Illinois Contractor Insurance: Quotes From 30/mo

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When you are a contractor, you always strive to exceed the expectations of your clients, whether it is a simple renovation, rebuilding, plumbing, or lighting installation project. But even for the most experienced contractors, accidents at one point may be inevitable. When such unfortunate events occur, you need an insurance policy in place to assist in maintaining the reputation of your business and safeguard the assets you have worked tirelessly to acquire.

For a contractor, you must create your policy and bundle it up with other insurance products to obtain an ideal cover for your work. In this article, we will discuss the most fundamental contractor insurance Illinois products you must acquire and some of the leading companies that offer these policies:

Illinois Contractor Insurance Requirements

Below are some insurance requirements for Illinois contractors:

  • Public liability insurance–Contractors must provide a certificate of insurance that covers public liability. The coverage should be at least $100,000 per person and $300,000 per accident. This ensures that in case of any injury to individuals, there is sufficient coverage to compensate them adequately.

  • Property damage insurance–Contractors are also required to have property damage insurance. The minimum coverage amount should be $50,000, with a limit of no less than $10,000 for each accident. This insurance helps if any property is damaged during the construction process

  • Bonding–Surety bonds may be necessary for certain projects, with a bond amount of $10,000, offering clients financial protection if contractors fail to meet contractual obligations

  • Workers’ compensation insurance–Illinois law requires most employers, including independent contractors, with employees to hold workers’ compensation insurance. Workers’ compensation insurance benefits personnel who sustain injuries or illnesses on the job. Employers who willfully fail to provide workers’ compensation insurance may face penalties of up to $500 per day, with a minimum fine of $10,000

General Liability Insurance for Illinois Contractors

CoverWallet  NEXT (Best) Thimble Hiscox The Hartford
Per occurrence limit  $1,000,000 $1,000,000 $1,000,000/$2,000,000 $2,000,000 $1,000,000/$2,000,000
Aggregate limit  $2,000,000 $2,000,000 $1,000,000/$2,000,000 $2,000,000 $1,000,000/$2,000,000
Products and completed operations aggregate limit  $2,000,000 $1,000,000 $2,000,000 $1,000,000 $1,000,000
Advertising injury coverage aggregate limit  $1,000,000 $1,000,000 $2,000,000 $1,000,000 $1,000,000
Tenant’s legal liability coverage limit  $300,000/$1,000,000 $300,000 $100,000 $100,000 $1,000,000
Waiver of subrogation included? Yes No Included Can be included No
Hired/non-owned auto liability coverage included? Yes No No Can be included Can be included
Equipment breakdown floater included? No  Yes Yes Can be included Can be included
Can you get a certificate of insurance online? Yes Yes Yes Yes Yes
Name additional insureds? Yes Yes Yes Yes Yes
Deductible $0 $0 $0 $0 $0


General liability insurance is a fundamental policy for contractors who operate in Illinois. It protects your contracting business from financial losses due to lawsuits or claims filed by third parties. It covers common liabilities such as property damage, personal injury, bodily injury, or advertising claims. But the policy can have some limitations and exclusions, so you must critically evaluate the policy terms.


What Incidents Are Covered by This General Contractor Insurance Illinois?

  • Bodily injury–A customer or passerby can sustain physical harm when on your premises. This policy will cover all the hospital bills and legal defense costs.

  • Property damage–Your operations may cause damage to a customer’s property; the coverage will reimburse replacement or repair costs.

  • Personal injury–Slander, defamation, and libel claims 

Add-ons to General Liability Insurance for Illinois Contractors

  • Installation floater–If your contracting business involves working with valuable equipment, you need this add-on to cover these items in the installation process

  • Umbrella liability insurance–This coverage offers extra coverage that is beyond the limits of your general liability insurance. It offers protection for large claims

Coverage Limits of General Liability Insurance for Illinois Contractors

When choosing the appropriate coverage limit for your contracting business, you need to select an amount that aligns with the size and nature of your business. However, you can be paid $1 million to $2 million for a single occurrence and up to $5 million for all incidents in a policy period.


Professional Indemnity Insurance for Illinois Contractors

CoverWallet  NEXT Thimble (Best) Hiscox The Hartford
Per occurrence limit  $1,000,000 $1,000,000 $1,000,000/$2,000,000 $1,000,000 $1,000,000
Aggregate limit  $2,000,000 $2,000,000 $1,000,000/$2,000,000 $1,000,000 $2,000,000
Name additional insureds? Yes Yes Yes Yes Yes
Waiver of subrogation included? Yes No Yes Can be included No
HIPAA coverage included? No No No No No
Sexual misconduct coverage included? No No No No Can be included
License defense coverage included? No No No No Can be included
Deductible  $500 $500 $500 $50/$10,000 $500


You must acquire professional indemnity insurance if you offer design, consultation, or any other professional service in your contracting business. This will cover claims made by clients who are not content with your work. It typically cushions your business from claims related to professional errors, negligence, or omissions.


What Incidents Are Covered by This General Contractor Insurance Illinois?

  • You untimely cancel or fail to honor an agreement, and your clients suffer massive losses

  • Your employees make a mistake when designing a building, the structure is erected wrongly, and your client must incur high costs to redesign the structure

  • You offer clients misleading construction information leading to financial repercussions.

  • You make a mistake when procuring construction materials, and your clients suffer significant losses

Add-Ons to Professional Indemnity Insurance for Illinois Contractors

  • Abuse and molestation coverage–This add-on safeguards your contracting business from allegations of molestation and abuse

  • Cyber liability insurance–This add-on will cover all liabilities arising from unauthorized access to your sensitive data. It will pay for notification costs, legal costs, and all damages

Coverage Limits of Professional Indemnity Insurance for Illinois Contractors

After a customer sues you for professional omissions or negligence, your insurance company will pay $1 million to $5 million for each occurrence. The aggregate limits in one policy period can be up to $10 million.

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Commercial Property Insurance for Illinois Contractors

CoverWallet NEXT (Best) Thimble Hiscox The Hartford
Building coverage limit (minimum) $50,000 $260,000 $25,000/$500,000 $25,000 $60,000
Contents coverage limit (minimum) $50,000 $22,000 $25,000/$500,000 $25,000 $60,000
Outdoor signs Excluded $2,500 Excluded Excluded Excluded
Accounts receivable  Excluded Excluded $5,000/10,000 Included Excluded
Money and securities Excluded $2,500 $1,000 Included Excluded
Lock and keys  Excluded $2,500 Excluded Excluded Excluded
Business interruption floater Excluded Included Included Included Excluded
Equipment breakdown floater Excluded Included Excluded Excluded Excluded
Inland marine insurance floater Excluded Excluded $10,000 Excluded Excluded
Employee dishonesty floater Excluded $5,000 $2,500 Included Excluded


You must have physical structures, inventory, and equipment to operate a contracting business successfully. Your physical assets are integral to running your operations; you must shelter them from various incidents. Commercial property insurance covers perils such as:

  • Fire

  • Burst pipes

  • Earthquakes

  • Floods

  • Theft

  • Vandalism

What Are the Commonly Covered Incidents Under This Contractor Insurance Illinois?

  • An unauthorized person breaks into your construction business and steals your property.

  • A fire erupts and causes damage to partial or total business properties

  • An earth tremor occurs and leads to the collapse of your buildings

  • Unauthorized personnel vandalizes your building and destroys your equipment

Add-Ons to Commercial Property Insurance for Illinois Contractors

  • Builders risk insurance–If you are constructing a new building or renovating an old one, you need this add-on to cover the property you are working on. It shelters any damage that may occur during your operations

  • Installation floater–If you work with valuable materials or equipment which belong to another party. This add-on offers coverage for these items

Coverage Limits of Commercial Property Insurance for Illinois Contractors

Your physical structure can be covered with an average of $10,000 to $60,000, but the coverage will range depending on the exact value of your property.


Business Owner’s Policy for Illinois Contractors

CoverWallet NEXT (Best) Thimble Hiscox The Hartford
Building coverage limit (minimum) $50,000 $260,000 $25,000/$500,000 $25,000 $60,000
Contents coverage limit (minimum) $50,000 $22,000 $25,000/$500,000 $25,000 $60,000
Outdoor signs Excluded $2,500 Excluded Excluded Excluded
Accounts receivable  Excluded Excluded $5,000/10,000 Included Excluded
Money and securities Excluded $2,500 $1,000 Included Excluded


A business owner’s policy is a convenient and cost-effective option for your construction business. With this policy, you can manage two or three policies as one. Most BOPs combine business interruption, property, and general liability policies.


What Are the Situations Covered by This Policy?

  • Someone is injured while inspecting the construction site or when delivering construction materials.

  • Someone vandalizes your business property and causes significant damage to your assets

  • Claims of libel are made against your construction business

  • One of your employees damages a client’s laptop or any other property

Add-Ons for Business Owner’s Policy for Illinois Contractors

  • Flood insurance–If you suspect your area is prone to flooding, this add-on will cover building repair or reconstruction costs

  • Commercial crime insurance policy–This add-on protects your construction business against any dishonest actions committed by your employees

Coverage Limits of BOP for Illinois Contractors

After an incident occurs, you will be reimbursed a certain amount, whether the destruction of your property or bodily injury to third parties. Typically, you will be paid up to $2 million for your liability coverage and up to $5 million for your property coverage.


Tools and Equipment Insurance for Illinois Contractors

NEXT  Thimble Hiscox The Hartford
Aggregate limit $3,000/$10,000 $2,500/$5,000 $15,000/$25,000 $5,000-$10,000
Covers hired and borrowed equipment? $3,000/$10,000 $2,500/$5,000 No Yes
Miscellaneous equipment also covered? $5,000/$10,000 No Yes Yes
Offered as an endorsement to general liability insurance? Yes Yes Yes Yes
Deductible $500 $500 $0 $0


Contractors work with different tools, machinery, and equipment to help in their work. When these assets are damaged or lost, you may go at a loss; therefore, covering them is essential. A tools and equipment insurance policy is the cover you need to get.


What Are Some of the Incidences It Covers?

The tools and equipment insurance policy can be useful in different situations. They include;

  • Theft or burglary of your tools and equipment

  • Vandalism of your tools and equipment

  • Operator error

  • Upset

  • Lightning and electrical surges

What Are the Coverage Limits for Tools and Equipment Insurance for Illinois Contractors?

The coverage limits tend to vary. Typically, most insurance companies determine the limits based on the total value of your tools and equipment. Therefore, the insurers assess what your tools and equipment are worth to determine the coverage limits they will offer you.

Add-Ons for Tools and Equipment Insurance for Illinois Contractors

There are some add-ons you can have to enhance your coverage. They include:

  • Inland marine coverage helps extend the coverage to cover your tools and equipment outside the contractor’s premises.

  • Rented or borrowed tools and equipment coverage reimburses the owner of tools you hire or borrow sustain damage due to fire, theft, vandalism, and other covered perils 

 A photo of a woman in a construction site.


Commercial Auto Insurance for Illinois Contractors

Commercial auto insurance covers vehicles that you use in the course of your business operations. As you transport and haul your equipment, you must insure your vehicles against instances that may cause your contracting business to suffer monetary loss. This policy covers:

  • Damages to your  commercial vehicle

  • Accidents that your commercial vehicle caused

  • Injuries of the driver and passengers of your commercial vehicle

  • Damages that an uninsured/underinsured motorist caused

Add-Ons for Commercial Auto Insurance for Illinois Contractors

There are some add-ons you may need for extra coverage. They include:

  • Comprehensive coverage helps cover your car against non-collision accidents such as fire, vandalism, and theft

  • Rental reimbursement coverage helps reimburse the cost of renting a vehicle when your work vehicle is out of service

Excess Liability Insurance for Illinois Contractors

Excess liability insurance provides additional coverage to your primary insurance policies, such as general liability insurance. This protects you from financial losses exceeding your primary insurance coverage limits.

Suppose a $1 million bodily injury lawsuit is filed and you only have a $500,000 general liability policy. In such a case, excess liability insurance can cover the remaining $500,000. 


What Are the Coverage Limits of Excess Liability Insurance for Illinois Contractors?

The coverage limits of the policy differ depending on the provider. The limit is typically high and can range from $5 million.


Workers Compensation Insurance for Illinois Contractors

It is an insurance policy covering work-related injuries they may suffer when you do your contracting job. The policy can also provide medical benefits and cover any lost wages employees may incur when injured or ill as they perform their duties.


What Are the Specific Situations the Policy Can Cover?

The policy is helpful for specific incidences, such as:

  • Physical injuries when constructing or renovating a building

  • Occupational illnesses that can occur due to exposure to dust or building materials such as cement. However, the policy will not cover existing illnesses

  • Medical treatment and rehabilitation after the occurrence of an accident

Add-Ons of Workers Compensation Insurance for Illinois Contractors

For extra coverage, you may need the following add-ons. They include:

  • Employer’s liability coverage protects against lawsuits filed by employees who got injured or sick while working

  • Occupational accident coverage is an add-on helping to cover your employees when they are working outside the regular job site

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Illinois Contractors Insurance Cost

Cost per Month Cost per Year Deductible
General liability insurance $36 $432 $0-$500
Professional liability insurance $55 $660 $1,000-$2,000
Commercial property insurance $69 $828 $1,000-$2,000
Business owner’s policy $84 $1,008 $1,500
Tools and equipment insurance $39 $468 $500-$1,000
Commercial auto insurance $53 $636 $500-$1,000
Workers compensation insurance $92 $1,104 $2,500-$5,000
Excess liability insurance $41 $492 $500-$1,000


General contractor insurance Illinois is $36 per month or $412 per year for a $1 million general liability policy. But large construction businesses that are exposed to more risks must pay a higher cost for adequate coverage. Here’s a table showing the cost of a $1 million general liability insurance from the best companies:

Cost per Month Cost per Year Best for
NEXT $18 $216 Fastest general contractor insurance in Illinois for your construction business
The Hartford $21 $252 Workers’ compensation insurance for small and large contractors
CoverWallet $24 $288 Comparing contractor insurance quotes online
Tivly $27 $324 Comparing contractor insurance quotes over the phone
Thimble $30 $360 Contractors looking for project-based insurance coverage
Hiscox $32 $384 Contractors with specialized insurance coverage needs

Compare Cheap Illinois Contractor Insurance Quotes Online

Get all the best quotes from leading providers in a click of a button!

Best Illinois Contractors Insurance Companies

As a contractor, you must be backed up by a reliable insurance brokerage firm or company. Here is a review of some well-known companies that offer contractors in Illinois comprehensive coverage for their businesses.


NEXT 

Pros

  • Best overall

  • Issues an online proof of insurance instantly

  • Fastest general liability insurance

  • Great customer service and reputation

  • Excellent rates

  • Outstanding value for money

  • Get a 10% discount if you buy two or more policies 

Cons

  • Couldn’t find any

NEXT offers multiple insurance components for contractor businesses. You can purchase professional liability, tools and equipment, general liability insurance, and more. This company is known for having excellent financial capabilities and was rated an A- by AM Best. You can easily acquire any policy you wish for your business on their virtual platform.

Best for: Fastest general contractor insurance in Illinois for your construction business

Average cost: $18 per month

Our rating: 10/10


The Hartford Contractor Insurance

Pros

  • Resolves claim disputes very fast

  • Have been offering insurance products for many years

  • Offers excellent benefits on their worker’s compensation insurance

Cons

  • Limited add-ons to general liability insurance

The Hartford has a positive track history of offering various businesses insurance products. They offer a wide array of insurance products for all types of contractors. Multiple programs are included in their workers’ compensation policy to help you avoid occupational-related injuries.

Best for: Workers’ compensation insurance for small and large contractors

Average cost: $21 per month

Our rating: 10/10


CoverWallet Contractor Insurance

Pros

  • Partnered with reputable insurance carriers to offer you the best deals

  • They have an online platform where you can easily manage policies

  • You can easily compare quotes from different providers using their online comparison tool

Cons

  • They are a brokerage firm and have no direct control of the insurance policies they sell

CoverWallet connects you to your ideal insurance carrier. On this digital marketplace, you select policies from a variety of providers. Using their comparison tool, you can decide which insurance company suits your business needs. This company has been rated by BB at A+, which assures that you are dealing with a reputable company.

Best for: Comparing contractor insurance quotes online 

Average cost: $24 per month

Our rating: 10/10


Tivly Contractor Insurance

Pros

  • Comfortably compare contractor insurance quotes on the phone

  • Can review your risk profile and recommend the best insurance for your business

  • It has some of the most competitive insurance prices

Cons

  • You need to call to compare quotes 

Tivly is an insurance marketplace where you can find some top insurance companies. They offer a platform that allows you to access the most competitive prices in the market. Once you call one of their representatives, you can quickly access the insurance quotes on your phone. Some policies include general liability, tools, and equipment, professional liability, workers’ compensation, etc. Call now to compare quotes over the phone. 

Best for: Comparing contractor insurance quotes over the phone 

Average cost: $27 per month

Our rating: 9/10


Thimble Contractor Insurance

Pros

  • Offers contractor insurance quotes instantly

  • For your general liability insurance, you can include several add-ons

  • On-demand coverage options suitable for people engaging in short-term projects

Cons

  • Their customer service team is not easily reachable

Thimble is for contractors wanting short-term coverage. If you are a contractor who wants coverage for hours or days, this company offers you the best options. They also offer long-term coverage for your construction business. You can purchase policies such as BOP, business equipment insurance, general liability, and more cost-effectively.

Best for: Contractors looking for project-based insurance coverage

Average cost: $30 per month 

Our rating: 9/10


Hiscox Contractor Insurance

Pros

  • You can customize your contractor insurance limits

  • They offer worldwide coverage for businesses that want to operate internationally

  • They have unrivaled experience; they have been selling insurance products for more than 100 years

Cons

  • Doesn’t offer coverage in Alaska 

Hiscox focuses on offering small and medium businesses adequate coverage. You CAN purchase from them many products such as workers’ compensation, general liability, BOP, tools and equipment, and more. They are an experienced company currently offering coverage to over 500 customers.

Best for: Contractors with specialized insurance coverage needs

Average cost: $32 per month

Our rating: 9/10

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