Find the Best Business Insurance Options in Massachusetts
If you run a business in Massachusetts, you'll need to make sure it's equipped with the right business insurance policy. Without coverage, your business is vulnerable to huge, unrecoverable financial losses caused by a number of threats. From severe storms to employee lawsuits and beyond, your business needs protection against all kinds of disasters.
Massachusetts currently has about 669,224 small businesses that each need a policy of their own. Additionally, Massachusetts' 1.5 million small business employees need to be protected by an employer's workers' compensation insurance. An independent insurance agent in Massachusetts can help you find the right kind of business insurance for your business, no matter its size. Up first, though, here's an extensive breakdown of business insurance options and requirements in Massachusetts.
Best Business Insurance Companies in Massachusetts
Business insurance is sold by dozens of carriers in Massachusetts, but not all policies and coverage are created equal. When you're ready to protect your business, you'll want to start with the best available. So we've put together this list of just a few of our picks for the top insurance companies in Massachusetts for your convenience.
- National General Insurance: National General Insurance is a longstanding carrier and offers a wide selection of products, including small business insurance. The insurance company offers 24/7 claims reporting services for policyholders and has outstanding ratings from both AM Best and the Better Business Bureau (BBB).
- Plymouth Rock Assurance: Plymouth Rock Assurance offers quality business insurance along with its other products. The carrier has excellent ratings from both AM Best and the BBB. Plymouth Rock Assurance also offers 24/7 claims reporting services for its policyholders and is known for its affordable rates and discounts.
- Nationwide: Nationwide offers a large catalog of coverages in addition to its business insurance products. The carrier also has superb ratings by both AM Best and the Better Business Bureau (BBB) and offers 24/7 claims reporting for policyholders.
- Progressive: Progressive offers many types of insurance coverages, including business insurance. The insurance company has outstanding financial strength and offers 24/7/365 customer service. Progressive is also known for offering many discount options and affordable rates overall.
A Massachusetts independent insurance agent can help you find the business insurance you're looking for from one of the best insurance companies in the state.
Massachusetts Business Insurance Requirements
All businesses in Massachusetts must offer workers' compensation coverage to protect employees, by state law. This coverage is the only kind of business insurance mandated by law, but most businesses will want to at least consider buffing up their insurance policies with additional coverages. A business of any size needs protection for its property and inventory in the form of commercial property insurance. Also, any business with vehicles needs to have commercial auto insurance to protect against accident-related lawsuits and more.
State-required business insurance in Massachusetts:
Optional business insurance coverages in Massachusetts include:
- Cyber liability insurance
- Commercial general liability insurance
- Commercial property insurance
- Business income insurance
- Professional liability insurance
- Commercial auto insurance
A Massachusetts independent insurance agent can help you find all the workers' comp and other business insurance coverages you need for your unique company.
What Business Insurance Covers in Massachusetts
A business insurance policy in Massachusetts will cover any aspect of your business that you purchase specific coverage for. An ideal business insurance policy will consider your company's property, vehicles, employees, income, cyber risks, etc.
Any business should at least discuss getting business income insurance with an independent insurance agent so they can get reimbursed for lost income during a temporary closure after a covered disaster like a fire. You'll also want to discuss getting the coverage you need for any company vehicles in the form of commercial auto insurance. Make sure to consider all aspects of your business when assembling your business insurance policy in Massachusetts.
Liability Coverage Options for Small Businesses in Massachusetts
Liability coverage for small businesses in Massachusetts is crucial. Without this essential coverage, your business is vulnerable to the cost of lawsuits from customers, guests, and other third parties. The most common types of liability coverage for small businesses in Massachusetts are:
- Commercial general liability insurance: Reimburses financial losses caused by third-party lawsuits with claims of personal property damage or bodily injury caused by your business.
- Professional liability insurance: Reimburses legal costs including attorney and court fees if your business gets sued for claims of improper advice or services performed in such a way that caused injury or loss to a customer or other third party.
- Cyber liability insurance: Reimburses financial losses related to data breaches and other cyber threats that cause exposure, distribution, etc., of sensitive information or data like payroll or personal records, stored payment methods, etc.
A Massachusetts independent insurance agent will help you get your business equipped with all the essential liability coverage it needs to be protected against lawsuit costs in several forms.
Property Coverage Options for Small Businesses in Massachusetts
Commercial property insurance is critical to protect your business's physical office space or storefront against numerous threats. This coverage is also essential if you have a lot of inventory or inventory that would be expensive to replace out of pocket.
- Commercial property insurance: Reimburses financial losses caused by theft or vandalism, and other threats that can damage or destroy business property, including buildings and inventory.
A Massachusetts independent insurance agent can help you find all the commercial property insurance your unique business needs.
Other Insurance Options for Small Business Owners in Massachusetts
There are still other protections your business may need. Consider these other insurance options for your small business in Massachusetts:
- Business income insurance: Reimburses lost income caused by temporary business closures following covered disasters, such as fire damage.
- Commercial auto insurance: Reimburses financial losses related to company vehicles, including lawsuits after accidents, theft or vandalism, and more.
A Massachusetts independent insurance agent will make sure your business insurance policy includes all the additional coverages necessary for your specific company.
Average Cost of Business Insurance in Massachusetts
In Massachusetts, the average cost of business insurance will vary depending on many factors, including your policy's coverage limits, the type of coverage you select, and more. Your business's exact location can also impact your rates, so you can expect to pay more for your coverage if you're in an area with an increased risk of property crime or weather damage. Larger businesses also tend to pay more for coverage than smaller ones. Further, your business's niche and specific operations and risks will impact your coverage rates. If your business is in a naturally risky industry, like construction, you'll pay more for coverage than if your business is relatively safe and only sells, say, textiles.
National Business Insurance Stats
Number of businesses in the US: 30,819,176
Burglary rate per 1,000 residents in the US: 3.76
Auto theft rate per 1,000 vehicles in the US: 2.29
| City | No. of businesses | Burglaries / 1,000 people | Auto thefts / 1,000 cars |
| Acton | 2,672 | 0.55 | 0.13 |
| Amherst | 260 | 1.39 | 0.38 |
| Boston | 59,268 | 2.44 | 1.66 |
| Braintree | 3,601 | 1.4 | 0.46 |
| Dartmouth | 2,963 | 1.18 | 0.53 |
| Fall River | 5,214 | 4.63 | 1.83 |
| Fitchburg | 2,611 | 2.31 | 1.11 |
| Framingham | 1,095 | 2.16 | 0.45 |
| Gloucester | 3,907 | 0.69 | 0.43 |
| Hanover | 1,871 | 0.28 | 0.07 |
| Haverhill | 4,361 | 2.8 | 1.39 |
| Holyoke | 2,450 | 5.3 | 2.41 |
| Mansfield | 2,260 | 0.63 | 0.33 |
| Medford | 5,138 | 0.89 | 0.57 |
How Does Your Massachusetts City Measure Up?
Property insurance: In cities where property crimes are more common, commercial insurance rates are typically higher. Not having adequate insurance coverage could lead to large financial losses for a business after incidents like severe weather, vandalism, or theft.
Commercial auto insurance: Auto theft is pretty rare in Hanover, which can lead to lower rates on commercial auto insurance. In cities where vehicle theft is common, rates tend to be much higher.
Workers' compensation: Workers’ compensation insurance pays for medical bills and lost wages for workers who get injured on the job. It's required for most Massachusetts businesses with employees. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary so significantly depending on your industry.
Based on a $100,000 annual payroll, here's what the workers' comp costs for the two leading industries in Hanover, MA look like:
- Construction industry: $6,770/year
- Finance and insurance industry: $700/year
Property insurance: In Haverhill, the greatest risks to business property include severe weather, theft, and vandalism. The local crime rate plays a big role in determining your commercial property insurance rates.
Commercial auto insurance: Whether your business owns a single company car or a whole fleet of delivery trucks, you need commercial auto insurance. Your rates are based on several factors, including the local auto theft rate. In Haverhill, vehicle theft is an ongoing problem, which could cause an increase in premiums.
Workers' compensation: Workers’ compensation insurance pays for medical bills and lost wages for workers who get injured on the job. It's required for most Massachusetts businesses with employees. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary so significantly depending on your industry.
Based on a $100,000 annual payroll, here's what the workers' comp costs for the two leading industries in Haverhill, MA look like:
- Health care and social assistance industry: $280/year
- Manufacturing industry: $1,650/year
Property insurance: Holyoke is generally a safe place to live and work, but occasional theft and vandalism are reported by local businesses. In high-crime areas, rates on commercial property insurance are generally higher.
Commercial auto insurance: Commercial auto insurance costs are directly related to the risk of collisions and vehicle theft. In cities where auto theft is more common, insurance premiums tend to be higher.
Workers' compensation: Workers’ compensation insurance pays for medical bills and lost wages for workers who get injured on the job. It's required for most Massachusetts businesses with employees. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary so significantly depending on your industry.
Based on a $100,000 annual payroll, here's what the workers' comp costs for the two leading industries in Holyoke, MA look like:
- Manufacturing industry: $1,650/year
- Retail trade industry: $1,070/year
Property insurance: Whether it's vandalism, theft, or arson, property crimes can cause major revenue loss for businesses. In Leominster, crime rates vary from one neighborhood to the next, but if your business is located in a high-crime area, you could see an increase in insurance rates.
Commercial auto insurance: Auto theft can quickly become a financial nightmare for businesses that don't have adequate insurance. Your commercial auto insurance safeguards against this type of loss, protecting your assets and revenue. Coverage rates will vary depending on the risk of collisions and auto thefts in your area.
Workers' compensation: Workers’ compensation insurance pays for medical bills and lost wages for workers who get injured on the job. It's required for most Massachusetts businesses with employees. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary so significantly depending on your industry.
Based on a $100,000 annual payroll, here's what the workers' comp costs for the two leading industries in Leominster, MA look like:
- Manufacturing industry: $1,650/year
- Retail trade industry: $1,070/year
Property insurance: Property crimes like vandalism and theft are expensive problems for businesses that don't have adequate insurance. The crime rate in Malden can influence how much you pay for commercial property insurance, with premiums increasing in areas with more frequent crime.
Commercial auto insurance: If your business relies on company vehicles for daily operations, auto theft is a major concern to keep in mind. In areas where auto theft is common, business insurance rates might be slightly higher.
Workers' compensation: Workers’ compensation insurance pays for medical bills and lost wages for workers who get injured on the job. It's required for most Massachusetts businesses with employees. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary so significantly depending on your industry.
Based on a $100,000 annual payroll, here's what the workers' comp costs for the two leading industries in Malden, MA look like:
- Health care and social assistance industry: $280/year
- Accommodations and food services industry: $1,090/year
Property insurance: Local crime rates have a big impact on your business insurance rates in Milton. In areas where theft and vandalism are more frequent, businesses tend to pay more for property insurance.
Commercial auto insurance: If your business owns a vehicle, you need commercial auto insurance to protect against collisions, liability, and auto theft. Rates vary depending on how many vehicles you need to insure, but local crime rates also play a big role. In cities where the risk is high for accidents and auto theft, companies pay more for commercial auto insurance.
Workers' compensation: Workers’ compensation insurance pays for medical bills and lost wages for workers who get injured on the job. It's required for most Massachusetts businesses with employees. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary so significantly depending on your industry.
Based on a $100,000 annual payroll, here's what the workers' comp costs for the two leading industries in Milton, MA look like:
- Health care and social assistance industry: $280/year
- Finance and insurance industry: $700/year
Property insurance: Severe weather events, theft, and vandalism are all risks you will encounter as a business owner in Revere. In areas where property crimes are more common, businesses see a spike in commercial insurance rates.
Commercial auto insurance: Company-owned vehicles have to be covered by commercial auto insurance. The risk of auto theft in your city influences your rates for this coverage. Premiums in Revere tend to be higher because auto theft is more common than in other parts of Massachusetts.
Workers' compensation: Workers’ compensation insurance pays for medical bills and lost wages for workers who get injured on the job. It's required for most Massachusetts businesses with employees. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary so significantly depending on your industry.
Based on a $100,000 annual payroll, here's what the workers' comp costs for the two leading industries in Revere, MA look like:
- Accommodations and food services industry: $1,090/year
- Transportation and warehousing industry: $9,770/year
Property insurance: The property crime rates are statistically lower in Stoughton than in other areas of the state. With a lower risk for theft, arson, and vandalism, your business could see some significant savings on your commercial property insurance rates.
Commercial auto insurance: Auto thefts are rare in Stoughton, which could bring down rates on commercial auto insurance. If your company vehicle gets stolen, you can rely on your insurance policy to compensate your business for the value of the stolen car.
Workers' compensation: Workers’ compensation insurance pays for medical bills and lost wages for workers who get injured on the job. It's required for most Massachusetts businesses with employees. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary so significantly depending on your industry.
Based on a $100,000 annual payroll, here's what the workers' comp costs for the two leading industries in Stoughton, MA look like:
- Construction industry: $6,770/year
- Professional, scientific, and technical services industry: $700/year
Property insurance: One of the perks of living in Wakefield is the low crime rate. Not only does this reduce the chances that your business will be robbed or vandalized, but it could also lower your rates on commercial property insurance.
Commercial auto insurance: Commercial auto insurance is required for all company-owned vehicles in Wakefield. Your rates depend on how many vehicles you need to insure, and it can also be influenced by the auto theft rate in your area.
Workers' compensation: Workers’ compensation insurance pays for medical bills and lost wages for workers who get injured on the job. It's required for most Massachusetts businesses with employees. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary so significantly depending on your industry.
Based on a $100,000 annual payroll, here's what the workers' comp costs for the two leading industries in Wakefield, MA look like:
- Manufacturing industry: $1,650/year
- Retail trade industry: $1,070/year
Property insurance: In areas where property crime is more common, commercial property insurance rates tend to be higher. Your West Springfield business insurance will protect against vandalism, theft, and arson, covering the cost of the damage and saving your business money.
Commercial auto insurance: Company-owned vehicles must be covered with commercial auto insurance, and policies vary from one business to the next. Your premium will depend on the number of vehicles you need to insure, the types of vehicles your company uses, and the coverage level you want.
Workers' compensation: Workers’ compensation insurance pays for medical bills and lost wages for workers who get injured on the job. It's required for most Massachusetts businesses with employees. Every workplace has unique risks and hazards for its workers, which is why workers' compensation rates vary so significantly depending on your industry.
Based on a $100,000 annual payroll, here's what the workers' comp costs for the two leading industries in West Springfield, MA look like:
- Construction industry: $6,770/year
- Public administration industry: $700/year
Massachusetts Business Insurance FAQ
Business insurance costs in Massachusetts aren't standard. Your policy's premiums will depend on a number of factors, including your business:
- Industry
- Operations and risks
- Number of employees
- Size and location
- Annual revenue and payroll
Businesses in Massachusetts must be equipped with workers' compensation if they have even one employee, by state law. Other forms of business insurance aren't mandated, but are extremely important to at least consider adding to a business insurance policy to prevent potential disastrous financial losses.
A business insurance policy in Massachusetts covers different aspects of your business, depending on the types of coverage you select. In general, you'll want to aim for a business insurance policy that includes coverage for your business's employees, vehicles, income, cyber risks, property, liability, and more.
Small business liability insurance in Massachusetts covers a business's risk of financial losses stemming from a lawsuit. If a third party like a customer sues your business for claims of personal property damage or bodily injury, this coverage can reimburse for attorney, court, settlement, and other legal fees.
Yes, small business health insurance plans are available through the Massachusetts Health Connector’s Business Express Program. If your business has 50 employees or fewer, it could qualify for this coverage. You can find out more information on the state's official website.
Our research found that the best small business insurance companies in Massachusetts are National General Insurance, Plymouth Rock Assurance, Nationwide, and Progressive. These companies were selected based on rates, coverages offered, customer service ratings, financial strength, and more.