Contractor insurance has a rhythm to it: nothing is needed until everything is needed, usually the week a GC asks for a certificate. Here’s the full picture, so the scramble is smaller when it comes.
The core four
General liability is the non-negotiable. GCs, commercial landlords, and project owners require it before anyone swings a hammer, typically at $1 million per occurrence. It covers third-party injuries and property damage arising from your operations, including completed operations claims that surface after the job is done. Pricing follows your trade: a handyman and a framing crew live in different worlds. Details on our general liability page.
Workers compensation is required by Arizona law once you have employees, and required by many GCs even for solo subs. The audit is the part nobody warns you about: premiums are estimated from projected payroll, then trued up after the year ends, and uninsured subcontractors can land on your audit as if they were employees. Collect certificates from every sub. More in our guides to workers comp and comp audits.
Commercial auto covers the work truck, the trailer, and the driving between jobs. A truck hauling tools and materials daily is a commercial exposure, and personal auto policies can deny claims that arise from business use. Vehicles titled to the LLC need a commercial policy regardless.
Inland marine covers the tools and equipment themselves, on the truck, at the site, in storage. The claim this exists for is the emptied truck or stolen trailer, which in the trades is a matter of when, not if. See equipment coverage.
What contracts add
GC subcontract agreements pile on specifics: additional insured endorsements (often with particular form numbers), waivers of subrogation, primary and noncontributory wording, sometimes umbrella limits of $2 million or more. None of this is exotic, but it has to be set up correctly for the certificate to pass review. Our advice is standing: send the insurance section of the contract to your broker before you sign, and certainly before you mobilize. We read these constantly; see also Understanding Additional Insured Requirements.
What it costs
Honest answer: it ranges. A solo handyman might assemble GL and equipment coverage for a couple thousand a year. A roofing crew with trucks and payroll is a different number entirely, driven by class codes and loss history. What we can promise is the real number quickly: tell us your trade, crew size, and what the contract requires, and we’ll come back with options and certificates fast enough to keep your job on schedule.