Small Business Insurance Updates in February 2026: Cost, Coverage and Market Moves

Small business owners are facing new challenges this February as workers' comp rates adjust and commercial property insurance remains tight. We look at the latest market moves affecting entrepreneurs.

Workers' Comp Rate Adjustments

Effective February 1st, several states have updated their workers' compensation classifications. Businesses in the tech and remote-work sectors are seeing rate decreases, while manual labor and construction sectors face increases due to higher medical costs.

Commercial Property Market

The "Hard Market" continues this month. Insurers are being extremely selective about the businesses they cover, particularly those in high-risk zones. Having a documented disaster recovery plan is now a requirement for many premium policies.

monitoring Business Growth

Consolidating your business insurance into a single BOP (Business Owners Policy) can save up to 25% this month compared to individual policies.

Professional Liability vs E&O

A new February report highlights that many consultants are missing critical Errors & Omissions coverage. Ensure your policy covers digital delivery of services.