As a plumber in California, having proper insurance coverage is crucial for protecting your business, meeting state requirements, and securing contracts. This comprehensive guide breaks down the essential insurance coverages California plumbers need, including costs based on our analysis of actual quotes from leading carriers.

Explore complete resources about plumbing company insurance requirements.

General Liability Insurance for California Plumbers

Based on our analysis of over 900 plumber quotes from leading carriers, here are the typical costs for California plumbers:

Average Annual Premiums and Revenue Percentages

Revenue SizeAverage Premium% of RevenueFavorable RatePotential Savings
$150K$12,9308.60%$7,52041.80%
$500K$25,0605.00%$25,0600.00%
$1M$45,5504.60%$40,99010.00%

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 California Plumbers

California requires workers’ compensation insurance for all plumbers with employees. Based on our analysis:

Cost Per Employee

  • Average annual cost per plumber: $14,930

Cost Per Payroll

  • Rate per $100K of payroll: $5,000

Key factors affecting premiums:

  • Job classification (Code 5183 for plumbers)
  • Total payroll
  • Claims history
  • Safety programs
  • Experience modifier rating (EMR)

Additional Business Insurance for Plumbers in California

1. Tools & Equipment Insurance

  • Annual premiums: $200-$2,000
  • Policy limits: $5,000-$15,000+
  • Per-item limits typically $5,000

2. Commercial Auto Insurance

  • Premiums: $1,500-$3,050 per vehicle annually
  • Standard limits: $100K per person, $300K per accident
  • $100K property damage coverage

3. Plumber License Bonds

  • Required bond amount: $25,000
  • Premium costs vary by credit score:
  • Excellent credit: $200-$500
  • Good credit: $500-$1,200
  • Poor credit: $1,200-$2,500

4. Commercial Property Insurance

  • Annual premiums: $1,000-$5,000
  • Coverage based on:
  • Property value
  • Location risks
  • Building construction type

5. Business Owner’s Policy (BOP)

  • Bundles general liability and property coverage
  • Often more cost-effective than separate policies
  • Includes business interruption coverage

Get California Plumber Liability with ContractorNerd

ContractorNerd makes plumber insurance simple and data-driven through:

  • Specialized expertise in plumbing industry coverage needs
  • Network of top-rated insurance carriers
  • Quick online quotes and coverage comparisons
  • Streamlined application process
  • Ongoing policy management support
  • Claims advocacy when needed

Our plumbing insurance specialists 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 California regulations

Based on our analysis of over 900 plumbing contractors, our clients typically save 20-50% on their liability premiums by comparing options through our network.

Contact ContractorNerd today for tailored quotes for your California plumbing business.