Find the Best Business Insurance Options in Illinois
There are over 1.2 million small businesses in Illinois, which represent over 99 percent of the businesses in the state. Small businesses employ over 2.5 million people in Illinois, making small businesses essential to the state’s economy.
If you own a business in Illinois, no matter the size, how can you protect your assets from property losses and lawsuits? Business insurance provides the financial backup you need. An independent insurance agent can help you compare business insurance quotes in Illinois.
Best Business Insurance Companies in Illinois
There are numerous insurance companies that will sell you business insurance, and the following are some of the best business insurance companies in Illinois. They are highly rated for their mix of valuable coverage offerings and competitive pricing.
- Liberty Mutual: Liberty Mutual is headquartered in Boston, MA, and has been offering business insurance since 1912. Today the company offers a flexible, multiline range of coverages designed to meet the needs of any business, regardless of size or industry.
- Nationwide: Nationwide provides business insurance and other popular types of insurance coverage in Illinois. The company is headquartered in Columbus, OH, and is represented by independent insurance agents in 50 states, including Illinois.
- Progressive: Progressive is based in Ohio, but offers business insurance across all 50 states, including Illinois. Illinois business owners can look to Progressive for most of their business insurance needs.
- EMC Insurance Companies: EMC is in the top 60 business insurance companies United States. The company specializes in designing well-rounded insurance programs to protect the financial assets of many types of businesses and organizations.
- West Bend: West Bend is a relationship-based company with core values that emphasize excellence, integrity, and responsibility. The company offers highly-rated business insurance in Illinois.
An independent insurance agent in your area can help you learn more about these and other IL business insurance companies. A local agent can help you get competitive quotes for the coverage that fits your Illinois business insurance needs.
Illinois Business Insurance Requirements
Business insurance is a package of insurance policies covering your property and liability risks. Most types of business insurance are not required in Illinois. But if your business owns any vehicles, you likely have to buy commercial vehicle insurance that complies with the state’s financial responsibility laws.
In addition, any business in Illinois that has one employee or more is required by law to have workers’ compensation insurance, with few exceptions. Workers' compensation insurance helps injured workers pay for the costs of medical care and lost wages if they are injured on the job.
Your independent insurance agent can help you learn more about the requirements for commercial vehicle insurance and workers’ compensation insurance in Illinois.
What Business Insurance Covers in Illinois
A typical business insurance package in Illinois will include the following types of coverage, at a minimum:
- Commercial general liability (CGL) insurance: Protects your business from lawsuits related to bodily injury and property damage claims. It pays for medical expenses, legal fees, and financial settlements or judgments. Your CGL policy even covers personal injury claims such as libel and slander.
- Commercial property insurance: This covers damage to a building and its contents if damaged by a weather event, fire, theft, vandalism, and other covered perils.
- Business interruption coverage: Protects your earnings and pays certain expenses if your business cannot operate because of damage after a fire, hail, wind, equipment breakdown, or another covered event. If you are forced to close for a while to make repairs or rebuild your business, this coverage pays for rent, employee salaries, lost income, relocation fees, and more.
- Commercial auto insurance: Protects your business-owned cars and trucks from property damage and liability claims.
- Workers’ compensation insurance: Pays for medical expenses and a portion of an employee's lost wages after a work-related injury.
Your business insurance in Illinois may include additional policies that cover your unique risks.
Liability Coverage Options for Small Businesses in Illinois
Lawsuits against businesses are common. Whether a customer trips and falls in a store or a food manufacturer is responsible for sickening hundreds with tainted products, negligence claims can quickly destroy a business.
A commercial general liability (CGL) policy is a type of small business liability insurance that offers broad protection from lawsuits. It covers the injured party's medical expenses and any property damage you are responsible for. And it covers court costs, attorney fees, and even settlements or judgments that you must pay to injured parties.
A CGL policy does not cover every kind of liability risk. There are additional small business liability policies available for times when your CGL policy isn’t sufficient.
Talk to your independent insurance agent about why you might need other liability coverage options like commercial umbrella insurance, employment practices liability insurance, cyber liability insurance, professional liability insurance, or any other customized small business liability protection.
Property Coverage Options for Small Businesses in Illinois
Property losses can originate in a variety of ways and cause tremendous harm to your business. Here are the basic business property coverage options in Illinois:
Commercial property insurance
- Protects you when your commercial property is damaged by someone else or by some type of unforeseen event.
- You need business property insurance if you own your building or have tangible business assets (furniture, computers, fixtures, inventory, materials, tools, etc.).
- Repairs or replaces damaged or destroyed commercial property after damage due to fire, vandalism, smoke, theft, severe weather, and other causes of loss.
Business interruption insurance
- Usually included as part of a commercial property policy.
- Protects your earnings if your business is unable to operate because of damage after a fire, hail, wind, equipment breakdown, or some other covered event.
- If you’re forced to close your doors for a period of time in order to make repairs, this coverage pays for rent, employee salaries, lost income, relocation fees, and more.
A local independent insurance agent can help you get quotes for business property insurance in Illinois.
Other Insurance Options for Small Business Owners in Illinois
Your business insurance needs likely don’t end with basic property and liability coverage. Other insurance options for small business owners in Illinois include:
- Business owners policy (BOP): A package policy that includes commercial liability insurance, commercial property insurance, and business interruption insurance.
- Workers’ compensation insurance: Typically required for any business that has employees. It pays for lost income and medical expenses for employees who are injured on the job.
- Commercial vehicle insurance: Covers your vehicles and drivers in the event of an accident or other types of vehicle damage.
- Cyber liability insurance: Provides coverage in the event of a data breach involving your business.
- Employment practices liability insurance: Protects you if an employee sues you for discriminatory employment practices.
- Flood or hurricane insurance: Your basic commercial property policy does not cover flood or hurricane damage. Talk to your agent about flood and hurricane insurance if you live in an area that is prone to these events.
- Professional liability insurance: Protects you if a client claims you have been negligent in providing professional services.
- Commercial umbrella insurance: Provides excess liability coverage above and beyond the limits of your applicable underlying commercial liability policies.
This is not an exhaustive list of your business insurance options in Illinois. An independent insurance agent can make sure that all of your Illinois business insurance needs are met.
Average Cost of Business Insurance in Illinois
The average cost of business insurance in Illinois varies across businesses and industries. In general, business insurance costs depend on the size of your business, the nature of your business or industry, the number of employees you have, the amount and value of your commercial property, the location of your business, and a variety of other variables.
Depending on the level of risk you face, you’ll pay more or less than average for your insurance coverage. Some companies, for example, might be more susceptible to property losses from natural disasters, severe weather, or crime because of their location. This could lead to higher-than-average business insurance costs.
An independent business insurance agent can help you understand all of the risks you face and get quotes for affordable business insurance in Illinois.