NextGuard · Construction Insurance Guide
Contractor Insurance in Florida & New York: The 2026 Guide
General liability, workers' comp, the NY Scaffold Law, costs — and how the two states differ more than you'd think.
Contracting in Florida and New York means playing by two very different rulebooks. A GL limit that satisfies a Miami GC can leave you dangerously underinsured on a Manhattan job. Here's what each state actually requires in 2026, what it costs, and where the traps are.
General liability: Florida
Florida ties general-liability minimums to your license class through the state's contractor financial-responsibility rules:
| License type | Bodily injury min. | Property damage min. |
|---|---|---|
| General / building contractor | $300,000 | $50,000 |
| Residential contractor | $100,000 | $25,000 |
| Specialty contractors | $100,000 | $25,000 |
Those are floors. In practice, general contractors, developers and facility owners almost always require $1,000,000 per occurrence / $2,000,000 aggregate before they'll let you on site — often naming them as additional insured with a waiver of subrogation. We build the certificate to match what your contracts demand.
General liability: New York (and the Scaffold Law)
New York contractors typically carry a $1,000,000 per occurrence limit, with many projects requiring up to $3,000,000 aggregate and layered umbrella limits. The reason sits in one statute.
On top of that, New York's Construction Industry Fair Play Act presumes an injured worker is your employee for workers'-comp purposes unless you can prove otherwise — so misclassifying a sub can become your claim. NYC's Department of Buildings also layers on its own COI formatting and endorsement requirements.
Workers' compensation: Florida vs. New York
Florida. In the construction industry, workers' comp is required once you have one or more employees (the non-construction threshold is four). Sole proprietors and up to three corporate officers can apply for an exemption — but GCs and clients frequently require coverage anyway. Operating without it invites a Stop-Work Order and penalties.
New York. Coverage is effectively universal for anyone with employees, plus New York requires Disability Benefits (DBL) and Paid Family Leave (PFL). Penalties are steep: roughly $2,000 for every 10-day period without coverage, plus misdemeanor or felony exposure — a felony for employers with five or more employees. This is not a state to go bare in.
Coverages smart contractors add
- Commercial auto — for trucks and vehicles used on the job; often required alongside GL.
- Tools & equipment (inland marine) — covers your gear on-site, in transit and in storage.
- Builders risk — covers the structure under construction against fire, wind, theft and more; we place limits well into the tens of millions.
- Umbrella / excess liability — the extra limit that makes you eligible for bigger jobs and covers Scaffold Law exposure in NY.
- Surety bonds — bid, performance and payment bonds for public and larger private work. (See our guide to surety bonds.)
Florida vs. New York at a glance
| Florida | New York | |
|---|---|---|
| Typical GL required | $1M/$2M (min. varies by license) | $1M/occ, up to $3M agg + umbrella |
| Workers' comp trigger | 1+ employee (construction) | Effectively all employees |
| Signature risk law | Financial-responsibility rules | Scaffold Law §240 (absolute liability) |
| Extra state coverages | — | Disability (DBL) + Paid Family Leave |
| Relative cost | Lower | Higher (esp. NYC) |
What it costs in 2026
A $1M general-liability policy for a Florida contractor often runs about $80–$220 per month, and less for a solo trade. New York runs higher — materially so in New York City — largely due to Scaffold Law exposure. Workers' comp is rated per $100 of payroll by trade class code and your claims history, so a clean loss run and correct class codes are the fastest way to control it.
Get contractor coverage built for your state — fast.
GL, workers' comp, tools, builders risk, umbrella and bonds — one broker, same-day COIs with the wording your GC requires. English · Español · Português.
Call 754-337-9710 →⚡ Fastest way in: email your current policy (dec page), payroll/receipts and any contract insurance requirements to adolfo@nextguardinsurance.com — it beats any form.
Frequently asked
Do subcontractors need their own insurance?
Yes. Subs should carry their own GL and workers' comp — if they don't, the general contractor can be held responsible, and in New York the Fair Play Act may treat an uninsured sub as your employee.
What's the difference between GL and workers' comp?
General liability covers injuries and property damage to third parties (clients, owners, the public). Workers' comp covers your own employees when they're hurt on the job.
Can you issue the COI my GC needs today?
Usually yes — most certificates go out the same day, with additional-insured and waiver-of-subrogation wording included.
This article is general information, not legal or insurance advice. Requirements, limits, thresholds and pricing depend on your license, trade, payroll, contracts and current market conditions, and change over time. Figures are 2026 ranges and state rules current at publication. NextGuard Insurance Agency (International Affiliates LLC) is licensed in Florida and New York.
