As a general contractor in Florida, you are responsible for supervising a team of construction workers and subcontractors at residential and commercial sites. With so many moving parts to manage, it’s vital to have commercial insurance that will have your back when the unexpected happens. For example, a worker falling off a ladder can result in severe injuries and even death. A subcontractor may inadvertently install the wrong material, or machinery and materials may be stolen from a work site. These and other risks could result in a devastating financial loss and exposure to costly and time-consuming lawsuits without commercial insurance.
Whether you’re a solo contractor with a personal truck or the owner of a large firm with multiple employees and company vehicles, we will customize a commercial insurance policy that meets your business needs and complies with Florida law.
What Insurance Do I Need for a General Contractor License in Florida?
To become a licensed general contractor in Florida, you must meet specific insurance requirements mandated by the Florida Department of Business and Professional Regulation (DBPR). For a Certified or Registered General Contractor license, you are required to hold the following types of insurance:
Commercial General Liability (CGL) Insurance
This policy must meet a specific minimum coverage amount, which is currently $300,000 for bodily injury and $50,000 for property damage. Failure to meet these requirements can result in fines, suspension of your license, or even legal action.
Workers’ Compensation Insurance
This coverage is mandatory for all businesses working in the construction industry with one or more employees, including yourself.
Insurance Requirements for a Florida General Contractor:
For complete coverage, insurance for a general contracting company typically includes the following policies:
General Liability Insurance
As the cornerstone of your insurance plan, this policy protects your business from third-party claims of bodily injury, property damage, and personal and advertising injury. It is what protects you if a subcontractor’s mistake causes damage to a client’s property.
Workers’ Compensation Insurance
A legally required policy for any construction business with one or more employees. It covers medical expenses and lost wage replacement for an employee who is injured on the job.
Commercial Auto Insurance
If you own or lease vehicles for business purposes—such as for hauling materials or equipment, a commercial auto policy covers your vehicles and drivers in the event of accidents, theft, and damage.
Tools & Equipment Floater
This “inland marine” policy is vital for insuring your valuable equipment, tools, and materials from theft, damage, or loss while in transit to or from a job site, or at a temporary storage location.
How Much is General Contractor Insurance in Florida?
The cost can vary based on factors such as your location, the size of your business, your claims history, and the type of work you perform. However, a general contractor with a typical $1 million policy can expect premiums to range from $1,500 to $5,000 annually, with the average being around $2,300.
What’s Covered:
A well-rounded commercial insurance plan for a general contractor typically covers the following:
- Third-Party Bodily Injury
- Third-Party Property Damage
- Employee Injuries
- Vehicle Accidents
- Theft or Damage to Equipment
- Legal Defense
What’s Not Covered:
- Poor Performance
- Personal Vehicle Accidents
- Intentional Negligence
Other Coverage Options for General Contractors:
Talk to your CIS agent about other insurance options that your firm may need, such as:
Commercial Umbrella Insurance
This policy provides an extra layer of protection that extends the liability limits of your underlying policies, such as General Liability and Commercial Auto, for large, catastrophic claims.
Commercial Property Insurance
This policy protects your office building, interior space, and tools and equipment stored at your business from risks like fire, theft, and vandalism.
Professional Liability (E&O)
This policy covers claims alleging professional negligence, errors, or omissions. While it is not legally required for a license, it is a prudent choice for general contractors involved in the design or blueprint process, or those who provide consulting services.
Commercial Insurance for General Contractors Near Me
At Commercial Insurance Specialists, we are a Trusted Choice independent agency, dedicated to providing exceptional service and a wide range of insurance options tailored to the unique needs of general contractors in the West-Central Florida area. Our flexibility allows us to explore and compare policies from various top-rated insurers, ensuring you receive the professional liability coverage that best fits your needs and budget. We serve clients across many fields, including masonry & concrete contractors, pool & spa companies, and roofers from Sarasota County to Polk County, including New Port Richey, Bartow, Bradenton, and Tampa.
Just give CIS a call, and a licensed and independent agent will shop for the best rates and coverage options for your business from top-rated insurers. Please don’t wait, contact us today for a free, no-obligation general liability insurance quote!
