Small Business Insurance Calculator

Plan protection budgets before renewing or purchasing. Adjust deductibles and limits to balance cost smartly. See coverage mix, risks, and savings in one view.

Inputs
Use the grid layout to enter details quickly on any device.
Used only for your report exports.
Industry influences baseline risk factors.
Captures local hazard and litigation environment.
Used by liability and cyber estimates.
Used by workers’ compensation estimates.
Workforce size affects WC uncertainty.
Older firms may receive stability credit.
Claims history is a major pricing driver.
Used if property coverage is selected.
Larger spaces can raise exposure.
Used by cyber estimates.
Higher counts can increase cyber exposure.
Used by commercial auto estimates.
More mileage can increase loss frequency.
Coverage Selection
Pick coverages, then tune limits and deductibles.
Limits and Deductibles
These settings affect premiums through limit and deductible factors.
Risk Controls and Credits
Select controls that match your operation to model credits.
Tip: Run multiple scenarios by changing limits or deductibles.

Example Data Table

Industry Revenue Payroll Property Value Coverages Estimated Annual Premium
Retail $250,000 $180,000 $150,000 GL + Property + Cyber $3,100 – $3,900
Restaurant $600,000 $320,000 $220,000 GL + Property + WC + BI $9,200 – $12,400
Office Services $400,000 $260,000 $0 GL + Professional + Cyber $2,400 – $3,400
Example values are illustrative and will vary by insurer underwriting.

Formula Used

Each coverage is estimated with a base exposure rate multiplied by rating factors:

Coverage Premium = Base Exposure × Base Rate × Industry × Location × Claims × Tenure × Limit Factor × Deductible Factor
  • Base Exposure depends on revenue, payroll, property value, vehicles, or records.
  • Limit Factor increases pricing as you raise limits.
  • Deductible Factor lowers pricing with higher deductibles.
  • Discounts apply for controls and bundling, capped at 15%.
This is a planning model, not a binding quote.

How to Use This Calculator

  1. Enter revenue, payroll, and basic business information.
  2. Select coverages that match your operations and contracts.
  3. Choose limits and deductibles to test cost tradeoffs.
  4. Add risk controls to model credits where applicable.
  5. Press Submit to view results above the form.
  6. Download CSV or PDF to compare scenarios and share.

Premium Drivers and Exposure Inputs

Insurance pricing starts with exposure measures such as revenue, payroll, property value, vehicles, and stored records. In the model, liability and cyber premiums scale per $1,000 of revenue, workers’ compensation scales per $100 of payroll, and property scales per $1,000 of insured value. Industry, location risk, claims, and tenure then apply multiplicative factors, so the same exposures can produce materially different totals.

Coverage Mix and Budget Allocation

Small firms often begin with general liability and property, then add professional, cyber, or workers’ compensation as contracts require. In many portfolios, liability can represent 25–45% of annual cost, property 15–35%, and workers’ compensation 20–50% depending on payroll intensity. Use the breakdown table to see which line dominates and focus optimization on that coverage first.

Limits, Deductibles, and Tradeoffs

Higher limits increase premiums through a limit factor, while higher deductibles reduce premiums through a deductible factor. For example, moving from a $500k to $1m liability limit can add roughly 10–15% to that line, while increasing a deductible from $1,000 to $2,500 may lower that line by about 5–8%. Scenario testing helps identify a cost-efficient balance.

Risk Controls and Discount Modeling

Controls reduce expected frequency or severity, so the calculator applies credits for training, security, suppression systems, and cyber hygiene. Credits are stacked but capped to keep results realistic. Bundling multiple lines also adds a small administrative discount. When you improve controls, compare both the premium change and the risk score change; those movements should align.

Interpreting the Estimate Range

The displayed annual range widens as the risk score increases. Higher-risk industries, high-risk locations, recent claims, and very new businesses typically produce a broader range because underwriting uncertainty is higher. Use the range when planning cash flow, and treat the midpoint as a comparative benchmark across limit and deductible options rather than a guaranteed price. Document assumptions, keep inputs consistent, and update figures quarterly as revenue and payroll change materially.

FAQs

1) What inputs change the estimate the most?

Revenue drives liability and cyber lines, payroll drives workers’ compensation, and property value drives property coverage. Claims history, industry, and location risk then amplify or reduce each line through rating factors.

2) How is the estimate range calculated?

The model widens the range as the risk score increases. Higher industry risk, high-risk locations, recent claims, and very new businesses raise uncertainty, so the low–high band expands around the net annual estimate.

3) Why does workers’ compensation use payroll instead of revenue?

Workers’ compensation benefits relate to wages and job class exposure. Payroll better reflects hours worked and injury potential than sales, so the calculator rates WC per $100 of payroll with stronger industry sensitivity.

4) How do risk controls affect pricing here?

Selected controls apply credits that stack but are capped to 12%. If you select multiple controls plus bundling, the combined discount is capped at 15% to keep estimates conservative.

5) When should a business add an umbrella policy?

Add umbrella coverage when contracts require higher limits, you have meaningful customer foot traffic, or you use vehicles. Umbrella typically sits over liability and auto, providing extra limit at a relatively low incremental cost.

6) Is this result a quote from an insurer?

No. It’s a planning estimate designed for scenario comparisons. Actual quotes depend on underwriting details such as loss runs, class codes, building construction, safety programs, and carrier appetite.

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Important Note: All the Calculators listed in this site are for educational purpose only and we do not guarentee the accuracy of results. Please do consult with other sources as well.