Operating an electrical contracting business in Georgia involves navigating a web of licensing requirements, safety protocols, and insurance obligations. Insurance is essential for protecting your company, employees, clients, and assets against the many hazards inherent to electrical work. This overview examines key factors shaping insurance costs for electricians in Georgia, followed by an illustration of typical premiums electrical firms of varying sizes can expect to pay. Additional insurance types are also reviewed along with the importance of working with an expert to secure proper coverage at reasonable rates.

For electricians in Georgia, having the appropriate insurance for electricians is crucial. This typically includes liability coverage for electricians to safeguard against third-party claims and workers’ comp insurance for electricians to cover employee injuries sustained while working.

Key Factors Influencing Insurance Costs for Electricians in Georgia

Insurance premiums for Georgia electricians and electrical contractors are driven by these core elements:

Experience Modifier: This number represents your risk level based on past workers’ compensation claims. It starts at 1.00, then moves up or down accordingly. More claims push the modifier and premiums upward. Having a higher modifier suggests greater risks and leads to increased premiums.

Class Codes: These NCCI codes categorize staff by their job type and danger level. Electricians fall under code 5190. More hazardous roles like electricians mean higher premiums compared to lower risk clerical codes.

Payroll Amount: Payroll directly impacts workers’ compensation premiums, which are calculated as payroll / 100 rate experience modifier. Larger payrolls increase costs because the policy premium is tied to the overall compensation amounts.

Number of Employees: Additional employees raise exposure to workers’ compensation claims and lawsuits, boosting premiums. More employees mean more people performing electrical work, increasing the chances for injuries and claims.

Revenue: Higher revenues lead to greater insurance limits needed, translating to higher premiums. More revenue also means more overall work performed, raising risks. Bigger revenues signify larger and more complex electrical jobs.

Claims History: Frequent liability or workers’ compensation claims send premiums climbing. A clean record keeps rates affordable. Insurers associate past claims with future risk.

Location: Metropolitan regions like Atlanta may have elevated premiums due to larger jury awards and cost-of-living. Insurance costs directly correlate with the cost of medical care and claims payouts in the state.

Services Offered: Specialized electrical services carry distinct hazards affecting premiums uniquely. Proper classification is crucial. Complex industrial services may require pricier insurance than residential work.

Overview of Cost Illustration for Small, Medium, and Large Electrical Businesses in Georgia

Below we provide typical premium ranges Georgia electrical contractors can expect to pay for general liability, workers’ compensation, and bonds based on their company’s size.

Remember, your actual rates will vary based on your specific characteristics like experience, past claims, and risk profile. Use these numbers as a reference point for how your premiums may compare. By partnering with an electrical insurance expert, you can aim to secure coverage at the low end of these ranges with suitable protection.

Small Electrical Contractor ($150K Revenues, 1 Owner, 1 Employee)

  • General Liability
    Typical Premium: $1,700
    Low End: $1,000
    High End: $2,900

  • Workers’ Compensation
    Typical Premium: $1,600
    Low End: $1,300
    High End: $2,800

  • Surety Bonds
    Typical Premium: $150
    Low End: $50
    High End: $250

Medium Electrical Contractor ($500K Revenues, 1 Owner, 3 Employees)

  • General Liability
    Typical Premium: $4,400
    Low End: $2,300
    High End: $8,100

  • Workers’ Compensation
    Typical Premium: $4,800
    Low End: $3,600
    High End: $8,000

  • Surety Bonds
    Typical Premium: $150
    Low End: $50
    High End: $250

Large Electrical Contractor ($1M Revenues, 1 Owner, 5 Employees)

  • General Liability
    Typical Premium: $8,500
    Low End: $5,000
    High End: $15,200

  • Workers’ Compensation
    Typical Premium: $8,100
    Low End: $5,700
    High End: $12,500

  • Surety Bonds
    Typical Premium: $150
    Low End: $50
    High End: $250

Overview of Additional Insurance Coverages and Typical Premiums

Beyond general liability, workers’ compensation, and bonds, Georgia electricians should also consider these supplemental insurance policies:

Commercial Auto Insurance: Protects vehicles used for business purposes. Typical premiums range from $1,500 to $3,500 per vehicle annually.

Inland Marine (Tools & Equipment) Insurance: Safeguards tools and equipment onsite and in transit. Typical premiums run $250 to $750 per year.

Commercial Property Insurance: Insures business properties against damage. Typical premiums span $500 to $2,000+ per year.

Employment Practices Liability Insurance: Defends against employment lawsuits. Typical premiums range from $800 to $3,000+ annually.

Cyber Insurance: Covers data breaches and hacking incidents. Typical premiums run $400 to $1,500+ per year.

Umbrella Liability Insurance: Provides extra liability limits atop other policies. Typical premiums range from $600 to $1,200+ per year.

Getting Multiple Quotes and Securing the Right Insurance for Your Electrical Business

Working with an independent insurance agent or broker who specializes in the electrical trade and contractors insurance can prove invaluable when aiming to secure complete, affordable coverage customized to your company’s risks.

Leveraging the expertise of a specialist provides benefits including:

  • Access to multiple leading insurance carriers familiar with the electrical field

  • Assistance understanding coverages specific to your services

  • Risk management guidance to help reduce claim frequency

  • Policy review to avoid gaps or excessive overlaps in protection

  • Procurement of multiple quotes for comparison shopping

  • Aid selecting cost-effective policies offering superior coverage

Ultimately, this expertise furnishes the optimal insurance portfolio at reasonable rates. Don’t leave your company’s protection to chance. Partner with a trusted electrical insurance expert.


Insurance is a crucial backbone helping electrical contractors maintain smooth business operations and growth without the friction of unexpected liabilities or losses. Use this overview as a guidepost when planning adequate insurance for your company’s size and exposures. Then, collaborate with an experienced agent to customize coverage, secure favorable pricing, and provide peace of mind. Power your business ahead knowing risks are addressed and value is maximized.