General Contractor Insurance Requirements in Florida're Required to Carry

To hold a Florida Certified General Contractor license (CGC), you must maintain continuous general liability and workers' compensation insurance. The Florida Construction Industry Licensing Board (CILB) requires:

• General Liability: Minimum $300,000 per occurrence / $300,000 aggregate (for residential work). Commercial work typically requires higher limits.
• Workers' Compensation: Required if you have one or more employees. Sole proprietors and corporate officers can file for exemption, but the exemption must be current.
• Property Damage: Minimum $50,000 (often bundled into the GL policy)

Your insurance must be filed with the CILB and kept current. A lapse in coverage can result in license suspension. Use the Bright Coast Policy Verification tool to verify your own policy is showing as active in the state database.

Florida requires workers' compensation coverage for all construction businesses with one or more employees. This includes part-time employees and family members who work in the business. The only exception is for sole proprietors, partners, and corporate officers who have filed and received a valid exemption from the Florida Division of Workers' Compensation.

Key points for GCs:

• You are responsible for verifying that your subcontractors have their own workers' comp coverage
• If a sub doesn't have coverage and gets injured on your job, you may be liable
• Uninsured sub wages are added to your payroll during audit
• Use the WC Exemption Lookup to verify any sub's exemption status

General liability (GL) insurance covers bodily injury and property damage caused by your operations, completed work, and products. For Florida GCs, typical minimum requirements are:

• State licensing minimum: $300,000 per occurrence
• Commercial project owners: Often require $1M–$2M per occurrence
• Government contracts: May require $2M–$5M per occurrence

GL policies for GCs typically include coverage for subcontractor work, but only if the sub is listed as an additional insured or if your policy includes a "blanket additional insured" endorsement. Review your policy carefully.

Florida requires commercial auto insurance for any vehicle used in your business. Personal auto policies exclude business use — if you're driving to job sites, hauling materials, or transporting tools, you need a commercial auto policy.

Minimum Florida commercial auto requirements: $10,000 PIP, $10,000 property damage liability. Most GCs carry $1M combined single limit (CSL) to satisfy contract requirements. See our guide on why commercial auto is required for Florida contractors.

Builders risk insurance covers a structure under construction against damage from fire, wind, theft, vandalism, and other covered perils. It's not required by Florida law, but it is almost always required by:

• Construction lenders (banks won't fund without it)
• Project owners (especially on commercial projects)
• General contracts (standard AIA contract language requires it)

On residential projects, the homeowner sometimes carries builders risk. On commercial projects, the GC typically carries it. See our Florida Builders Risk Insurance Guide for details on coverage, exclusions, and cost.

Operating without required insurance in Florida has serious consequences:

• License suspension: The CILB can suspend your CGC license for a coverage lapse
• Stop-work orders: The Florida DFS can shut down your job site if workers' comp is not in place
• Personal liability: Without GL insurance, you're personally liable for property damage and injury claims
• Contract penalties: Most construction contracts include insurance requirements — non-compliance can void the contract and expose you to damages
• Bid disqualification: You won't be able to bid on most commercial or government projects without proof of insurance