The certificate-of-insurance discipline
Every sub you hire without a COI becomes YOUR payroll at audit — their comp and liability exposure lands on your policy. A $400K-revenue GC who can't produce COIs routinely owes $8–15K in surprise audit premium. Collect COIs before the sub steps on site, every time.
- • Ask for 'additional insured' status on subs' policies, not just a COI.
- • Owner-only operations can often exempt themselves from comp — check state rules.
- • General contractors need completed-operations coverage for claims after the job ends.
Related guides
Long-form playbooks on the same topic, written by the RevenueLab editorial team.
FAQ
How much is contractor insurance per month?
A solo handyman pays roughly $55–125/month for general liability. Add employees and workers' comp dominates — a 3-person crew in a mid-risk trade often totals $500–1,500/month.
Do I need workers' comp with no employees?
Usually no for yourself, but most states require it the moment you hire anyone — including day labor. Many GCs and clients also require you to carry it contractually regardless.
What insurance do clients require from contractors?
Typically $1M per-occurrence general liability with the client as additional insured, workers' comp at statutory limits, and often commercial auto. Larger commercial jobs add umbrella requirements of $2–5M.
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