Insurance in Florida

Florida requires certified and registered contractors to carry public liability and property damage insurance as a condition of license issuance. Minimum amounts are set by rule of the Construction Industry Licensing Board (CILB), not by statute, and are published in Florida Administrative Code rule 61G4-15.003. Check the current version of the rule linked below for the exact dollar minimums that apply to Division I general, building, and residential contractors and to Division II specialty contractors. The floor is a license minimum. Commercial customers and general contractors will often require higher limits before you can step on site. Workers' compensation in Florida construction. Florida Department of Financial Services, Division of Workers' Compensation, administers the rules. The headline rule for construction: employers in the construction industry must provide workers' compensation coverage with 1 or more employees, including the business owner if the owner is a corporate officer or LLC member. This is different from non-construction industries, where the trigger is 4 or more employees. Construction corporate officers and LLC members can apply for a personal exemption, subject to limits on how many exemptions can be granted per entity. See the Florida DFS link below for the current exemption rules. Financial responsibility. CILB also requires applicants to demonstrate financial responsibility, which includes a credit report and either a net worth showing or a surety bond up to the statutory ceiling ($20,000 for Division I, $10,000 for Division II) and can be partially satisfied with a 14-hour financial responsibility course. Other coverages to carry: - Commercial auto for trucks and vans used on the job. Personal auto policies carve out business use. - Hired and non-owned auto for employees driving their own vehicles on company business. - Inland marine (contractor's equipment) for tools and equipment on the job site. - Pollution liability for refrigerants, solvents, and fuel handling. Relevant for AC and mechanical trades. - Hurricane wind deductibles on any coverage that includes Florida property. Read the deductible carefully. - Umbrella for $1M or $2M over the underlying general liability. Shop the market annually. Florida trade association programs through ABC, AGC, FRSA, FEA, and PHCC often price group coverage better than street rates. Confirm every policy against CILB rule 61G4-15.003 before you assume you have met the license insurance floor.