Electrician Insurance Cost

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Electrician insurance is a great way to protect your electrician business from extreme financial loss in the event that you make a mistake that causes physical or financial harm to a customer or employee. Without the right coverage, you are leaving yourself and your business open to potential lawsuits and financial damages.

To find the right policy, though, it is important to first understand which types of insurance you may need, the cost of electrician insurance, and how to find the right provider.

Read below to learn how much electrician insurance costs and what types of policies you may need.

We Cover in This Guide

  • How much does electrician insurance cost?
  • What is electrician insurance?
  • What does electrician insurance cover?
  • Benefits
  • Tips for buying
  • FAQ
  • Summary
  • All types of insurance electricians may need

How Much Does Electrician Insurance Cost?

The cost of electrician insurance depends on your business’ needs, size, risks, number of employees, and other factors.

Electrician Insurance Cost

These monthly rates may be higher if you choose to include additional coverage, such as commercial auto insurance or surety bonds.

What is Electrician Insurance?

Electrician insurance is designed to protect electricians from lawsuits and financial damages resulting from work-related accidents. If you make a mistake that results in financial or physical harm, you may be subject to lawsuits, and the cost of insurance pales in comparison to the potential losses you may face if you are found to be liable.

Common types of electrician insurance include general liability, workers’ compensation, professional liability, and other types of coverage. Each is designed to protect electricians and their companies from different common mistakes and circumstances.

What Does Electrician Insurance Cover?

Your coverage will depend on the specific types of policies you choose, your provider, your business risks, and other factors.

Generally, an electrician insurance policy package will cover the following and more:

  • Bodily injury
  • Property damage
  • Employee injury or illness
  • Commercial auto accidents
  • Damaged tools and equipment
  • Claims made due to unsatisfactory, negligent, late, or incomplete work

Be sure to carefully review your policy for exclusions, as doing so will help you determine which supplemental insurance policies you may need, to ensure you and your business are completely covered.


Electrician insurance offers several important benefits, including:

1. Coverage: The coverage offered by electrician insurance can protect you and your business from extreme financial loss if a customer or employee chooses to take legal action due to a mistake made by your company.

2. Professionalism: Insurance does not just protect you and your business, it also protects your customers. Having appropriate coverage will help your customers feel more secure and can help you land more projects.

3. Comply with regulations: Some types of insurance, like workers’ compensation, may be required depending on your state. Having the right coverage will ensure you are complying with local and state regulations.

Tips for Buying Electrician Insurance

When asking how much electrician insurance costs, you should start by looking for the right policy. Finding the best electrician insurance policy can be time-consuming and difficult, so use the following tips to help you find the policy that best suits your business’ needs:

1. Compare Rates: The cost of electrician insurance depends largely on the provider that you choose, so be sure to compare at least three to five quotes to find the best rates available.

2. Know What Policies You Need: To fully protect your company, you may need several types of insurance policies. Knowing which types of coverage you need will help you find a cost-effective and comprehensive policy package.

3. Review Coverage: Reviewing your policy’s coverage will help you determine which other types of coverage you may need to protect your electrician business from different types of claims.


What risks do electricians face?
Electricians face a variety of risks, including bodily injury, equipment failure, employee illness or injury, inventory loss, and more.

Do I need umbrella insurance?
Umbrella insurance simply refers to a policy package that makes up for gaps left by your existing policies. If your current insurance does not offer sufficient coverage, then yes, you may need umbrella insurance.

Is general liability insurance worth it?
Yes, general liability insurance covers many of the most common incidents electrician businesses may face and should be held by businesses in nearly every industry.


Without the right insurance policy, electrician businesses are leaving themselves open to lawsuits and financial damages due to mistakes that cause financial or physical harm to their employees or customers.

By understanding the cost of electrician insurance, the types of policies you may need, and where to find the right provider, you can get the coverage you need to protect your company.

Types of Insurance Electricians May Need

There are several types of policies electricians should consider when determining electrician insurance costs, including:

General Liability: Covers expenses related to personal or bodily injury, property damage, advertising mistakes, and other common accidents.

Workers’ Compensation: Offers wage replacements, covers medical costs, rehabilitation, and more when employees are injured or become ill on the job. Depending on your state, you may be required to have workers’ compensation insurance.

Surety Bond: Surety bonds are contracts that guarantee that you will fulfill your obligations. If the obligation is not carried out, then the client is compensated for their loss.

Professional Liability: Protects electricians against claims made by customers due to a mistake made by you or your company that has caused the customer financial harm. Covers legal expenses, court fees, and settlements.

Typical cost is


General Liability & Professional Liability Coverage

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