Contractor Insurance Requirements for South Carolina Licensing
South Carolina contractor licensing under SC Code Title 40, Chapter 11 requires minimum general liability ranging from $50,000 to $500,000 depending on classification, with fire sprinkler contractors specifically required to carry $100,000 minimum GL. Most general contractors carry $1 million per occurrence and $2 million aggregate to satisfy general-contractor COI requirements on Greenville commercial jobs.
What insurance does South Carolina require for contractor licensing?
South Carolina contractor licensing under SC Code 40-11 requires liability insurance for most classifications with minimum limits set by the SC Department of Labor, Licensing and Regulation. Specific classes (fire sprinkler, mechanical, electrical) have minimum GL limits ranging from $50,000 to $500,000. Workers compensation is required at 4 or more employees under SC Code 42. The license issuing body verifies coverage at renewal.
How much does contractor insurance cost in Greenville SC?
A typical Greenville general contractor with under $1 million annual revenue pays $1,200 to $4,000 per year for general liability ($1M/$2M limits), $800 to $2,500 per year for commercial auto on one work truck, and 4 to 12 percent of payroll for workers compensation based on NCCI class codes. Bundling all three through an independent agent in Greenville typically saves 5 to 15 percent.
Do subcontractors need their own insurance in South Carolina?
Yes. Most Greenville general contractors require every subcontractor to provide a Certificate of Insurance showing the sub's own GL ($1M/$2M typical), workers compensation, and commercial auto coverage before starting work. SC law does not always require the sub to be insured but commercial GC contracts almost universally do. A 1099 subcontractor without coverage exposes the GC to the sub's injuries and claims.
What does a Greenville contractor liability policy cover?
A commercial general liability policy covers third-party bodily injury (a passerby hurt at the job site), third-party property damage (damage to neighboring property during work), products and completed operations (defects that cause damage after the job is finished), and personal/advertising injury. Coverage excludes workmanship of the contractor's own product, employee injuries (workers comp), and contractor-owned tools (inland marine).
Can a Greenville contractor get a COI the same day?
Yes, an independent agency in Greenville like The Morgano Agency can usually issue a Certificate of Insurance the same business day if the underlying GL, workers comp, and auto policies are already active and the required additional-insured and waiver-of-subrogation endorsements are on file. New endorsements (specific to one job) typically take 1 to 3 business days for the carrier to issue.
About The Morgano Agency
The Morgano Agency Inc is an independent insurance agency in Greenville, South Carolina, founded in 1998 by Vic Morgano. The agency compares rates from multiple carriers including Travelers, Liberty Mutual, Progressive, Hartford, Safeco, and Hagerty for families and businesses across Greenville County and the Upstate. Visit our contractor insurance page or call (864) 609-5285 for a quote. Find the agency on Google Maps.