Operating an electrical business in Utah involves navigating a complex web of risks and insurance requirements. From sole proprietors working independently to large electrical contracting firms managing multiple job sites and personnel, no operation is immune to hazards. Securing proper insurance is essential for all electricians and electrical contractors in Utah looking to effectively defend their company, employees, assets, and livelihood.

This comprehensive guide examines key factors shaping insurance costs for Utah electricians, offers illustrative premium ranges for small, medium and large contractors based on their revenue and team size, and provides an in-depth look at typical costs for essential coverages like general liability, workers’ compensation, surety bonds, commercial auto, inland marine, property, employment practices liability, cyber and umbrella insurance. For electrical business owners, understanding typical insurance rates helps you evaluate policies appropriate for your firm’s specific risks and optimize protection.

Partnering with an independent, knowledgeable insurance brokerage that provides access to top regional and national carriers is vital for electricians and electrical contractors seeking to obtain expert guidance combined with competitive pricing. Work with a specialist who understands the distinct hazards facing Utah electrical companies across sectors like residential, commercial, industrial and more. They will act as your advocate to secure coverage tailored to your operations from insurers equipped to handle the unique needs of contractors.

Whether you are just starting out as an electrician or have been running a large firm for decades, this insurance guide aims to furnish you with useful benchmarks and insights to ensure your business has the ideal insurance portfolio in place.

Utah electricians must have the proper electrician insurance policies to operate legally in the state. This typically includes liability insurance for electricians to safeguard against third-party claims and workers’ comp for electricians to cover employee injuries sustained while on the job.

Key Factors Influencing Insurance Costs for Electricians in Utah

Certain attributes specific to your electrical business have an outsized impact on insurance premiums. Being aware of these cost drivers enables more accurate cost projections. Key factors affecting insurance costs for electricians in Utah include:

Revenues: The higher your business’s earnings, the greater your risks and insurance expenses. More projects and higher payroll lead to increased general liability and workers’ compensation exposures. Typical premiums often utilize revenue as a baseline for calculating costs.

Number of Employees: Additional electricians and staff boost workplace hazards across the board. More personnel means escalating premiums for policies like general liability, workers’ comp, EPLI, umbrella and others. Each worker increases loss exposure.

Experience Modifier: This value represents your business’s workplace safety track record. Premiums rise if your experience modifier increases due to frequent claims. High modifiers signal greater risks to insurers.

Services Offered: Your company’s electrical specialties carry distinct inherent risks affecting premiums differently. For example, high voltage electrical work on transmission lines or systems involves more hazards than wiring a single family home.

Location: Operating in riskier regions of Utah magnifies exposures, leading to costlier premiums. Consider local crime rates, natural disaster proneness, regulatory environment and other area risks. Metropolitan regions often have pricier insurance.

Claims History: Past liability insurance or workers’ compensation claims will likely boost your insurance rates. Insurers associate frequent claims with greater risks. A clean claims record helps maintain affordable premiums.

Policy Limits: For larger electrical projects, expanded liability insurance or umbrella limits may be mandated. Higher coverage levels increase potential payouts, so premiums rise as well. Regularly reassess optimal coverage amounts.

Carrier: Insurance companies have differing risk appetites, pricing models and electrician expertise. This means potential cost variability between insurers. An expert broker provides access to top Utah electrician-friendly carriers.

Overview of Cost Illustration for Utah Electrical Businesses

The sample premium ranges below provide approximated insurance costs for small, medium and large electrical contractors based on their annual revenues and number of employees. Remember, your specific insurance rates are dictated by your unique risk attributes, so utilize these figures as general guidelines for comparison purposes.

Working with an insurance advisor experienced in the electrical trade who can obtain multiple quotes from premier carriers gives you leverage to secure the best value coverage fine-tuned to your particular requirements. The prices shown assume a business operating predominantly in residential projects with over 10 years of experience and no major losses. Use this information as a benchmark to evaluate policies appropriate for your firm’s size, services, and risk profile.

Small Electrical Contractor Sample Insurance Costs

$150K Annual Revenues, 1 Owner, 1 Employee

General Liability Insurance

Typical Premium: $1,300

Low End Premium: $900

High End Premium: $2,000

Workers’ Compensation Insurance

Typical Premium: $900

Low End Premium: $800

High End Premium: $1,600

Surety Bonds

Typical Premium: $450

Low End Premium: $150

High End Premium: $750

Medium Electrical Contractor Sample Insurance Costs

$500K Annual Revenues, 1 Owner, 3 Employees

General Liability Insurance

Typical Premium: $3,900

Low End Premium: $3,000

High End Premium: $5,900

Workers’ Compensation Insurance

Typical Premium: $2,800

Low End Premium: $2,100

High End Premium: $4,700

Surety Bonds

Typical Premium: $450

Low End Premium: $150

High End Premium: $750

Large Electrical Contractor Sample Insurance Costs

$1M Annual Revenues, 1 Owner, 5 Employees

General Liability Insurance

Typical Premium: $7,300

Low End Premium: $5,800

High End Premium: $10,700

Workers’ Compensation Insurance

Typical Premium: $4,700

Low End Premium: $3,300

High End Premium: $7,300

Surety Bonds

Typical Premium: $450

Low End Premium: $150

High End Premium: $750

Overview of Additional Essential Insurance Coverages

To round out their insurance programs, electrical contractors require several other key policies beyond general liability, workers’ compensation and surety bonds. Common coverages include:

Commercial Auto Insurance: Covers vehicles utilized for business activities. Typical premiums range from approximately $1,500 to $3,500 annually per vehicle. Protects against liability or property damage from auto accidents.

Inland Marine Insurance: Safeguards tools and equipment when on job sites and in transit. Typical premiums range from about $250 to $750 per year based on total value of equipment.

Commercial Property Insurance: Shields company properties like offices, warehouses, and storage facilities from damage/loss arising from events like fires, storms, vandalism and theft. Typical premiums range from approximately $500 to $2,000 annually or more depending on property value, location and other factors.

Employment Practices Liability (EPLI) Insurance: Defends businesses from employment-related lawsuits around issues of discrimination, wrongful termination, harassment and more. Typical yearly premiums range from about $800 to $3,000+ based on team size, revenue, and other risk attributes.

Cyber Liability Insurance: Covers costs associated with data breaches, hacking and various cyber crimes. Can protect against network damage, lost income, breach response costs, reputational harm and third party claims. Typical annual premiums range from around $400 to $1,500+.

Umbrella Liability Insurance: Provides additional liability coverage above and beyond limits of other policies. Augments protection from catastrophic claims. Typical yearly premiums range from approximately $600 to $1,200+ based on business size, specialty trade, and other variables.

Getting Multiple Quotes and Securing the Right Insurance

It is important for all electrical business owners to work with an independent insurance brokerage that provides access to numerous highly-rated regional and national insurance carriers. This enables you to obtain multiple quotes for your required coverages, then ultimately select the optimal blend of coverage, pricing and support for your distinctive operations and risk profile.

Prioritize a brokerage who assigns you an expert agent focused specifically on the electrical contracting trade. They will take the time to understand your firm’s specialties, project types, safety protocols, business structure and other attributes in order to configure an insurance portfolio aligned with your needs from trusted electrician-friendly carriers.

The right insurance advisor will act as your continuing advocate for securing tailored competitive-priced policies, providing risk management guidance, assisting with certificate requests, and handling claims smoothly. Take advantage of their expertise and carrier connections to get the proper insurance mix for your company.


This guide examines typical insurance costs for Utah electricians and electrical contractors, ranging from independent electricians to large specialty contracting firms. While your actual rates are dictated by your unique risk profile, the premium ranges provided offer ballpark figures to inform your insurance planning.

Use this resource as a knowledge base when beginning your insurance program or evaluating existing coverage. Make sure to work with a trusted expert insurance advisor to discuss your firm’s particular requirements and secure protection properly calibrated to your budget, operations and risk factors.

Your insurance portfolio is a foundational asset defending your business. Examine the spectrum of essential policies and collaborate with an electrical trade specialist broker to craft customized, affordable insurance that allows you to focus on your work, people and clients, not hazards.