Compare UK Business Insurance Quotes

What is business insurance?

Business insurance is a type of cover designed to protect businesses from unexpected financial losses. Running a business can be time-consuming and take a significant investment. Having the right policy in place for your business can reduce your risks should you face any unexpected claims or losses due to theft or damage.

What business insurance do I need?

There are many different types of insurance based on your business type and the industry you are in. The three main types of general business insurance most used to cover business owners include:

Public liability insurance

Public liability insurance protects your business from unexpected financial losses. This type of cover protects you in case of damages from injury, illness or disease contracted by a third party or member of the public (other than employees) and covers loss of or damage to their property caused by your business practices.

You’ll sometimes see this cover sold as business liability insurance.

Employers liability insurance

Employers’ liability insurance is compulsory for most businesses that employ one or more staff members. This cover helps protect your employees while at work and reinforces your health and safety procedures. If an employee is injured or becomes ill because of their job, they are entitled to claim compensation from the business if it can be proven that the employer was at fault.

If you do not take out employers’ liability cover, you could face a £2,500 fine for every day that you weren’t covered. You could also be fined up to £1,000 if you do not display your certificate. So it could be very costly if you don’t have the correct cover, which legally is a minimum of £5 million (GOV.UK).

Professional indemnity insurance

Professional indemnity insurance protects professionals, such as solicitors and architects, from legal actions by clients who believe they received bad or negligent advice or services resulting in financial losses. Many professional bodies require their members to hold this type of cover and in some industries it is compulsory. Anyone offering advice or consultancy services should seriously consider obtaining professional indemnity insurance.

Depending on the type of business you operate, you may wish to take out extra protection or choose a specialised policy for your industry.

What a policy may leave out

Every policy has exclusions, limits and conditions, and business.gov.uk says that anything not mentioned in the policy will not be covered. The name of a cover tells you little on its own.

Gaps worth checking for:

• damage that builds up over time through age and use
• loss or damage you cause deliberately
• problems that existed before your cover began
• work you do that wasn’t declared to the insurer
• contract penalties or promises beyond what the law would make you pay
• premises left unoccupied past the limit set in your policy

Conditions matter too. Guidance on business.gov.uk warns that some policies include requirements that will cancel your cover if you do not stick to them. Read the conditions alongside the exclusions and limits before you buy.

How to find business insurance you can trust

At Quotezone, we have over 20 years’ experience in insurance comparison, and our partner insurance companies are fully regulated by the Financial Conduct Authority to give you peace of mind. We know that when your business needs insurance, such as buildings insurance, contents insurance, stock cover, or public liability cover, you want to find the best options for you. It’s important to us that our customers can find the best policy for their needs from reputable companies offering reliable cover.

How to get business insurance

By using our business insurance comparison system, you could save a lot of money when you compare the business insurance providers we can put you in touch with. Our business insurance comparison service is designed to do all the hard work for you. We provide our system at no charge and are totally independent. Our panel of insurance providers will contact you with quotes directly, so no hanging around on hold. Why not give it a try and see if you could save money on your business insurance?

What you need to get a quote

Insurers ask about your work, your size and your claims record, so it helps to have these details ready:

• your trade, and what you actually do day to day
• your yearly turnover
• how many people you employ and your total wage bill
• your premises, and the value of your contents, stock and equipment
• the cover limits you need, including any limit a client or venue sets in a contract
• claims you’ve made, or losses you’ve had, in the last few years
• any criminal convictions or past insolvency, if the insurer asks

Answer each question fully and accurately. The Insurance Act 2015 expects a business to give its insurer a fair and complete picture of the risk before cover starts (section 3).

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Do I need business insurance?

In the UK, the two types of legally required insurance for businesses are usually employers’ liability insurance if you have any employees, and motor insurance if you use a vehicle for work, including your own car. Some regulators and professional bodies also require professional indemnity cover.

While not all business insurance is legally required, it is highly recommended that business owners protect their business and premises from any unexpected damage, theft, or legal claims they could face while operating.

For employers’ liability, GOV.UK says you need cover as soon as you become an employer, from an authorised insurer, for at least £5 million. The exemption is narrow: you don’t need it if your only employees are close family members, or staff whose base is outside England, Scotland and Wales (GOV.UK).

Motor cover is a legal duty for any vehicle you use for work on public roads. In Great Britain, it is an offence to use a motor vehicle on a road or other public place without insurance (Road Traffic Act 1988, section 143). If you drive your own car for work, business.gov.uk says to update your existing policy.

Some cover is required by a contract rather than the law. Venues and clients may ask for public liability before you start, and some regulators require professional indemnity (business.gov.uk). A lease or mortgage may also require buildings cover, which commercial property insurance can provide.

Commercial insurance for UK businesses

Commercial insurance means cover for business risks, as opposed to household ones. It’s the same range of policies described on this page, and insurers often sell it as a package.

A combined commercial policy can bring several covers together, such as:

• public liability and employers’ liability
• buildings cover, if you own the premises or your lease requires it
• contents, stock and equipment
• business interruption, which can cover lost income if an insured event such as a flood or fire stops you trading
• legal expenses

The government’s business.gov.uk site says many policies bundle different types of cover into a single policy. A package can be simpler to run, while separate policies let you choose each cover and limit yourself.

Vehicles usually need their own policies: compare van insurance for a work van, or fleet insurance if you run several vehicles. Farms usually need a specialist policy for buildings, livestock and machinery, and you can compare farm insurance quotes and agricultural vehicle insurance on Quotezone.

Insurance for small businesses

Small business insurance often starts with public liability, then grows as you take on staff, premises or bigger contracts.

Small firms are the norm. At the start of 2025 there were 5.7 million private sector businesses in the UK. Of those, 5.64 million had fewer than 50 employees and 4.27 million had none (Department for Business and Trade, GOV.UK).

Common choices for a small business include:

• public liability, if you meet customers or work at their premises
• employers’ liability, once you take on staff
• professional indemnity, if clients pay for your expertise, designs or recommendations
• business contents insurance for equipment, stock and fittings, whether they’re at home, in a shop or in a unit
• business interruption, if a fire or flood would stop you trading
• cyber insurance, if you trade online or store customer data

“If you work alone, your first hire changes what you need. Employers’ liability applies from the day you become an employer, so it makes sense to arrange it before their first day,” says Lee Evans, Quotezone’s Business & Leisure Insurance Expert.

Tradespeople who work on clients’ sites often start with public liability, and builders can compare builders insurance quotes. If you organise fairs, shows or one-off functions, see event insurance.

Sole traders and the self-employed

Sole traders have unlimited liability, which means you’re personally responsible for all of the business’s debts (GOV.UK). An uninsured claim could therefore be paid from your own savings.

Cover for one person is often simple: public liability, plus professional indemnity or tools and equipment cover, depending on the work. Insurance can also count as an allowable expense, as the questions below explain.

Limited companies

A limited company is legally separate from the people who own it (GOV.UK), so policies are usually taken out in the company’s name. Once the company employs staff, it will usually need employers’ liability.

Directors also have personal legal duties, such as keeping company records and filing accounts (GOV.UK). Directors and officers insurance can help with claims made against directors over their decisions.

Cover for online businesses and e-commerce sellers

Online sellers need much of the same cover as a shop, plus protection for three risks of their own: faulty products, stock on the move and customer data.

In Great Britain, producers, importers and own-brand sellers can be liable for damage caused by a defective product (Consumer Protection Act 1987, section 2). Product liability insurance can protect you against claims that a product you made, sold or supplied caused illness or injury (business.gov.uk).

Parcels can be lost or damaged on the way to customers. Goods in transit insurance can protect stock on its way to buyers, which matters if you deliver orders in your own van.

If you trade online or store customer details, business.gov.uk lists cyber insurance among the cover your business may need. It can protect against losses from data breaches, hacking or lost digital data, and you can compare cyber insurance through Quotezone.

Selling from home? You may need permission from your mortgage provider or landlord (GOV.UK), and the question on working from home below covers your home insurance.

How much does business insurance cost?

The actual cost of your policy will depend on your personal circumstances; most insurers will consider the following factors:

• The type of business you have and the industry you’re in
• The size and number of employees you have
• Where your business is located
• The level of cover you need and any previous history of claims

Quotes can also reflect:

• your turnover and your yearly wage bill
• the cover limits you choose for each policy
• the value of your premises, contents and stock
• how well your premises are secured
• the excess you agree to pay
• whether you pay in one go or monthly

Most business cover also carries Insurance Premium Tax, a tax on general insurance premiums. The standard rate is 12% (HMRC guidance on GOV.UK).

Worked example (no real prices): a sole-trader decorator with no staff may only need public liability. The insurer prices it on the trade, turnover and the limit clients ask for.

A cafe with four staff needs more. Employers’ liability is compulsory, and the owner may add public liability for customers, contents and stock cover, and business interruption in case a fire shuts the kitchen.

Each extra cover adds to the premium, so the cafe will usually pay more than the decorator. Our page on cafe insurance shows what a food business policy can include.

How to find cheaper cover for your business

You can often pay less by matching your cover to what you need and comparing quotes, rather than renewing without checking.

• compare several quotes, and look at what each one covers as well as the price
• describe your trade accurately, so the quote reflects the work you actually do
• set limits to match your contracts rather than picking the highest on offer
• consider a higher excess, if you could afford to pay it on a claim
• bundle covers into one policy if that works out cheaper
• check whether paying monthly adds interest or fees
• improve security, as insurers may take alarms and locks into account
• keep records of past claims and the steps you’ve taken since to reduce risk
• ask whether a trade body or chamber of commerce membership gives you a discount (business.gov.uk)
• review your cover at each renewal as the business changes

Comparing on Quotezone means filling in one form, rather than contacting each provider yourself.

You might also need

Driving to clients in your own car? Check your policy includes business use on your car insurance. And if clients rely on your designs, calculations or recommendations, compare professional indemnity insurance alongside your other cover.