Tradesperson carrying out plumbing work as part of a small business, highlighting the need for appropriate business insurance

Kingsbridge insurance

Best business insurance for your small business

Protecting your business from the unexpected

Every day as a small business owner brings something new… planning projects, supporting clients, and keeping things moving. It’s rewarding work, but every activity carries its own level of risk, from accidents and errors to unexpected claims.

Finding the best business insurance for small businesses is about more than meeting requirements, it’s about protecting what you’ve built. The right cover may help business owners stay focused on progress rather than problems, safeguarding income, reputation, and the effort behind your success.

In this guide, you’ll discover which types of insurance your small business may need, what influences the cost, and how Kingsbridge can help you arrange flexible, specialist protection designed around the way you work.

What is small business insurance?

Small business insurance is a combination of policies that protect your company from the everyday risks of trading. It can help cover the cost of claims, compensation, or damage – for example, if a client or employee is accidentally injured, property is damaged, or a professional mistake causes financial loss.

At Kingsbridge, we offer tailored business insurance packages that combine essential covers – like Public Liability, Professional Indemnity, and Employers’ Liability – into one flexible, affordable policy. You can also add optional covers such as Cyber, Tools, or Contract Works protection, ensuring your policy fits your business exactly.

What types of business insurance do small businesses need?

The right insurance for your small business depends on how you operate, what you do, and whether you employ others. Some types of cover are legal requirements, while others are strongly recommended or often required by clients and contracts.

Employers’ liability (EL) insurance

Legally required if you employ anyone, even part-time or temporary staff. This cover protects you if an employee becomes ill or is injured while working for your business. Failure to hold this insurance when required could result in fines.

Some types of companies are exempt from the legal requirement – you can find out more in the HSE’s guide for employers.

Public liability insurance (PL) insurance

Protects your business if someone is accidentally injured or their property is accidentally damaged due to your work. It’s essential for businesses that work with clients face-to-face, visit customer premises and have clients visit their workplace.

Professional indemnity (PI) insurance

If your business provides professional services, designs, or advice, this cover protects you if a client claims they’ve suffered financial loss because of your work. It’s often a contractual requirement for consultants and contractors and can cover compensation costs and legal fees resulting from an incident.

Cyber insurance

Covers financial losses from cyber incidents like data breaches, ransomware, or hacking. Kingsbridge’s optional Cyber Insurance add-on includes 24/7 incident response and expert support.

Tools and equipment cover

Many small businesses rely on equipment to operate, whether that’s tools, laptops, cameras, or specialist machinery. How this is insured depends on the type of business you run and the policy you choose with us.

For tradespeople, Goods and Tools Cover is available under our Trades Insurance arrangements. This can provide protection against loss, theft, or damage to tools in defined circumstances, such as while on site or in secure storage. Standard limits and conditions apply.

For non-trade small businesses, such as media, creative, or office-based firms, business equipment cover may be included within certain combined liability packages. This usually relates to equipment used to run the business, rather than portable trade tools, and the amount insured can affect the overall cost of your policy.

Because cover varies by product and insurer, we’ll help you understand exactly what’s included, where items are covered, and any limits or exclusions that apply before your policy goes live.

Directors’ and officers’ liability

Provides protection for limited company directors and officers if they are personally named in legal claims related to mismanagement, regulation breaches, or duty of care issues.

What insurance is legally required in the UK?

In the UK, most businesses are required to have employers’ liability insurance if they employ staff.

You may also need commercial motor insurance if you use a vehicle for business purposes – even occasionally.

Kingsbridge does not provide commercial motor insurance – this should be arranged separately through a specialist motor insurance provider.

While professional indemnity and public liability insurance aren’t legally required, they’re often essential for meeting client or contractual obligations and demonstrate professionalism and responsibility.

How much does small business insurance cost?

The cost of business insurance varies depending on your industry, turnover, number of employees, and level of cover.

A sole trader working from home will usually pay less than a construction or consultancy firm with multiple staff. Combining key policies (like public liability, professional indemnity, and employers’ liability) into one plan is often more cost-effective and simpler to manage.

At Kingsbridge, our small business packages are designed to provide comprehensive protection at a fair price, ensuring your cover grows alongside your business.

Choosing the best insurance for your small business

Finding the best insurance for your small business isn’t about chasing the cheapest quote. It’s about choosing protection that truly fits your operations and risk profile.

When comparing providers, you may want to consider:

What’s legally or contractually required for your work
The main risks in your sector (e.g. cyber threats for IT, tool theft for trades)
Whether the insurer uses A-rated underwriters for financial security
How flexible the policy is as your business grows
The quality of claims handling and level of UK-based support

To help you compare business insurance quotes effectively and understand what to look for beyond price alone, you may also wish to explore our How to compare business insurance quotes guide. It covers practical tips on cover limits, policy flexibility, exclusions, and insurer reputation.

A specialist like Kingsbridge understands how small businesses operate. Whether you’re advising clients, managing projects, or working on-site, we help you stay protected against the risks that matter most.

Why choose Kingsbridge for your small business insurance

Kingsbridge is a UK-based, FCA-regulated specialist broker with more than 20 years of experience helping small businesses, contractors, and freelancers protect their livelihoods.

Our combined business insurance packages bring together the essential covers – Public Liability, Professional Indemnity, and Employers’ Liability – into one simple policy. Optional extras like Cyber Liability, Tools Cover, and Directors’ & Officers’ Insurance can also be added, helping tailor your protection to your profession and risk level.

Why businesses trust Kingsbridge

Combined cover packages – Bundle core protections (PI, PL, and EL) into one easy-to-manage policy for simplicity and better value.
Industry-specific expertise – Tailored cover for sectors including IT, Trades, Engineering, and Finance, so your policy fits how you actually work.
IR35 and compliance support – Optional IR35 Protect add-ons and contract review services to help demonstrate genuine business status and compliance.
Trusted reputation – Rated 4.9/5 by over 11,000+ customers for expert advice, responsive service, and dependable claims handling.
Fast, UK-based support – Get covered in under five minutes online or speak with our friendly UK-based team for personalised guidance.

Kingsbridge combines flexibility, expertise, and trust – helping thousands of small businesses operate with confidence every day.

Understanding exclusions and limitations

Every insurance policy includes conditions, exclusions, and limitations that define what is and isn’t covered. You should review these carefully before purchasing to ensure the policy suits your needs.

Kingsbridge’s team can help explain your options clearly, so you understand exactly how your cover works and what it includes.

Small business insurance FAQs

Do I legally need business insurance in the UK?

If you employ staff, you are legally required to hold employers’ liability insurance under the Employers’ Liability (Compulsory Insurance) Act 1969 – except certain excluded business types.

While other covers like public liability insurance and professional indemnity insurance aren’t mandatory by law, most clients and contracts will expect you to have them before starting work.
What does a small business insurance policy usually include?

A typical small business insurance policy combines key covers like public liability, professional indemnity, and employers’ liability.

Kingsbridge’s combined packages bring these together under one policy, with optional add-ons like Cyber Insurance, Tools Cover, or Directors’ and Officers’ Insurance – allowing you to tailor your protection to your type of work.
What’s the difference between public liability and professional indemnity insurance?

Public liability insurance helps cover compensation and legal costs if someone is injured or their property is damaged due to your business activities.

Professional indemnity insurance, on the other hand, protects you if a client claims they suffered financial loss because of a mistake, omission, or error in your professional work.

Many small businesses hold both to ensure wider protection.
Is cyber insurance important for small businesses?

Yes. Cyber threats can affect businesses of all sizes. Cyber insurance can help protect against the costs of data breaches, ransomware, and accidental data loss.

Kingsbridge’s Cyber Liability add-on includes expert support and access to a 24/7 incident helpline, helping your business recover quickly if something goes wrong.
Does business insurance cover my tools and equipment?

It can, depending on the type of policy you arrange with us and the nature of your business.

For tradespeople, our Trades Insurance can include Goods and Tools Cover, often up to a set limit as standard, with options to increase cover where needed. This is designed to protect trade tools against risks such as theft or damage, subject to policy terms and security requirements.

For other small businesses, such as consultants, creatives, or office-based companies, cover may relate to business equipment rather than tools. This type of cover is included within some combined packages, with the insured value influencing the overall premium.

As tools, goods, and business equipment are treated differently by insurers, we’ll help make sure your policy accurately reflects what you use, where it’s kept, and how it’s exposed to risk.
Can I get a business insurance quote online?

Yes, you can get an insurance quote online in just a few minutes. Kingsbridge’s quick quote system lets you arrange small business insurance with instant documentation and optional advice from our dedicated in-house team if you need any guidance.
Do I need business insurance if I work from home?

Even home-based businesses can face risks. Professional Indemnity and Public Liability policies may still be relevant if clients visit your home, or if your work could cause financial or reputational damage.

Your home insurance is unlikely to cover business-related activities, so a dedicated policy offers essential extra protection.
Will my insurance cover business travel or work abroad?

Kingsbridge policies can include limited cover for work overseas, depending on your circumstances. It’s important to discuss your specific travel or project details with our team before arranging your policy so we can confirm your cover applies.
How can I make sure my insurance grows with my business?

Your insurance needs may evolve as your business expands, hires staff, or takes on larger contracts. Kingsbridge’s policies are designed to adapt – allowing you to add new covers or increase limits as needed, ensuring your protection keeps pace with your progress.

If you’re serious about finding the best insurance for your small business

Your small business deserves the best insurance that grows with it… not against it.

At Kingsbridge, we make getting covered straightforward. You can combine essential protections – like Professional Indemnity, Public Liability, and Employers’ Liability – into one flexible, affordable policy.

Get a quote online in minutes or speak with our UK-based experts for guidance tailored to your business.