What Kind of Insurance Do I Need for a General Contractor Business?
- Nate Jones, CPCU, ARM, CLCS, AU
- Sep 16
- 2 min read
Starting or growing a general contractor business comes with exciting opportunities—but also significant risks. From managing subcontractors to overseeing residential, commercial, or industrial projects, general contractors face liability exposures that require proper insurance coverage.
At Wexford Insurance, we specialize in general contractor insurance and work with construction professionals to help them secure the right protection. In this guide, we’ll break down the essential types of insurance coverage every general contractor should consider, along with tips for compliance and risk management.
General contractors are responsible for coordinating complex construction projects, which means they’re exposed to:
Property damage
Bodily injury claims
Employee accidents
Equipment theft
Contractual liability
Without the right insurance, a single incident could lead to financial loss or legal trouble. That’s why working with a niche-focused agency like Wexford Insurance is key to protecting your business.
Essential Insurance Coverage for General Contractors
This is the foundation of contractor coverage. It protects against:
Third-party bodily injury
Property damage
Legal defense costs
Most clients and project owners require proof of general liability before awarding contracts.
2. Workers’ Compensation Insurance
If you have employees, this coverage is legally required in most states. It covers:
Medical expenses for work-related injuries
Lost wages
Rehabilitation costs
Even if you use subcontractors, you may still be liable if they’re uninsured.
If you use trucks, vans, or other vehicles for business, personal auto insurance won’t cover work-related accidents. Commercial auto covers:
Vehicle damage
Liability for accidents
Theft or vandalism
Provides additional liability coverage beyond the limits of your general liability, auto, or workers’ comp policies. It’s ideal for contractors working on high-value or high-risk projects.
If you offer design-build services or project consulting, this coverage protects against:
Claims of negligence
Design errors
Project delays due to professional mistakes
It’s especially important for contractors involved in planning or engineering.
Your tools and machinery are essential—and expensive. Equipment insurance covers:
Theft
Damage
Breakdown
If you own or lease office space, a warehouse, or a storage yard, this coverage protects:
Buildings
Inventory
Office equipment
Final Thoughts
Having the right insurance isn’t just about compliance—it’s about protecting your business, your team, and your reputation. At Wexford Insurance, we help general contractors build strong foundations with coverage tailored to their trade.
👉 Ready to protect your general contracting business?
Contact Wexford Insurance today for a custom quote and expert guidance.
