As a contractor in New York, securing proper insurance coverage is essential for protecting your business and meeting state requirements. This comprehensive guide analyzes actual quotes from leading carriers to provide accurate cost and coverage information.

Build your business safely with our guide to professional contractor insurance.

General Liability Insurance for New York Contractors

General liability insurance protects your contracting business from third-party claims of property damage and bodily injury. Based on our analysis of over 800 contractor quotes, here are the typical costs for New York contractors:

Revenue SizeAverage Premium% of RevenueFavorable PremiumPotential Savings
$500K$14,5002.9%$11,60020%
$1M$25,6002.6%$16,50036%
$2.5M$75,6003.0%$50,70033%

These premiums assume:

  • Clean claims history (5+ years without incidents)
  • Standard $1M/$2M coverage limits
  • Typical mix of residential and commercial work
  • Approximately 10% subcontractor costs

Worker’s Compensation Insurance for New York Contractors

Worker’s compensation insurance is mandatory for all New York contractors with employees. Based on our analysis, New York contractors typically pay around $5,645 per employee annually for workers’ compensation coverage.

For New York contractors, workers’ compensation costs per $100,000 of payroll average $11,470, which is moderate compared to other states.

Key premium factors include:

  • Employee classification codes
  • Annual payroll
  • Claims history
  • Safety programs
  • Experience modifier rating (EMR)

Common contractor classification codes and their approximate rates in New York:

  • Code 5606 (Project Manager/Supervisor): $3-5 per $100 of payroll
  • Code 5645 (Residential Construction): $8-12 per $100 of payroll
  • Code 5403 (Commercial/Large Projects): $12-17 per $100 of payroll

Additional Business Insurance for Contractors in New York

1. Commercial Auto Insurance

  • Typical cost: $1,000-$4,000 per vehicle annually
  • Required for business-owned vehicles
  • Higher limits often needed for larger contractors
  • Coverage for liability and physical damage
  • Protection for both owned and hired vehicles

2. Tools & Equipment Coverage

  • Cost: $1,500-$5,000+ annually for $15k-$50k coverage
  • Protects both owned and rented equipment
  • Coverage follows equipment to all jobsites
  • Protection against theft, damage, and vandalism
  • Includes coverage during transit

3. Commercial Property Insurance

  • Annual premiums: $2,000-$20,000+ based on property value
  • Protects offices, storage facilities, and workshops
  • Coverage for fire, theft, vandalism, and natural disasters
  • Business interruption coverage available
  • Contents and inventory protection

4. Builder’s Risk Insurance

  • Premium: 0.15-0.75% of project value
  • Covers projects under construction
  • Protection against fire, weather, vandalism
  • Materials coverage both on-site and in transit
  • Extends to temporary structures

5. Contractor License Bonds

  • Multiple bond types available based on project needs
  • Required for certain types of contractors
  • Typical cost: 1-3% of bond amount
  • Premium varies based on credit and experience
  • Protects clients and ensures compliance

Get New York Contractor Liability with ContractorNerd

ContractorNerd specializes in making insurance simple and data-driven for New York contractors. Our platform offers:

  • Instant online quotes from top-rated carriers
  • Side-by-side coverage comparisons
  • Contractor-specific expertise and guidance
  • Streamlined application process
  • Ongoing policy management support
  • Claims advocacy when needed

Our team of contractor insurance specialists understands New York’s unique requirements and can help you:

  • Optimize coverage levels based on your specific risks
  • Find competitive rates through our carrier network
  • Bundle policies for additional savings
  • Ensure compliance with state regulations and contract requirements

To get started with tailored quotes for your New York contracting business, visit our online quote tool or speak with one of our contractor insurance specialists today.