Independent contractors & small crews · 14 min · 5 steps
Insurance starter pack for contractors
GL, workers’ comp, tools, auto, certificates, and umbrella—mapped to how jobsites actually operate.
Educational only. PolicyPlain does not sell insurance and does not provide insurance, legal, or financial advice. Coverage rules and prices vary by state and insurer. Read our full disclaimer.
- 1
Map contract and license requirements
List GL limits, additional insured wording, and workers’ comp rules for your trade/state.
- 2
Separate employee injury from third-party injury
Workers’ comp ≠ general liability. Misclassification of contractors is a major risk.
- 3
Protect tools and vehicles explicitly
Ask about inland marine/tools floaters and commercial auto including hired/non-owned.
- 4
Build a certificate workflow
Collect subcontractor COIs before work starts. Lapses stall payment apps.
- 5
Review umbrella/excess for larger bids
When contracts demand $2M–$5M total limits, discuss commercial umbrella.
Checklist
- Required limits from sample contract
- GL + workers’ comp status clear
- Tools/auto gaps reviewed
- COI process documented
- Umbrella need flagged for big bids
Red flags
- COI without matching endorsements
- Subs on-site without workers’ comp proof
- Personal auto used for crew transport with no commercial discussion