Insurance Cost for Handyman Contractors: What You Should Expect
- Nate Jones, CPCU, ARM, CLCS, AU
- 2 hours ago
- 2 min read
If you own a handyman business, one of the most common questions is: How much does handyman contractor insurance cost? While every handyman business is unique, there are common pricing ranges and factors that influence your premium. Understanding these costs helps you budget correctly and choose the right coverage.
Below is a breakdown of what to expect when shopping for handyman contractor business insurance.
Average Cost of Handyman Contractor Insurance
Although pricing varies by location, job type, and risk level, many handyman contractors fall into similar cost ranges for core insurance policies:
General Liability Insurance: $400 – $1,500 per year
Workers’ Compensation Insurance: $1,000 – $3,500 per employee
Tools & Equipment Coverage: $150 – $600 per year
Commercial Auto Insurance: $900 – $2,500 per vehicle
These estimates can vary depending on how many services you offer (plumbing, electrical, carpentry, etc.), since handyman work often spans multiple trades.
Factors That Affect Your Insurance Cost
Insurance companies evaluate several factors when pricing a handyman business insurance quote:
1. Services You Provide
If your handyman business includes higher‑risk tasks like electrical work, roofing, or plumbing repairs, your rates may be higher due to increased exposure.
2. Business Revenue and Payroll
Higher revenue means more job volume, which increases liability exposure. If you have employees, payroll directly affects workers’ compensation pricing.The U.S. Small Business Administration labour‑based service businesses often have higher workers’ compensation and liability exposure.
3. Claims History
If you’ve had past claims, insurers may increase your premium or limit certain coverage. A clean history typically results in lower rates.
4. Tools, Vehicles, and Equipment
The more tools and work vehicles you insure, the higher your premium. Job site theft, as a regular issue in construction, is a common reason handyman contractors add equipment coverage.
5. Location and Job site Type
Handymen working in dense urban areas or on commercial properties may face higher premiums because of increased risk.
How to Keep Insurance Costs Affordable
You can reduce rates by:
Bundling policies (liability + tools + auto)
Maintaining a clean claims record
Clearly defining the services you perform
Working with a contractor‑focused insurance agency
Get a Handyman Insurance Quote from Wexford Insurance
Your actual premium depends on your unique business details. Wexford Insurance specialises in helping handyman contractors secure affordable, tailored coverage through top insurance carriers nationwide.
👉 Request your handyman contractor insurance quote from Wexford Insurance today and get accurate pricing for your business.
