Electrician Insurance: Coverage for Electrical Contractors
The insurance electrical contractors commonly carry, from general liability with completed operations to tools, auto, workers' comp and license bonds.
Electrical contractors work with a hazard that can cause damage long after they've left the site. A loose connection or overloaded circuit might not cause a fire until months later. That's why electricians' insurance focuses heavily on liability, including work you've already completed.
Key risks for electricians
- Fires or electrical damage caused by your work, during or after the job.
- Electric shock injuries to clients, other trades or the public.
- Damage to walls, ceilings and finishes while running wires.
- Falls from ladders and lifts, and shock injuries to your own workers.
- Theft of tools, meters and wire stock.
General liability with completed operations
General liability is the foundation. For electricians, the products-completed operations part is especially important, because it addresses claims arising after a job is finished. Check the aggregate limit for completed operations and whether any exclusions apply to the type of electrical work you do, such as industrial or high-voltage work.
Licensing, bonds and contract requirements
Electricians are licensed in most states, and licensing often comes with insurance or bond requirements. General contractors and commercial clients frequently require:
- Specific general liability limits, sometimes with an umbrella.
- Being named as an additional insured.
- Waiver of subrogation and primary/non-contributory wording.
- Proof of workers' comp and auto coverage.
Send contracts to your agent before signing.
Other coverages
| Coverage | Why electricians consider it |
|---|---|
| Tools and equipment | Meters, testers, benders and stock in vans are frequently stolen. |
| Commercial auto | Work vans with racks and materials. |
| Workers' comp | Falls and shocks are serious injury risks. |
| Professional liability | Design-build or system specification work. |
Reducing claims
- Follow applicable electrical codes and pull required permits.
- Document inspections and sign-offs.
- Use lockout/tagout procedures.
- Photograph work before walls are closed up.
Frequently asked questions
Does general liability cover a fire caused by my wiring after the job is finished?
Claims arising from completed work are typically handled under the products-completed operations part of general liability, subject to the policy's terms and exclusions. Confirm your policy includes it.
Do electricians need a license bond?
Many states or cities require a contractor license bond as part of licensing. Check your state licensing board.
Do electricians need professional liability?
If you provide design, engineering-type advice or system specifications, professional liability can address claims about those services, which general liability may exclude.