You can save with discounts of up to 25%*

Nearly 700,000 small businesses call Colorado home and need business insurance to keep their livelihoods safe.1

Small business insurance in Colorado can protect your business’s bottom line and employees by providing a financial safety net when things go wrong. It can help help pay expenses when business-related accidents result in:

  • Injuries to customers or employees
  • Lawsuits claiming professional mistakes
  • Damage to business property
  • Business vehicle damage and repairs

NEXT is 100% dedicated to small business and insures more than 1,300 types of small businesses and self-employed workers. We make it easy for you to get the right coverage at the right price and purchase your policy online in less than 10 minutes.

Continue reading to learn about the most important types of business insurance in Colorado. Or get a free instant quote to see customized coverage options for your business.

Business insurance in Colorado: What you need to know

Because no two small businesses are the same, Colorado business insurance can be purchased in customized packages.

Your insurance package will be based on your specific coverage needs, determined by factors including your:

  • Industry
  • Employee count
  • Value of business property
  • Other risk factors

Most small businesses need different types of coverage, called policies or insurance products by insurance companies, to cover different kinds of situations.

For example, Colorado general liability coverage, also known as business liability insurance or commercial liability, can protect your business if you’re accused of causing bodily injury to someone other than an employee or damaging their property.

While Colorado workers’ compensation insurance is essential to help cover situations when your employees are hurt on the job and need medical care.

Whether you’re a handyman based in Colorado Springs or a retail store in Denver, you can choose a combination of policies to meet your insurance requirements.

business insurance lp img1

More details on types of Colorado business insurance

You can customize a coverage package to meet your Colorado business insurance needs. Depending on your industry and operations, NEXT may recommend some or all of the following types of insurance policies.
General Liability
Colorado General Liability insurance

General liability insurance in Colorado can help pay for damages or legal fees if someone other than an employee accuses your business of causing an injury or property damage.

For example, if an employee at a window cleaning business in Denver accidentally breaks a large pane of glass at an office building, general liability can help pay for repairs. And, if the building owner decides to sue, coverage can help pay for legal defense costs and damages.

Construction and cleaning companies may choose to add optional tools and equipment coverage to their general liability policy. This type of insurance can help repair or replace business gear that’s stolen or damaged outside normal wear and tear.

Workers Compensation
Workers’ Compensation insurance

Colorado requires small businesses with employees to carry workers’ compensation coverage.

Colorado workers’ comp insurance provides protection when employees get hurt on the job. It can help pay for medical expenses and lost wages after workplace injuries. It can also help cover legal costs if an injured employee claims that your negligence caused the accident.

For instance, imagine that a worker at a landscaping firm in Colorado Springs cuts his hand while working at a client’s property and needs stitches and a three-week leave of absence. Workers’ compensation can help pay the employee’s medical bills and lost wages during his recovery.

Commercial Auto
Commercial Auto insurance

Colorado state law requires businesses with company-owned vehicles to have commercial auto insurance. That’s because, generally speaking, personal auto coverage won’t cover business-related accidents.

Here’s how commercial auto can help if a cleaning business employee driving the company van hits another car in Aspen, causing significant damage. Coverage can help the cleaning business pay for repairs to both vehicles and medical bills if the accident caused injuries.

Businesses that ask employees to drive their own cars or rented vehicles may consider adding optional hired and non-owned auto coverage to their commercial auto policy.

Commercial Property
Commercial Property insurance

Commercial property insurance in Colorado can protect the essential things you need to do business such as equipment, inventory and even your business location if you own the property.

For example, if an electrical fire causes damage to your retail store in Durango, commercial property coverage can help pay for repairs to the building and replacement of your computer and inventory.

Commercial property insurance often covers water, fire and wind damage but some policies have exclusions for flood-prone areas and other risks. Be sure to read your insurance documents closely so you know what your policy covers.

Errors & Omissions
Professional Liability (E&O) insurance

Professional liability coverage in Colorado, also known as E&O or errors and omissions insurance, can help cover legal defense costs if someone accuses you of making a professional mistake that causes financial losses.

Professional liability insurance can help your business pay to defend itself If a client claims that you made a work error, failed to complete a project on time or didn’t fully deliver what you promised.

For example, if a home buyer in Fort Collins claims that a real estate agent failed to disclose a property flaw that required costly repairs, professional liability can come into play. Coverage can help the real estate agent cover legal costs if the home buyer sues or pay damages if settled out of court.

How much does business insurance in Colorado cost?

How much does business insurance in Colorado cost?

Your business insurance cost in Colorado will depend on a variety of factors related to your business operations. These include:

Your industry

The amount of risk your business faces each day will impact your insurance costs. For example, Colorado-based restaurants, which are more likely to experience an injury or property damage, may pay more than professional services businesses, where customers are less likely to get hurt.

The policies you choose

Business insurance will cost more as you add policies to your coverage package. Most businesses need more than one type of policy to protect them in different situations.

Number of employees

How many employees you have will also affect what you pay for your business insurance, especially if you’re purchasing a Colorado workers’ compensation policy. You’ll need to share your payroll costs and exact number of full-time and part-time employees when you get your insurance quote.

Start a quote with Next Insurance today to explore your business insurance coverage coverage options. It only takes a few minutes.

You can also use our insurance calculators for a general estimate of insurance costs in Colorado:

How NEXT can help you with business insurance in Colorado

How NEXT can help you with business insurance in Colorado

We offer a fast and easy way for small business owners to get a business insurance quote online, purchase coverage and instantly share a certificate of insurance. The entire process usually takes less than 10 minutes.

You can also chat with our U.S.–based NEXT licensed insurance agents if you need help or have questions.

More resources for Colorado small businesses and self-employed workers

Customer reviews

I am so excited
I am totally excited about my new insurance for my small business. I am happy that the price was in a range that I can afford, the terms were easy to understand and it was so simple to purchase my first policy. I look forward to doing business with you in the future.
Curzella J.
Easiest insurance purchase – EVER!
I was looking around trying to compare insurance and I am so lucky I found NEXT. I was able to compare levels of coverage, and all the options, without pressure from a salesperson or time limits. I was able to check out prices and it was more coverage for less than the “traditional” company I looked at.
Michael W.
Happy small business owner!
I needed liability insurance for my new small business brick & mortar location. I got the run around from another company, but NEXT provided a competitive insurance quote in a timely manner. I now have the insurance that I need and it was stress-free!
Nicole E.
* To the extent permitted by law, applicants are individually underwritten, not all applicants may qualify. Individual rates and savings vary and are subject to change. Discounts and savings are available where state laws and regulations allow, and may vary by state. Certain discounts apply to specific coverages only.
What we cover
Chat with Us

Mon – Fri | 8 a.m. – 5 p.m. CT

© 2024 Next Insurance, Inc. 975 California Ave, Palo Alto, CA 94304, United States
Better Business Bureau
Issuance of coverage is subject to underwriting. Not available in all states. Please see the policy for full terms, conditions and exclusions. Coverage examples are for illustrative purposes only. Your policy documents govern, terms and exclusions apply. Coverage is dependent on actual facts and circumstances giving rise to a claim. Next Insurance, Inc. and/or its affiliates is an insurance agency licensed to sell certain insurance products and may receive compensation from insurance companies for such sales. Policy obligations are the sole responsibility of the issuing insurance company. Refer to Legal Notices section for additional information.

Any starting prices or premiums represented before an actual customer quote are not guaranteed and are representations of existing premiums of active policies as of December 6, 2023. To the extent permitted by law, applicants are individually underwritten, not all applicants may qualify. Individual rates and savings vary and are subject to change. Discounts and savings are available where state laws and regulations allow, and may vary by state. Certain discounts apply to specific coverages only.