Big Coverage for Small Business: Comparing NEXT Insurance vs Hiscox vs Thimble

Last Updated on March 7, 2023

While the adage “the more, the merrier” may not always be the case for most situations, it can be for insurance. Small business owners might appreciate having multiple selections when it comes to their insurance coverages because, after all, they can’t be too safe when it comes to their business assets, customers, and employees.

That being the case, big coverage for small businesses is offered by insurance companies such as NEXT, Hiscox, and Thimble. They provide a wide range of insurance options that are easy to explore and purchase online.

The question now is: which provider should you go with? In this article, we’ll be comparing their pros and cons, coverage options, and customer service to help you decide between these top small business insurers.

Table of Contents

How to Choose the Right Insurance Company

Company Descriptions

NEXT

Hiscox

Thimble

Coverages Offered

Online and Offline Support Availability

Insurance Policy Cost

Pros and Cons

The Bottom Line

Choosing the Right Insurance Company

But why does so much research go into choosing an insurance company anyway?

With so many insurance companies available, it can be hard to determine which coverages actually makes sense for your small business. Your business is one-of-a-kind, so why shouldn’t your insurance be tailored to meet your specific needs? Here are some tips on finding the right insurance company for your small business:

1. Make sure the company is licensed to sell insurance in your state.
2. Ask other small business owners who they use for their insurance coverage and why they like or dislike the company.
3. Check with the Better Business Bureau to see if there have been any complaints filed against the company and how well they were able to resolve these.
4. Be knowledgeable of the different types of insurance a company offers and if they have any sub-specialties in the types of coverage you’re looking for.
5. Get quotes from several different companies and compare them side-by-side to see which one offers the best coverage for your needs at the best price.
6. Read the fine print carefully before you purchase any policy to make sure you understand what is and is not covered.

By following these tips, you can be sure that you’ll choose the right insurance company for your small business coverage.

Company Descriptions

With these in mind, let’s now move on to the actual comparisons for the three chosen providers.

Let’s begin by looking at the backgrounds of the companies first.

NEXT

NEXT Insurance is a Palo Alto, California-based digital insurance company specializing in small businesses. Founded in 2015, they offer fast quotes for their tailored insurance policies at competitive pricing.

The company utilizes AI technology and machine learning to fast-track the steps to obtaining insurance by allowing clients to bundle coverages, pay for their premiums, and manage their policies all online.

Hiscox

Hiscox is an international company that has been in the business of insuring small businesses for over 100 years now.

With its impressive experience in the industry, the insurance company also offers tips for small business owners with regards to where to start and how to grow and protect their business.

They currently have offices across the United States and offer small business insurance through several brokers.

Thimble

Started by Jay Bregman and Eugene Hertz in 2016 as a drone insurance provider, Thimble is all about simple and fast-moving insurance that you can purchase for a day, by the month, or however long you need.

Today, they are a New York City-based insurance company that offers on-demand insurance that is simple, scalable, and straightforward.

Coverages Offered by All Three Companies

One of the first things you should ask when looking for a provider is if they offer the coverage/s you need in the first place. To start with, here are some types of coverage offered by all three companies (NEXT, Hiscox, and Thimble):

General Liability Insurance: This will protect your company from third-party claims of bodily injury, property damage, and personal harm (such as libel or deceptive advertising).

Professional Liability Insurance: Also known as errors and omissions insurance, this will protect your company from damages caused by mistakes or failing to deliver on your professional services.

Business Owners’ Policy: A business owners’ policy, or BOP, is a packaged policy for small businesses that combines general liability insurance with commercial property insurance so your business also has protection for its properties.

Workers’ Compensation Insurance: If you have employees, then workers’ compensation insurance is likely required by your state. This type of insurance covers an employee’s medical expenses and lost wages if they’re injured or get sick as a result of working.

Commercial Auto Insurance: This will protect your business from liability if you or your employees use a vehicle for business purposes.

Coverage Options Only Offered by Two Companies

Now, some types of coverage may only be offered by two of the companies we’re looking at. Below are these options and who only offers them:

Short-term Liability Insurance: This type of coverage is only offered by Hiscox and Thimble. In actuality, Hiscox has partnered with Thimble to deliver insurance for a specific period. This is a unique offering as more insurance policies run for at least a year and/or are paid monthly.

Short-term general liability insurance is acquired by businesses whose operations are seasonal while short-term professional liability insurance suits professionals who work on projects that only run for certain periods.

Commercial Property Insurance: Although usually included in a business owners’ policy (BOP), commercial property insurance as a separate cover is only offered by NEXT and Thimble. This will protect your business’ physical property, such as office furniture, equipment, inventory, and signage, in the event of a covered loss like fire, theft, or vandalism.

Coverage Options Only Offered by One Company

And, finally, there are some coverage options that are only available from a single company. Below are these options.

Coverage Options Only Offered by Hiscox

Cyber Security Insurance: This type of insurance will protect your business from financial losses resulting from data breaches, cybercrime, and other digital risks.

Medical Malpractice Insurance: If you’re in the healthcare industry, medical malpractice insurance will protect your business from liability if you or one of your employees makes a mistake that results in patient injury or death.

Umbrella Insurance: Umbrella insurance provides additional liability protection above and beyond the limits of your other business insurance policies.

Directors’ and Officers’ Insurance: This type of insurance, also known as D&O insurance, will protect your business’s directors and officers from personal financial losses if they’re sued for wrongful decisions or actions while in their corporate roles.

Coverage Options Only Offered by NEXT

Product Liability Insurance: If you manufacture, distribute, or sell products, product liability insurance will protect your business from financial losses that may occur if one of your products causes injury or property damage.

Liquor Liability Insurance: If you sell, serve, or manufacture alcohol, liquor liability insurance will protect your business from financial losses that may occur if someone becomes intoxicated on your premises and causes injury or damage to other people or their property.

Hired and Non-owned Auto Insurance: Hired and non-owner car or auto insurance will protect your business from financial losses that may occur if an employee is involved in a car accident while driving for business purposes in a personal vehicle, or if they damage a rented or borrowed car.

Tools & Equipment Insurance: With this insurance, your company’s tools and equipment such as computers, lawn care equipment, and power tools will be protected from damage or theft.

Coverage Options Only Offered by Thimble

Event Insurance: This type of insurance will protect your business from financial losses that may occur before, during, or after an event. It can cover things like cancellations, bad weather, property damage, and more.

Drone Insurance: On-demand liability insurance for commercial and recreational drone flights is available.

Online and Offline Support Availability for Each Company

NEXT Support

NEXT offers client support through online channels only. For general inquiries, they redirect you to their help center wherein you can enter a question or keyword to find an article or frequently asked question (FAQ) to help you.

Otherwise, they have a live chat feature available from Mondays to Fridays from 8 a.m-5 p.m. CT through which you can talk to their insurance team for advice or assistance.

Photo Credit: nextinsurance.com

NEXT is also definitely a modern and digital company as they also offer a mobile app wherein you can manage your insurance policy, obtain a certificate of insurance (COI), update your coverage if needed, and file a claim–all from your phone.

Hiscox Support

Hiscox offers both online and offline support for potential clients and existing customers. For advice, you may call +1 866 283 7545 from Mondays to Fridays from 7 a.m.-10 p.m. ET or mail any of their offices listed on their website.

Claims could also be filed by clients online through a form and a representative will get in touch with them through email.

Thimble Support

Similar to NEXT, Thimble also offers online support through their Help Center, live chat support available from Mondays to Fridays, 9 a.m.-6 p.m. EST, and through email by completing a contact form for clients to voice concerns and reach a representative.

Photo Credit: Thimble Insurance

Of course, they also have a mobile app wherein you can purchase a policy, get a quote, get a COI, and pay for your insurance within seconds.

Insurance Policy Cost and Pricing Factors

Of course, premiums vary across all insurance companies and depend on a variety of factors such as the size of your business, what industry you belong to, your coverage needs, business location, and the deductible amount. However, we can compare the costs of insurance policies from each company by looking at how much a general liability insurance coverage will cost you yearly:

You can expect to pay $128 yearly at a minimum for general liability insurance from NEXT, $350 from Hiscox, and $204 from Thimble. As such, Hiscox is the most costly among the three while NEXT stays true to its claim of competitive pricing as they offer the cheapest general liability insurance.

However, it will still be best to get quotes from each company to see clearer comparisons of their costs. After all, quotes are fast and free!

Pros and Cons of Each Company

NEXT

NEXT offers a vast array of coverage options for small businesses and the self-employed. They have served over 300,000 companies since their establishment and cater to over 1,300 professions.

The company is a good option as your provider if you run a physical store or provide services that make use of tools, equipment, other non-fixed properties, and vehicles because of their coverage selections.

NEXT also offers the most competitive pricing of the three, but it should be noted that not all of their offerings are available in all states. Discover all that this provider has to offer in our in-depth Next insurance review.

Hiscox

Hiscox, on the other hand, is an insurance company partnered with several independent insurance agents across the United States. Their policies are available in every state except for Alaska.

Their experience in the insurance industry is one of the company’s strengths. They have served over 800,000 businesses across 180 industries in almost a century and work best for professionals and professional services businesses such as those in consulting and accountancy. As you can see from the comparisons, they even offer medical malpractice insurance for healthcare professionals and directors’ and officers’ insurance to protect company managers.

However, Hiscox may be the priciest option compared to NEXT and Thimble and don’t offer as many online support services for clients. Check out our Hiscox insurance review for a complete small business product analysis.

Thimble

Lastly, Thimble is a good option for those who are seeking an insurance company that is modern, digital, and convenient. They are a specialist in on-demand insurance for small businesses that are not looking to buy long-term policies. This provider would suit you if you are a startup business because they also allow you to scale your coverage once your enterprise grows and are ready to upgrade.

Because the company offers on-demand insurance, it would be useful to you if you organize events, hire out services for events, or belong to any profession that does not need monthly insurance. Read our top to bottom Thimble insurance review about their small business solutions.

The Bottom Line

The complexity and sometimes inflexibility of insurance policies are some of the many factors that turn off small business owners and the self-employed from getting insured. However, with players both old and new in the industry such as NEXT, Hiscox, and Thimble, getting the protection you need for your business is now online, more convenient, and (almost) hassle-free. Our dark horse pick can be found in our THREE insurance review walkthrough.

NEXT offers a wide range of coverage options and is the most affordable among the three companies. Hiscox is best if you are looking for an experienced provider with a long list of policy offerings. And if you want a modern and digital insurance company, then Thimble is perfect for you.

The bottom line is that all three companies have their own advantages and we hope that, with this article, we were able to help you come to a decision. Thank you for reading!