As a handyman in Texas, having proper insurance coverage is essential for protecting your business and meeting client requirements. This comprehensive guide breaks down insurance costs and coverage options based on our analysis of over 850 quotes from leading carriers.
Gain insight into handyman insurance basics to meet local standards.
General Liability Insurance for Texas Handymen
Based on our analysis of quotes from leading carriers, here are typical handyman liability insurance costs:
| Revenue Size | Avg. Premium | % of Revenue | Favorable Rate | Potential Savings |
|---|---|---|---|---|
| $150K | $2,840 | 1.90% | $2,110 | 26% |
| $500K | $7,780 | 1.60% | $5,110 | 34% |
| $1M | $15,890 | 1.60% | $10,710 | 33% |
These premiums assume:
- Clean claims history (5+ years)
- Standard $1M/$2M limits
- Class code 91344 for basic repair work under $2,500
- 10% subcontractor costs
Workers’ Compensation Insurance for Texas Handymen
Workers’ compensation insurance costs for handymen vary by state under code 5645:
Premium Costs
- Average cost per employee in TX: $1,854 annually
- Rate per $100 payroll in TX: $4.39
- Texas has some of the lowest WC rates nationally at $4,390 per $100K payroll
- Coverage is optional in Texas but recommended
Key factors affecting premiums:
- Experience modifier rating
- Total payroll
- Claims history
- Safety programs
Additional Business Insurance for Handymen in Texas
1. Tools & Equipment Insurance
- Annual premiums: $200-$2,000
- Coverage limits: $5,000-$15,000+
- Per-item limits typically $5,000
- Protects tools during transit and at job sites
2. Contractor’s E&O Insurance
- Annual premiums: $300-$1,000
- Coverage limits: $100,000-$1M+
- Covers faulty workmanship claims
- Includes defense costs and settlements
3. Commercial Auto Insurance
- Cost: $1,500-$3,050 per vehicle annually
- Standard limits: $100K/$300K/$100K
- Higher limits recommended ($500K-$1M)
- Required for business-owned vehicles
4. Surety Bonds
Typical costs based on bond amount and credit:
| Bond Amount | Excellent Credit | Good Credit | Bad Credit |
|---|---|---|---|
| $5,000 | $100-$150 | $150-$200 | $200-$400 |
| $10,000 | $100-$300 | $300-$500 | $500-$1,000 |
| $25,000 | $200-$500 | $500-$1,200 | $1,200-$2,500 |
Get Texas Handyman Liability with ContractorNerd
ContractorNerd makes handyman insurance simple and data-driven through:
- Specialized agents who understand Texas handyman risks and requirements
- Network of leading carriers for competitive rates
- Quote analysis showing 20-50% potential savings
- Streamlined application process
- Flexible payment options
- Ongoing policy management support
- Claims advocacy when needed
Our experts help optimize coverage and ensure compliance while finding the most competitive rates. Contact us today for tailored quotes for your Texas handyman business.