How Much Does Business Insurance Cost For Gas Stations?

U.S. gas stations can expect to pay between $1,000 and $1,800 annually for comprehensive business insurance, averaging between $85 and $150 per month. The primary cost drivers are the services you offer, the size of your business, location, and claims history.

How Much Does Gas Station Insurance Cost?

The average gas station in the U.S. pays between $1,000 and $1,800 per year for a full business insurance package. That breaks down to roughly between $85 and $150 per month. However, this is just a ballpark range and actual business insurance costs can vary widely depending on your specific situation.

Every gas station has its own unique risks and insurance needs, which is why there’s no one-size-fits-all premium. Small gas stations with no convenience stores, alcohol sales, or additional services like car washes have fewer risks and need less robust coverage compared to those that do.

The type of services you offer plays the biggest role in your costs because of the relevant risks, as does the value of your property, and even your location.

For example, gas stations in cities with higher crime or lawsuit rates may pay more for liability coverage. Higher traffic patterns and larger numbers of pumps can increase risks as well.

Here are some of the biggest cost drivers:

• Services offered (affects professional liability and cyber)
• Number of employees (increases workers’ compensation requirements)
• Property size and value (affects commercial property coverage)
• Past claims history (insurers charge more if you’ve filed claims)
• Business interruption coverage and other add-ons

Understanding these variables can help you better estimate your insurance needs and prepare for the real costs of protecting your gas station.

Average Gas Station Insurance Costs For Coverage Types

When it comes to protecting your gas station, different types of insurance cover different risks. Understanding the average cost, coverage details, and what influences pricing for each policy type can help you build a more effective insurance plan. Here’s a closer look at the major coverages most gas stations need.

• General liability insurance: $85 per month
• Business owner’s policy: $100 per month
• Liquor liability insurance: $35 per month
• Product liability insurance: $42 per month
• Environmental Liability Insurance: $100 per month
• Workers’ compensation insurance: $90 per month
• Commercial auto insurance: $146 per month
• Commercial property insurance: $67 per month
• Cyber liability insurance: $45 per month

General Liability Insurance

The average cost of general liability insurance for a gas station is about $85 per month.

General liability covers third-party bodily injury, property damage, and injuries. For example, if a customer slips on a wet floor and gets injured, this policy would help pay for their medical expenses and your legal defense costs.

Typical policy limits are $1 million per occurrence and $2 million aggregate.

Factors that influence the cost include the business type (your services), location, office environment (if clients frequently visit your office), contract requirements, and previous claims history.

Here’s a look at the average annual premiums for 10 different states:

Note: Estimates are modeled from average annual General Liability premiums for gas station businesses, using a blend of typical quotes from small and large insurance agencies and reflecting gas station exposures (fuel handling, convenience store operations, slip-and-fall risk, employee count, and on-site services); actual premiums will vary by insurer, coverage limits, claims history, location-specific risk factors, and policy endorsements.

Business Owner’s Policy (BOP)

The average cost of a business owner’s policy (BOP) is about $100 per month for gas stations.

A BOP bundles general liability insurance with commercial property insurance. It protects against customer injuries, property damage, and loss or damage to your office building, furnishings, and equipment. For instance, if a fire damages your computers and files, the BOP would help cover repairs and replacements.

Typical policy limits are $1 million per occurrence and $2 million aggregate for liability, with separate property coverage limits based on the value insured.

Cost factors include the size of your business, location risk (such as flood or crime rates), business revenue, number of employees, and any optional endorsements like commercial crime insurance for criminal acts like theft committed by employees, equipment breakdown coverage to protect breakdowns for food dispensing equipment or registers, and computers.

Here’s a look at the average annual premiums for 10 different states:

Note: Estimates above are modeled from average annual Business Owner’s Policy (BOP) premiums for gas station businesses, using a blend of typical rates quoted by small and large insurance agencies and reflecting gas station exposures (fuel handling, convenience store inventory, property values, employee count, and location). Actual premiums will vary by insurer, coverage limits and endorsements, property value and protection systems, claims history, and local risk factors.

Cyber Liability Insurance

The average cost of cyber liability insurance for gas stations is $45 per month.

Cyber liability insurance covers the costs a gas station might incur after a cyber incident. This extends to lost income after a cyber attack, forensic investigations, data recovery costs, regulatory fines, and the costs of informing customers about the attack.

Gas stations can benefit from this coverage if they handle any sensitive data, or if they want to cover gaps in their insurance.

Costs are based on factors like the size of your organization, the type of client data you handle, and the cybersecurity measures you already have in place.

Here’s a look at the average annual premiums for 10 different states:

Note: Estimates are modeled from average annual Cyber Liability premiums for gas station businesses, using a blend of typical quotes from small and large insurance agencies and reflecting gas station exposures (payment card systems, POS terminals, loyalty programs, third‑party vendors, and employee access controls); actual premiums will vary by insurer, policy limits and sublimits, revenue size, IT security controls, claims history, contract requirements, and regional risk factors.

Liquor Liability Insurance

The average cost of liquor liability insurance for gas stations is $35 per month.

This is applicable to any gas station that sells alcohol and provides protection in the event that a patron becomes intoxicated on-site and causes damage.

Factors that influence costs include the amount of alcohol your gas station sells, the state in which you operate, and which local laws are applicable, any history of alcohol-related claims your gas station has, and whether you bundle the liquor liability policy with other policies.

Here’s a look at the average annual premiums for 10 different states:

Note: Estimates above are modeled from average annual Liquor Liability premiums for gas station businesses, using a blend of typical quotes from small and large insurance agencies and reflecting gas-station specific factors (amount of alcohol sales, on-premises consumption vs. retail only, number of POS locations, employee training programs, and local liquor laws); actual premiums will vary by insurer, coverage limits and sublimits, claims history, sales volume, endorsements, and regional risk factors.

Product Liability Insurance

The average cost of product liability insurance for gas stations is $42 per month.

This policy applies to gas stations that sell food products. It helps cover liability related to food products. For example, if a gas station sells a contaminated product and someone ends up getting sick over their food and sue’s, this could help cover medical costs or lawsuits.

Product liability insurance can be bundled as part of a BOP. It can also be part of a comprehensive policy that covers refrigerators used for food service and all other inventory.

Here’s a look at the average annual premiums for 10 different states:

Note: Estimates are modeled from average annual Product Liability premiums for gas station businesses, using a blend of typical quotes from small and large insurance agencies and reflecting product exposures (fuel and convenience-store product sales, inventory, food/beverage offerings, and vendor relationships); actual premiums will vary by insurer, coverage limits and sublimits, revenue and sales mix, claims history, risk controls, and regional regulatory and market factors.

Environmental Liability Insurance

The average cost of environmental liability insurance for gas stations is $100 per month.

This coverage protects gas stations against any potential pollution relating to leaks or spills. For example, if there is a leak at a gas station that leads to environmental fines from the city, this could help cover those costs.

Here’s a look at the average annual premiums for 10 different states:

Note: Estimates are modeled from average annual Environmental Liability premiums for gas station businesses using a blend of typical quotes from small and large insurance agencies and reflecting gas-station specific exposures (underground storage tanks, fuel remediation risk, site contamination history, inventory and throughput); actual premiums will vary by insurer, coverage limits and sublimits, tank condition and age, prior claims or contamination, state environmental regulations, and other site-specific risk factors

Workers’ Compensation Insurance

The average cost of workers’ compensation insurance for a gas station is around $90 per month.

Workers’ comp covers medical bills, rehabilitation, and lost wages for employees injured on the job. For example, if an employee trips and falls over loose boxes in a store room, and breaks their wrist, workers’ compensation would cover their hospital visit and part of their lost wages while they recover.

Policy limits are regulated by each state, but typically include medical costs and a percentage of lost wages without a set cap.

Premiums are influenced by the size of your payroll, the type of work employees perform (whether in your office or on-site for each client), your claims history, and any implemented safety programs.

Here’s a look at the average annual premiums for 10 different states:

Note: Estimates are modeled from average annual Workers’ Compensation premiums for gas station businesses using a blend of typical quotes from small and large insurance agencies and reflecting gas-station specific factors (payroll size, job classifications for cashiers and pump attendants, number of employees and part-time staff, local wage levels, and regional claim frequency); actual premiums will vary by insurer, state rate filings, experience modification factor, payroll audits, safety programs, and business-specific risk characteristics.

Commercial Auto Insurance

The average cost of commercial auto insurance for gas stations is about $144 per month.

Commercial auto insurance covers vehicles owned or used by the business for accidents, theft, vandalism, or damage. For example, if an employee causes an accident while driving to the store for more supplies for the gas station, this policy would cover the damages and any third-party claims.

Typical policy limits are around $1 million combined single limit (covering both bodily injury and property damage).

Factors influencing the cost include the number and type of vehicles, how often they are used, the driving records of employees, and whether you add endorsements like hired and non-owned auto insurance (HNOA) for employee-owned vehicles used for company services.

Here’s a look at the average annual premiums for 10 different states:

Note: Estimates are modeled from average annual Commercial Auto premiums for gas station businesses, using a blend of typical quotes from small and large insurance agencies and reflecting gas-station specific exposures (delivery and utility vehicles, fuel transport risk, employee driving records, number of vehicles, and local traffic and crime factors); actual premiums will vary by insurer, vehicle types and values, annual mileage, coverage limits and deductibles, garaging ZIP code, driver histories, and individual underwriting.

Commercial Property Insurance

The average cost of commercial property insurance for a gas station, when purchased separately, usually runs $67 per month.

Commercial property insurance covers damage to the gas station and its contents due to fire, theft, vandalism, or certain weather events. For example, if a fire destroys equipment like computers, this policy would pay for repairs or replacement.

Typical policy limits are based on the replacement cost value of the insured property, which could easily reach into the hundreds of thousands depending on your location, building size, and equipment investments.

Premiums are determined by factors like the building’s age and construction type, fire safety systems in place, replacement cost of equipment, neighborhood crime rates, and whether you add endorsements such as professional liability or cyber protection.

Here’s a look at the average annual premiums for 10 different states:

Note: Estimates are modeled from average annual Commercial Property premiums for gas station businesses, using a blend of typical quotes from small and large insurance agencies and reflecting gas-station specific factors (building replacement cost, inventory and fuel storage, fire/safety protections, location crime and flood exposure, and business revenue). Actual premiums will vary by insurer, coverage limits and endorsements, deductible choices, property condition and protection systems, prior claims, and site-specific risk factors.

Gas Station Business Insurance Costs By Provider

Gas station business insurance costs will vary greatly depending on the insurance carrier. Use the table below to find average costs across different providers.

Note: These estimates are based on average annual premiums for gas station businesses from both small and large agencies and reflect typical coverages such as general liability, property, business interruption, pollution liability, and workers’ compensation; actual premiums will vary depending on location, station size, fuel sales volume, on-site services, security measures, claims history, and chosen coverage limits

What Factors Impact Your Gas Station Insurance Costs?

Gas station insurance premiums are carefully calculated by underwriters based on your business’s risk profile. From the services you offer to your location and claims history, several factors influence what you’ll pay for coverage.

Type Of Amenities

Different gas station amenities carry different risks. Gas stations with 24-hour access can face higher risks, as can those that sell alcohol. Gas stations with shower centers, restaurants, or car washes can also face higher risks.

Location

Gas stations in high-crime, flood-prone, or urban areas typically pay more for property and liability insurance. A low-risk suburban location with fewer claims can lower your premiums.

Size Of Your Operation

More square footage, employees, and revenue all raise the chances of a claim. Workers’ compensation costs also rise with larger staff counts, especially in environments where workers travel to and from other locations for work purposes.

Property Value And Office Equipment

Added services like convenience stores, alcohol sales, car washes, or food services increase your commercial property premiums. Many gas stations add endorsements like cyber insurance to protect client information and other data.

Claims History

If you’ve filed frequent insurance claims, underwriters will see you as a higher risk, leading to higher rates. A clean claims record can qualify you for discounts.

Policy Limits And Deductibles

Higher policy limits mean better protection but come with a higher premium. Choosing a larger deductible can lower your monthly costs but raises your out-of-pocket risk when claims occur.

Optional Endorsements

Add-ons like business interruption, cyber liability, and hired and non-owned auto coverage tailor protection but increase your premium. They are essential for gas stations with many amenities, sensitive client data, or high-risks of natural disasters interrupting business.

Insurance Provider

Rates vary among insurers. Some specialize in financial risks and offer better pricing or more flexible options for finance-based gas stations. Comparing quotes from multiple carriers can save you money.

How To Lower Your Gas Station Insurance Costs

Running a gas station is expensive, but your insurance bill doesn’t have to break the bank. While you can’t eliminate the need for coverage, you can take smart steps to reduce your premiums without sacrificing protection. Here are some practical ways to lower your gas station insurance costs:

1. Bundle Your Policies

One of the easiest ways to save is by bundling multiple policies. Most insurers offer a Business Owner’s Policy (BOP) that combines general liability and property insurance at a lower rate than if you bought them separately. If you also need workers’ compensation or liquor and product liability insurance, bundling all three through the same provider can lead to additional discounts. Not only does this simplify your paperwork, but it also makes your coverage more cost-efficient.

2. Ask About Discounts

Insurance companies often reward gas stations that commit to a policy long-term. Ask your provider if they offer multi-year discounts for signing a two- or three-year agreement instead of renewing annually. You might also qualify for lower rates if you pay your premium in full instead of in monthly installments.

3. Implement Safety Measures

Accidents are expensive for both you and your insurer. Taking steps to reduce the chance of customer or employee injuries can lead to lower premiums over time. For example, installing non-slip flooring, using wet floor signs, maintaining clean, clutter-free walkways, and regularly servicing company vehicles can help lower your general liability risk.

4. Create A Safe Working Environment

A solid safety program can reduce workers’ compensation costs. This includes training staff on fire safety procedures, and having clear emergency exit routes. Fewer accidents mean fewer claims—and that translates to lower premiums in the future.

5. Adjust Your Deductible

Your deductible is the amount you pay out of pocket before insurance coverage kicks in. Choosing a higher deductible can significantly reduce your monthly premiums. Just make sure you can comfortably cover that amount if a claim arises.

By taking these steps, you not only save money but also make your company a safer, more resilient business.