Operating an electrical business in Oklahoma involves significant risks stemming from the skilled trade nature of the work, interaction with customers, employment concerns, lawsuits, natural perils, and more. To defend their company against financial and reputational damage, electricians and electrical contractors need insurance tailored to the exposures inherent to their industry.

Choosing inadequate or overpriced policies could severely impact an electrical company’s bottom line. That’s why partnering with an experienced, independent broker representing specialty insurance carriers is key to securing coverage that protects assets without straining budgets.

This comprehensive guide examines the array of factors influencing insurance costs for electricians in Oklahoma. It also provides typical premium ranges for small, medium, and large electrical contractors to use as a pricing benchmark when shopping for policies.

Understanding both the variables shaping electrician insurance expenses and cost illustrations based on business attributes empowers electrical companies to invest in the proper coverage at reasonable rates. Equipped with this knowledge, contractors can confidently fuel their growth across Oklahoma through access to premier insurance safeguarding their interests.

Electricians working in Oklahoma need to have the proper electrician insurance policies in place. 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 on the job.

Key Factors Influencing Insurance Costs for Electricians in Oklahoma

An electrician’s insurance premiums largely hinge on the following aspects:

Revenue and Payroll: As an electrical business grows its revenue and payroll, its total insurance costs typically rise. More revenue means taking on a greater volume of electrical projects, which increases general liability risks. Larger payrolls directly raise workers’ compensation premiums.

Number of Employees: More electricians and staff members being covered exposes the business to heightened risks and workers’ compensation expenses. Each additional employee expands the overall risk profile.

Services Provided: Electricians performing specialized, high-risk services involving high voltage systems, hazardous locations, or major construction projects often pay higher premiums than those focused on residential wiring. The breadth and complexity of work factors into pricing.

Claims History: Consistent insurance claims drive costs upward over time. Electrical businesses with clean loss run histories generally benefit from lower premiums.

Location: Insurance rates can vary significantly across Oklahoma depending on regional risk attributes, state and municipal laws, local legal environments, and cost of living. Urban areas typically have pricier insurance than rural regions.

State Regulations: Compared to states like California and Florida, Oklahoma has relatively modest insurance requirements for electricians. But local jurisdictions may impose additional rules that influence costs.

Value of Tools/Equipment: The value of tools, equipment, vehicles and other assets requiring inland marine and property insurance coverage affects pricing. More expensive assets mean greater potential payouts.

Business Structure: Sole proprietors, partnerships, LLCs and corporations each have distinct advantages and disadvantages for electricians when it comes to liability protections. The business structure can impact perceived risk.

Credit History: Electricians with poor FICO credit scores may be considered higher risk customers by insurers, potentially leading to higher premiums. Maintaining excellent business and personal credit helps keep costs down.

Safety Record: Documented safety protocols, training programs, and a clean OSHA violation history prove an electrical contractor’s focus on risk management. This helps secure lower premiums.

Association Memberships: Being part of regional NECA chapters or other reputable electrician trade associations looks favorably to insurers and may provide access to discounted group coverage.

Now let’s explore typical insurance costs for electricians in Oklahoma based on business size.

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

Here we provide typical premium ranges at the low end, middle, and high end for small, medium, and large electrical contractors in Oklahoma.

These premiums assume a business working predominantly on residential homes or small commercial buildings with over 10 years of experience and no major claims. Actual rates will depend on your firm’s unique attributes and risk profile.

Use these annual premium ranges as a comparative guideline when evaluating policies from brokers. Being properly insured is crucial, but overpaying can drag down your bottom line. With an expert broker, many electrical businesses can secure coverage near the low end of each range.

Partnering with specialty insurance markets catering to electricians is key for contractors in Oklahoma to land affordable, tailored protection. Avoid carriers lacking niche expertise and leverage brokers focused on your sector.

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

General Liability Insurance

Typical Premium: $1,800

Low End: $600

High End: $3,100

General liability insurance is essential for electricians to be defended from third party property damage and bodily injury claims. For small electrical firms, experts suggest $1 million per occurrence and $2 million aggregate limits.

Workers Compensation Insurance

Typical Premium: $1,500

Low End: $1,200

High End: $2,700

This policy pays for employee injuries and lost wages. Oklahoma requires all employers with 1 or more workers to carry workers’ compensation.

Surety Bonds

Typical Premium: $300

Low End: $100

High End: $500

While not mandated statewide, many municipalities in Oklahoma require electrician surety bonds to maintain licensing. Typical amounts range from $5,000 to $10,000 based on the jurisdiction.

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

General Liability Insurance

Typical Premium: $3,600

Low End: $1,500

High End: $6,800

At this business size, recommended GL limits rise to $2 million per occurrence and $4 million aggregate. Larger firms take on more risks requiring higher limits.

Workers Compensation Insurance

Typical Premium: $4,600

Low End: $3,500

High End: $7,700

More employees mean greater workers’ compensation exposure. Payroll size is a major premium factor.

Surety Bonds

Typical Premium: $300

Low End: $100

High End: $500

With larger projects, bond amounts often climb to $15,000 – $25,000 depending on the jurisdiction. But the percentage-based premium remains affordable.

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

General Liability Insurance

Typical Premium: $6,700

Low End: $3,300

High End: $12,600

GL limits for bigger firms frequently reach $3 million per occurrence and $6 million aggregate. More coverage requires increased premiums.

Workers Compensation Insurance

Typical Premium: $7,700

Low End: $5,400

High End: $12,000

The premium calculation bases heavily on total payroll. More employees equal greater payroll and heightened workers’ comp costs.

Surety Bonds

Typical Premium: $300

Low End: $100

High End: $500

For larger contractors, bond requirements typically remain under $25,000. The premium is a small percentage of the bond amount.

Overview of Additional Insurance Coverages and Typical Premiums

Besides the policies above, here are typical premiums for other common electrician insurance options:

Commercial Auto Insurance

Typical Premium: $2,000 per vehicle

This covers your fleet for collisions, property damage, and liability.

Inland Marine (Tools & Equipment) Insurance

Typical Premium: $750 per year

This protects expensive tools and equipment on job sites and in transit.

Commercial Property Insurance

Typical Premium: $1,000 per year

This insures your business properties against damage risks like fire.

Employment Practices Liability

Typical Premium: $2,000 per year

This protects against employment lawsuits around discrimination, harassment, wrongful termination etc.

Cyber Insurance

Typical Premium: $900 per year

This covers data breaches, hacking incidents, cyber theft and other digital risks.

Umbrella Liability Insurance

Typical Premium: $1,500 per year

This provides additional liability coverage beyond your other policies’ limits.

Errors & Omissions Insurance

Typical Premium: $900 per year

This protects against allegations of negligent work or defective systems causing financial harm to clients.

Flood Insurance

Typical Premium: $700 per year

This covers damage costs if your commercial property floods. Critical if located in a flood zone.

Business Owner’s Policy (BOP)

Typical Premium: $2,000 per year

Bundles property and liability insurance for simplified coverage. Typically required when leasing commercial space.

Getting Multiple Quotes And Securing the Right Insurance

It’s crucial to partner with an independent insurance brokerage that specializes in contractor and electrician policies across Oklahoma. They represent numerous highly-rated carriers, allowing them to compare multiple quotes side-by-side to find the optimal blend of coverage and cost.

An expert commercial insurance broker provides key benefits:

  • Access to leading specialty insurance carriers catering to electricians
  • Ability to customize coverage rather than force ill-fitting policies
  • Risk management guidance to structure adequate limits without overinsuring
  • Leverage negotiating on your behalf for superior terms and conditions
  • Ongoing support for policy changes and claim resolution
  • Potential eligibility for trade association group coverage discounts

Investing time upfront to locate a seasoned industry-focused broker pays dividends through access to top-tier coverage at competitive pricing. They act as your advocate, allowing you to focus on operating your electrical business profitably.


This detailed guide examines how revenue, payroll, team size, services, history and other attributes influence electrician insurance costs in Oklahoma. It also provides typical premium ranges for reference to ensure your business doesn’t overpay.

Equipped with this knowledge, electrical contractors can partner with specialty brokers, evaluate insurer quotes, and ultimately construct insurance portfolios with both ample protection and optimized value. Proper insurance fortifies your business as you keep Oklahoma running with expert electrical services.