Core coverages in this program
- •General Liability (per-project and blanket additional insured)
- •Workers' Compensation
- •Commercial Auto & Hired/Non-Owned Auto
- •Inland Marine (tools, equipment, installation floater)
- •Builders Risk
- •Commercial Umbrella / Excess Liability
- •Contractor License & Surety Bonds
Texas requirements for contractor businesses
Texas has no statewide general contractor license, but TDLR licenses electricians, HVAC/ACR, and plumbers (through TSBPE), and most large cities add their own registration and bond. What actually governs your insurance is the contract: GC insurance exhibits in Houston and DFW routinely demand $1M/$2M GL, $1M auto, $5M umbrella on larger projects, and a waiver of subrogation on comp.
Workers' compensation in Texas
Texas is the only state where private workers' compensation is optional. Going bare as a 'non-subscriber' removes the exclusive-remedy protection, which is why nearly every general contractor, landlord, and municipality requires subscription anyway. Rates are developed through TDI-approved carriers using NCCI class codes, and contractor payroll typically rates at $4 to $28 per $100 of payroll depending on trade — roofing, framing, and excavation sit at the top of that range. Non-subscriber status must be reported to the Texas Department of Insurance annually and posted for employees. Most contracts override the choice — read the insurance exhibit before deciding to opt out.
What Texas operators actually pay in 2026
The ranges below reflect what KTL clients in Texas pay today for a small-to-midsize operation, adjusted for Texas rating. Your actual premium turns on payroll, revenue, loss history, and — more than anything — whether the risk was classified correctly to begin with.
| Coverage | What it covers | Typical TX annual cost |
|---|---|---|
| General Liability | $1M/$2M limits, small trade contractor | $1,000 – $3,550 |
| Tools & Equipment | Inland marine, $25K–$100K schedule | $400 – $1,350 |
| Commercial Auto | Per truck or van | $1,350 – $2,900 |
| Umbrella | $1M excess over GL and auto | $750 – $2,200 |
| Builders Risk | Per project, course of construction | $950 – $4,700 |
The Texas angle most brokers miss
Texas contractors can legally go bare on comp, but doing so almost always disqualifies you from GC work. We usually place a subscribing policy plus an occupational accident alternative for owner-operators.
Exposures we underwrite for Texas accounts
Every submission we send out is built around the specific ways businesses in this class actually have claims. That is what separates a benchmarked program from a rate quote.
- •Third-party bodily injury on active job sites
- •Uninsured subcontractors landing on your comp audit
- •Tool and equipment theft from trucks and trailers
- •Faulty-workmanship and completed-operations claims
- •GC contracts demanding limits above your current policy
Where we write in Texas
We serve Texas clients remotely by phone, email, and video — no office visit required — with concentrations in Houston, Dallas–Fort Worth, Austin, San Antonio, El Paso. New business, renewals, mid-term changes, and certificates are all handled directly by a licensed advisor rather than a call center.
Ready for a benchmarked quote?
A KTL specialist will shop your risk across multiple A-rated markets within one business day.