General Contractors License and Insurance Requirements

You’re ready to begin working for yourself, and you’re especially excited to utilize your passion for construction to make it happen. You’re ready to become a general contractor.

Smart choice, as research shows that the demand for construction workers is expected to increase 5% between 2019 and 2029.

But not so fast. Before you embark on a general contractor career, you need to know which license requirements general contractors must meet. You also need to know what type of insurance you’ll need.

Here’s a rundown on everything you need to know about licensing and insurance needs for general contractors.

Let’s jump in!

General Contractors’ License Requirements

Each state has its own license requirements for working as a general contractor.

In Florida, you must be at least 18 years old. In addition, you must be able to prove that your credit score is at least 660, indicating that you are financially solvent. 

Another key requirement for obtaining a license in the Sunshine State is to pass your state construction test. You must also complete a background check, which includes fingerprinting.

Note that two types of licenses are available for general contractors in Florida. The first is a certified one, which you can use to work in any location in the state. The second option is a registered one, which allows you to work in a particular local jurisdiction.

Both of these options are available to those who meet the above-listed requirements.

General Contractors’ Insurance Requirements

In addition to potentially needing a license to operate as a general contractor in your state, you’ll need to purchase commercial general liability insurance.

This type of insurance provides coverage against any claim that a third party makes for property damage or physical injury that occurred during a contracting job.

With this type of insurance, your insurance company will pay the specified compensation amount associated with your policy. However, it will also cover any legal expenses that you incur during litigation.

Auto liability insurance is another type of insurance you may need to purchase. As a contractor, you’ll be transporting workers to jobs. You’ll also be transporting equipment and material to construction sites using heavy trucks. In the event that your vehicle(s) cause death, property damage, or bodily injury, you’ll be liable to pay any third party who files a related claim.

With auto liability insurance, you can easily cover these claims. You can also cover any legal costs you incur while your claims are in deliberation in court. 

Here’s How We Can Help

We offer a wide variety of top-tier insurance options for homeowners and business owners

For instance, we offer various homeowners insurance plans customized for your needs and budget. In addition, we can provide general contractors with access to free, easy, and fast quotes from various automobile insurers.

We also provide umbrella insurance, life insurance, renters, and commercial insurance. 

Get in touch with us to learn more about how we can help you to get insured and protect your best interests long term.


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