Development | $56 | $27 |
*Rates are based on a $1,000,000 per occurrence and $2,000,000 aggregate coverage policy for general liability.
Factors That Impact General Liability Insurance Costs in Iowa
General liability insurance costs can fluctuate based on a number of different factors in Iowa. In the list below, you can see these factors and their impacts on your coverage costs:
Policy limits
Coverage limits can greatly influence insurance premiums. Opting for higher limits will raise costs, whereas choosing lower limits generally leads to more affordable premiums.
Number of employees and payroll costs
Businesses with a large workforce and high payroll expenses can expect an increase in general liability insurance costs. This trend is evident in our analysis of LLCs and sole proprietorships.
Business location
The location of a business can significantly affect insurance costs. Keep in mind that average rates can differ from one city to another within the same state, so it's important to consider these variations when assessing coverage needs.
Claims history
A record of multiple claims can make a business seem riskier to insurers, which can lead to higher premiums.
Industry
Industries with inherent risks, like construction, often incur higher general liability insurance expenses.
Iowa General Liability Insurance: Buyer's Guide
Business insurance is a complicated industry and can be difficult to navigate. So, to simplify your understanding of general liability insurance, we've created a short guide detailing how to get the best coverage, defining what it covers, listing requirements in Iowa, and explaining how much coverage you should consider getting.
How to Find the Best General Liability Insurance Company
To help ensure that you get the best small business insurance regardless of your industry, we've created a step-by-step guide to simplify your coverage search.
- 1
Define your coverage needs
Find out your liability risk by considering your industry, products or services, customer types, business size and market impact. To evaluate coverage options better, measure the frequency and costs of common claims in your industry.
- 2
Research average costs for your business
To understand how good of a deal you're getting from business insurance companies, you need to research average costs for your particular business. Knowing average expenses will give you a measure of whether a company is saving you money or not.
- 3
Consult similar businesses
Your business community is your greatest resource, and personal experience is more valuable than resources online. You'll likely be able to get better recommendations for your specific needs and an understanding of what claims are common within your industry.
- 4
Compare multiple options through different means
Comparing multiple companies allows you to determine the best option for your business. Choosing multiple means of comparison, like online comparison sites and brokers, will give you a more comprehensive view of pricing.
What Does General Liability Insurance Cover and How Does It Work?
General liability insurance coverage consists of two parts: per occurrence and aggregate limits. Per occurrence refers to the maximum a single claim can go up to, while the aggregate limit is the total coverage you can get per year. In terms of covered items, this type of policy includes the following:
Bodily injuries or property damage on business property
Legal fees for bodily injury or property damage that your company may be responsible for
Damages to leased or rented business property
Bodily injury or property damage caused by your product or service
Libel, slander, or reputational harm legal defense
Legal fees for copyright infringement accusations
Is General Liability Insurance Required in Iowa?
Like in most states, general liability insurance isn't expressly required by state law and instead varies by your industry. However, if you are looking to apply for a professional license, sign a contract with a larger company, or sign an office lease, some form of general liability insurance may be required. While not an exhaustive list, the following industries tend to fall into these categories:
- Medical
- Accounting
- Real estate
- Insurance
- Contracting
- Engineering
- Marketing
- Law
- Consulting
- Media/Communications
How Much General Liability Insurance Do I Need?
Most small businesses need a standard policy with $1 million of protection per occurrence and a $2 million limit per year. This usually covers most damages for various business types. However, your industry's risks and operation size might require higher coverage.
WHO MAY NEED MORE COVERAGE
Particular businesses like those in health care, building, or selling things face more risks. They often need more insurance to protect themselves. If this sounds like your business, or if you have lots of workers or customers, it's smart to look at getting more than the minimum coverage. That way, you can keep your business safe.
Best General Liability Insurance in Iowa: Bottom Line
Overall the best general liability insurance companies in Iowa are Nationwide, The Hartford, and NEXT. However, we recommend comparing around yourself and getting plenty of quotes to ensure you get the best deal possible.
General Liability Insurance in Iowa: FAQ
Below, we address frequently asked questions regarding general liability insurance in Iowa:
Which company has the best general liability insurance in Iowa?
MoneyGeek's leading choice for general liability insurance in Iowa is Nationwide, which earned an overall score of 99 out of 100. However, your ideal insurance depends on various details, including your business size, number of employees, and specific coverage requirements.
Which company has the cheapest general liability insurance in Iowa?
Nationwide offers the most affordable general liability insurance in Iowa for both business types. For sole proprietors, Nationwide provides coverage at $228 per year ($19 per month). For LLCs, Nationwide offers the cheapest rates at $444 per year ($37 per month).
Does Iowa require businesses to have general liability insurance?
Iowa does not require businesses to carry general liability insurance, but it's a good choice to protect your business from potential financial burdens due to liability claims.
How We Chose the Best General Liability Insurance Providers in Iowa
We broke down our scores into these categories and weights:
- LLC cost (55% of score)
- Sole proprietor cost (5% of score)
- Customer satisfaction (25% of score)
- Financial strength (10% of score)
- Quote process time (5% of score)
For all business insurance companies, we assumed software development industry LLCs with 20 employees. We based customer satisfaction and financial strength scores on NAIC and AM Best ratings. Quote process scores came from our MoneyGeek experts' personal experiences.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
Passionate about economics and insurance, he aims to promote transparency in financial topics and empower others to make confident money decisions.