5/5
LLC Affordability
4.9/5
Sole Proprietor Affordability
5/5
Customer Satisfaction
4/5
Financial Stability
4/5
Online Quote Process
General contractors in the construction industry can benefit from general liability insurance. This policy protects the business and its employees from claims made against them for bodily injury and property damage that occurs from their work. We determined the best general liability insurance for contractors using criteria including affordability, financial strength, customer satisfaction and the online quote process. Our top picks are The Hartford and Nationwide.
The Hartford earns the distinction of best general liability insurance for general contractors, earning the highest MoneyGeek score of all carriers we assessed. This insurer has the cheapest average rates for general contractors in the construction industry and has superior financial stability and high customer satisfaction ratings. We also highlight five other lower-ranked companies providing general liability insurance for contractors.
The Hartford has the lowest general liability insurance cost for contractors of all the companies we analyzed, especially for LLCs.
The company has strong customer satisfaction and financial strength scores. However, compared to other companies, The Hartford has a slow online quote process. Online quotes may not be available nationwide. The Hartford offers other types of business insurance general construction contractors might consider, like business income insurance, commercial auto and property insurance and workmans’ compensation for businesses with employees.
Nationwide is another affordable option for sole proprietor and LLC-structured general contractors.
It has few customer complaints and superior financial strength to pay claims. But Nationwide has the slowest quote time of all company picks, so may not be the best choice if you need a fast quote. We also could not get online quotes in Alaska, Hawaii, Louisiana, New York or Oklahoma. Besides general liability insurance coverage for contractors, Nationwide offers surety bonds, inland marine for tools and equipment, commercial property and auto, workers’ compensation and commercial umbrella coverage.
The average general liability insurance cost for LLC contractors in the construction industry with 20 employees is $36,746 per year, or $3,062 per month. For sole proprietors with no employees, the average annual cost is $2,422, or $199 monthly.
There are several factors that determine general liability insurance costs for contractors, including:
General liability insurance for contractors protects against several types of claims for attorney fees, damage or medical expenses, including:
There are several types of claims that general liability insurance for contractors won’t cover, which include:
Although there are gaps that general liability insurance can’t fill, contractors wishing to cover these types of scenarios can purchase additional business insurance policies to provide coverage for these types of claims.
General liability insurance for contractors provides coverage against bodily injury, property damage and reputational harm claims. But to cover additional risks, contractors should consider additional business insurance coverage options.
Some policies to consider are:
Most contractors can benefit from general liability insurance. These answers to the most common questions on general liability insurance coverage for contractors may help you decide if this policy is right for your business.
About Mandy Sleight
Mandy Sleight is a licensed property, casualty, life and health insurance agent with 20 years of experience in the industry. She has worked for major insurance companies like State Farm and Nationwide, and most recently as the Operations Coordinator for a startup employee benefits company.
Sleight holds a business administration and management degree from the University of Baltimore and a master's in business administration from Southern New Hampshire University. She uses her vast knowledge of insurance and personal finance to create easy-to-understand and engaging content to help readers make smarter choices with their budgets and finances.