Best Small Business Insurance in Utah

The State of Utah currently requires businesses to carry both workers’ compensation insurance and commercial auto insurance.

Regardless of the state’s requirements for insurance, it’s important that you secure business insurance that fits your business’s needs.

In this review, we’ll explore the best small business insurance in Utah and share what makes them the right choice.

Recommended: Next Insurance offers dedicated small business insurance to Utah small businesses.

     

Next Insurance

four point seventy five out of five stars

4.75/5

BEST FOR SMALL BUSINESS OWNERS

  • Work directly with an insurance provider
  • Specialized in small business insurance coverage
  • Get a quote in under five minutes
START A QUOTE

Tivly 

Four point five out of five stars

4.5/5

BEST OVERALL INSURANCE MARKETPLACE

  • Get connected to the best provider for your business
  • Get a quote on the phone between 8 a.m.–8 p.m. (Monday–Friday)
  • Coverage for a large variety of small businesses
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The Hartford

four out of five stars

4/5

  • Direct insurance provider, not a marketplace
  • Offers niche and specialized insurance policies
  • Get an online quote within minutes
START A QUOTE

Hiscox

four point twenty five out of five stars

4.25/5

  • Insures micro-businesses and startups
  • Coverage for 180+ professional services
  • Offers short-term insurance policies
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CNA

three point seventy five out of five stars

3.75/5

  • Optimum Insurance provider for online businesses
  • Extensive cyber risk solutions
  • 24-hour claims assistance hotline
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We narrowed our search down to our top 5 insurance carriers in Utah and then closely analyzed coverage offered, policy details, pricing, and other aspects to determine which type of business each provider would be most suited to.

We also identified competitive selling points like excellent customer service and niche industry offerings that make each business insurance company unique.

Our Best Utah Business Insurance Providers for 2023:

  1. Next Insurance: Best online business insurance with fast and simple sign-up.
  2. Tivly: Best small business insurance marketplace.
  3. The Hartford: Offers specialized coverage and custom packages.
  4. Hiscox: Good for micro businesses.
  5. CNA: Great for tech companies.

1. Next Insurance: Best Insurance for Small Business

Next Insurance has streamlined the process of getting business insurance coverage completely online and in just a few minutes. Named one of the “Top 50 Disruptors of 2022” by CNBC, Next Insurance uses AI and machine learning to provide the best small business liability insurance options catered to unique business needs.

We consider Next to be the best business insurance company for business owners looking to get fast, affordable, quality coverage without walking into an agency or sifting through aggressive sales pitches. Next Insurance not only offers the most common types of small business insurance but also offers specific insurance products by industry in each state, instant digital certificates of insurance (COI) downloads, and more to make the process easier than ever. Using their user-friendly mobile app, you can easily pay premiums, access policy documents, and even file liability claims on the go with rapid response times. 

Due to their focus on small businesses exclusively, we found their rates to be slightly lower on average than larger insurance providers.

Next Insurance Featured Coverages

  • General Liability Insurance
  • Business Owner’s Policies (BOPs)
  • Commercial Auto Insurance
  • Commercial Property Insurance
  • Professional Liability Coverage (Errors and Omissions Insurance)
  • Hired & Non-Owned Auto Insurance
  • Liquor Liability Insurance
  • Tools & Equipment Insurance
  • Workers’ Compensation Insurance

PROS

  • Same-day insurance coverage
  • iOS/Android app for easy access to your COI, to file claims, and to change policy type
  • Get a quote and purchase a policy in less than 10 minutes
  • Easy-to-use scheduler so your insurance can start on a precise date
  • Competitive premiums designed for small businesses
  • Customizable policies
  • Convenient online chat support

CONS

  • No brick-and-mortar locations/branches for in-person transactions
  • Some specialized types of insurance coverage, like key person insurance, are not available

Find the Right Coverage for Your Business

Next Insurance is a fully online provider dedicated to low-cost, high-protection coverage for small businesses. Get a quote instantly.

GET AN ONLINE QUOTE

2. Tivly: Best Business Insurance Marketplace

If you’re looking for a marketplace with the best quotes for business insurance, Tivly takes the gold. Tivly has gathered a wide range of small business insurance companies in one place to help you narrow down the search for a policy that meets your business's unique needs. Small business owners that may be considered high risk can find what they are looking for with Tivly.

It's important to note that Tivly is an insurance marketplace instead of an individual provider. The goal of this company is to make your search more simple by showing you the top business insurance policies for your situation and streamlining the signup process. By submitting one online form, you'll receive multiple quotes for commercial insurance products from several competitors, most of whom are on this list. You'll also get a quick rundown of each policy so that you know exactly what you're signing up for.

Tivly Featured Coverages

  • General Liability Insurance
  • Lost Income Insurance (Business Interruption Insurance)
  • Business Hazard Insurance
  • Commercial Property Insurance
  • Business Owner’s Policy
  • Commercial Auto Insurance
  • Workers’ Compensation Insurance
  • Commercial Umbrella Insurance
  • Professional Liability Insurance

PROS

  • Great customer service
  • Live and rapid phone support from 8:00 a.m.–8:00 p.m. Monday to Saturday
  • Easy-to-navigate website
  • Offers a lot of information about their different insurance options
  • Works with numerous partners to provide coverage for various types of businesses
  • Great pricing options

CONS

  • Policies are issued by other insurance providers, not Tivly.

Your Business Needs Insurance

Find out which policies your business needs and how much it will cost by getting a free quote.

CALL: 833-536-1478

3. The Hartford: Good for Specialized Insurance

The Hartford is a great insurance solution for businesses that need specialized insurance coverage. Though the insurance may not cover every type, as services like Tivly do, The Hartford offers customized insurance packages with only the coverage you need, which can save you hundreds long-term. The Hartford has served millions of small businesses for over 200 years while maintaining a great reputation for delivering some of the best specialized commercial insurance coverages and rates. 

The Hartford Featured Coverages

  • Business Owner’s Policy
  • Commercial Auto Insurance
  • General Liability Insurance
  • Commercial Property Insurance
  • Lost Business Income Insurance
  • Business Interruption Insurance
  • Professional Liability Insurance
  • Workers’ Compensation Insurance
  • Cyber Insurance
  • Commercial Umbrella Insurance
  • Employment Practices Liability Insurance

PROS

  • Long history with an A+ financial strength rating through A.M. Best
  • Many small business insurance types
  • Named "World’s Most Ethical Company" by Ethisphere Institute
  • BOP insurance combines general liability and business property insurance together
  • Easy online quotes

CONS

  • Not a good option if you prefer an industry-specific insurer
  • Poor J.D. Power's "Small Commercial Insurance Study" reviews
  • Complaints through the National Association of Insurance Commissioners.

4. Hiscox: Great for Micro-Businesses

Hiscox is the best small business insurer for micro-businesses since they have helped thousands of small and micro-businesses get insured. Hiscox has a dedicated team of small business professionals who focus only on helping small businesses get the right types of coverage at the best prices. 

Hiscox Featured Coverages

  • General Liability Coverage
  • Professional Liability Coverage
  • Business Owner’s Policy
  • Short-Term Insurance Policies
  • Cyber Insurance
  • Workers' Compensation Insurance
  • Coverage for 180+ professional services

PROS

  • User-friendly online quote generator
  • Insures businesses only
  • Serves businesses of all sizes
  • High ratings by major rating firms
  • Educational website and podcast
  • Over 10,000 positive customer reviews

CONS

  • Most customer reviews are found on the company’s website.

5. CNA: Good for Tech Companies

CNA offers the best insurance for online businesses, offering cyber risk insurance solutions. If your company deals in personal or financial information or may be at risk of data breaches or online attacks, CNA offers comprehensive cyber liability policies at the best prices. We like CNA because they offer three cyber risk insurance options, as well as other niche insurance products not found with other providers. 

CNA Featured Coverages

  • Cyber Risk Policies
  • Commercial Auto Insurance
  • General Liability Policies
  • Equipment Breakdown Insurance
  • Inland Marine Policies
  • Professional Liability and Management Insurance
  • Ocean Marine Insurance
  • Business Property Coverage
  • Surety Insurance
  • Umbrella and Excess Casualty Insurance
  • Workers’ Compensation Coverage

PROS

  • Specializes in business insurance
  • Covers small-, mid-, and large-sized businesses
  • Covers over 180 niche businesses
  • Eighth largest business insurance provider in the US
  • High ratings from all major insurance rating agencies
  • 24-hour claims assistance

CONS

  • The online quote generator doesn’t always work
  • A small number of customer reviews

Small Business Insurance Review Methodology

Choosing the best business insurance comes down to five things:

  1. The type of business you have
  2. The type of coverage you need
  3. Which provider offers the best value
  4. Easy-to-navigate simple claims process
  5. Great customer service

First, we narrowed it down to the five best small business insurance providers, most of whom offer online quotes so that you can get coverage and a certificate of insurance for your business today. 

Then, we analyzed coverage offered, policy details, pricing, and other aspects to determine which type of business each provider would be most suited for small business owners. 

Finally, we've identified competitive selling points like excellent customer service and niche industry offerings that make each business insurance company unique.

Utah Business Insurance Requirements and Resources

Utah Insurance Requirements

Utah requires all owners of motor vehicles to have automotive liability insurance on those vehicles. Businesses with any employees are also required to carry workers’ compensation insurance. 

Commercial Auto Insurance

Utah state law requires motor vehicle owners to maintain “security” and one way to do that is to carry automotive liability insurance. At a minimum, the policy should provide 25-65-15 coverage or for $80,000 to cover liability arising out of one accident. 

41-12a-301: Requirement of owner's or operator's security

(2)(a) Every resident owner of a motor vehicle shall maintain owner's or operator's security in effect at any time that the motor vehicle is operated on a highway or on a quasi-public road or parking area within the state.

41-12a-103: Owner's or operator's security

(9)(a) “Owner's or operator's security," "owner's security," or "operator's security" means... an insurance policy or combination of policies ... which is issued by an insurer authorized to do business in Utah.

31A-22-304: Motor vehicle liability policy minimum limits

Policies containing motor vehicle liability coverage may not limit the insurer's liability under that coverage below the following:

(1) (a) $25,000 because of liability for bodily injury to or death of one person, arising out of the use of a motor vehicle in any one accident;

(b) subject to the limit for one person in Subsection (1)(a), in the amount of $65,000 because of liability for bodily injury to or death of two or more persons arising out of the use of a motor vehicle in any one accident; and

(c) in the amount of $15,000 because of liability for injury to, or destruction of, property of others arising out of the use of a motor vehicle in any one accident; or

(2) $80,000 in any one accident whether arising from bodily injury to or the death of others, or from destruction of, or damage to, the property of others.

Workers’ Compensation Insurance

An employer must carry workers’ comp insurance even if there is only one employee.  A sole proprietor or partner is not an employee but can elect to be treated as one by giving notice to the insurance company.

Utah law states an employer carrying workers’ compensation insurance cannot be sued by an injured employee. Similarly, the employee cannot sue the employer in open court but is bound to accept compensation through the worker’s comp scheme. 

34A-2-103: Employers enumerated and defined

(2)(a) Each person, including each public utility and each independent contractor, who regularly employs one or more workers or operatives in the same business, or in or about the same establishment, under any contract of hire, express or implied, oral or written, is considered an employer.

34A-2-105: Exclusive remedy against employer, and officer, agent, or employee of employer

(1) The right to recover compensation ... for injuries sustained by an employee, whether resulting in death or not, is the exclusive remedy against the employer... and the liabilities of the employer ... is in place of any and all other civil liability whatsoever, at common law or otherwise.

34A-2-201: Employers to secure workers' compensation benefits for employees -- Methods 

An employer shall secure the payment of workers' compensation benefits for its employees by:

(1) insuring, and keeping insured, the payment of this compensation with an insurer authorized… to transact the business of workers' compensation insurance in this state; or

(2) obtaining approval… to pay direct compensation as a self-insured employer.

Data Breach Insurance

Utah first passed data breach legislation in 2006. The law took effect on January 1, 2007, and has been broadened by amendments in 2009 and 2019. Its basic requirement is that a person who handles or possesses data that includes personal information must notify any individual should their data be at risk because of a data breach. The following section of the Utah Code spells out the requirement: 

Personal information -- Disclosure of system security breach

“A person who owns or licenses computerized data that includes personal information concerning a Utah resident shall, when the person becomes aware of a breach of system security, conduct in good faith a reasonable and prompt investigation to determine the likelihood that personal information has been or will be misused for identity theft or fraud purposes…

If an investigation… reveals that the misuse of personal information for identity theft or fraud purposes has occurred, or is reasonably likely to occur, the person shall provide notification to each affected Utah resident.”
UT Code § 13-44-202(1) (2021) 

The obligation to notify individuals whose data is at risk because of a data breach raises the odds that a business whose systems have been breached will face claims of negligence. Such claims, if successful, can drain vital resources or ruin a business. It makes sense, then, for Utah businesses to carry data breach insurance to guard against the risk of being sued.   

Types of Utah Business Insurance

General Liability Insurance

The vast majority of Utah companies purchase general liability insurance from an insurance company even though it is not legally required. This type of business liability insurance covers third-party bodily injury, third-party property damage, advertising liability, libel, slander, copyright issue, and other common claims faced by companies across various industries. 

General liability insurance is one of the most important types of business insurance your company can purchase.

Business Owner’s Policy

A business owner’s policy (BOP) is an affordable way to bundle business insurance coverages. This type of policy includes commercial general liability insurance with commercial business property insurance. Many small business owners with a physical business space opt for this coverage.

Commercial Auto Insurance

You need to carry commercial auto insurance if your company uses vehicles to transport people or goods. This type of insurance is very similar to personal auto insurance and covers liability, medical costs, collisions, and uninsured/underinsured motorists. A commercial auto policy also covers vehicles rented or owned by your company and employees who use their own vehicles for company business.

Workers’ Compensation Insurance

Utah requires businesses with one or more employees to carry workers’ compensation insurance. Taking out workers' compensation insurance puts a limit on the amount and type of compensation that an injured employee may receive. The limits are set by law.

Employee Health/Life/Disability Insurance

Companies that provide health, life, and/or disability insurance as a fringe benefit will need appropriate Utah insurance. Under the Affordable Care Act, firms with more than 50 full-time employees must offer health insurance or pay an expensive penalty.

Professional Liability Insurance

Professional liability insurance covers financial risks to attorneys, accountants, and other people who provide professional services or expertise. Professional liability coverage varies depending on the industry but usually includes negligence, legal defense, slander or libel, and copyright and trademark disputes. 

Professional liability insurance includes errors and omissions (E&O) insurance.

Data Breach Insurance

If your company hosts customers’ personal information on its servers and those servers are hacked, lawsuits and damages can result. Data breach insurance protects you in these cases. 

Cyber Liability Insurance

Similar to but more comprehensive than data breach insurance, cyber liability insurance may pay for legal expenses related to a data breach or set up a call center for individuals affected by a breach. It also may pay for active protection against cyberattacks.

Commercial Crime Insurance

Crimes like extortion, forgery, burglary, computer fraud, and embezzlement are covered by commercial crime insurance. Situations in which this type of insurance is particularly useful include dishonest or libelous acts by employees.

Fiduciary Liability Insurance

Fiduciaries, who are legally required to act in plan participants’ best interests rather than the company’s when choosing advisors and investments, should consider this type of insurance coverage. It covers them if they are sued for allegedly providing negligent investment advice or administering plans or benefits incorrectly. 

Third parties like out-of-company consultants and benefit plan administrators are usually not protected.

Directors and Officers Insurance

Any company with directors and officers should consider directors and officers (D&O) insurance coverage, a type of liability insurance that reimburses directors and officers for claims made against them regarding harm allegedly caused by their management decisions.

Executive Risk Coverage

Executive risk insurance is business liability insurance that provides coverage for fraud, D&O, employment practices, initial public offerings, pension funds, extortion, and professional negligence.

FAQ

Do I need business insurance in Utah?

Yes, you will need business insurance in Utah. Business insurance protects your business from adverse events, such as a fire, property damage or being sued by a customer or member of the public. The purpose of business insurance is to ensure adequate financial resources are available to meet any claims for compensation or damage. 

Business insurance is an umbrella term that covers many types of policies designed for businesses. One common type is a business owner’s policy, which covers loss of business income, damage to commercial property insurance, and general liability.

How much does business insurance cost in Utah?

Business insurance costs in Utah vary according to the activities carried out by the business, as well as its location and size. Workers’ comp is an absolute necessity, not only because of the legal requirement to carry it but also because of the high level of risk. The Bureau of Labor Statistics reports that there were 30,000 non-fatal workplace injuries in Utah during 2020, as well as 48 on-the-job deaths. Auto liability insurance is also required by law. 

Other types of coverage will need to be provided that could cost between 1% to 30% of gross revenues.  

Why do I need small business insurance?

Some professions or business contracts require that you have business insurance. If this doesn’t apply to you, insurance is still a critical component of your business portfolio. Your policy is there to protect your company and its assets from unexpected lawsuits and claims.

What kind of business insurance do I need?

The type of business insurance you need depends upon the products or services you offer and how your business is structured. Every business should have a general liability policy. If you have business tools, equipment, or vehicles, you’ll want to consider covering those assets as well.

Do I need insurance for my LLC in Utah?

In short, yes. While incorporating as an LLC in Utah protects your personal assets, your business assets are still at risk in the event of a claim or lawsuit.

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