Phone Number (888) 900 0205

South Carolina Contractor Insurance

Authored and Reviewed by: Zack A., Licensed Insurance Professional (CA License #0G90699) Last Updated 07/30/2026
 
This overview is for educational purposes only and is not legal, tax, or insurance advice. Coverage terms and availability vary by state, carrier, and risk.

South Carolina licenses contractors through two separate boards, and neither one sets a general liability minimum.

What the state tests instead is your balance sheet. Bid limits come from a financial statement, and a surety bond can stand in for it.

Liability coverage is left to your contracts and your city. In Charleston, that gap is wide, and it is where most South Carolina certificates fail.

Feedback From Real Clients

Excellent on Google
★★★★★ 4.8 out of 5 — 346 reviews
Review us on Google
Curtis Yocom
Curtis Yocom
1 week ago
★★★★★

Karo Ovasapyan
Karo Ovasapyan
2 weeks ago
★★★★★

I 'VE BEEN WITH USA BUSINESS INSURANCE FOR 14 YEARS. THEY'RE REALLY GOOD AT GENERAL CONTRACTOR INSURANCE. THEY ALWAYS GET MY PAPERWORK DONE ON TIME. I TRUST THEM AND RECOMMEND THEM TO OTHER CONTRACTORS.

Jared Raub
Jared Raub
2 weeks ago
★★★★★

Easy to get a quote Very competitive prices Even easier to close, sign, and receive documents Excellent customer service.

Christina Wyckoff
Christina Wyckoff
3 weeks ago
★★★★★

Jake Killion
Jake Killion
1 month ago
★★★★★

Cristo Romo
Cristo Romo
1 month ago
★★★★★

Sam was fantastic to work with for my business general liability insurance. He provided a great price, was extremely responsive, and made the entire process quick and easy. I really appreciate the excellent service and communication. Highly recommend Sam to anyone looking for business insurance!

Muhammad Sadatullah
Muhammad Sadatullah
1 month ago
★★★★★

Tee
Tee
1 month ago
★★★★★

Communicative and straight to the point... All that was said over the phone matched 100 percent what was in print when documents were received. No deception... just professional and timely service. Check them out.

Tee Jay
Tee Jay
1 month ago
★★★★★

Communicative and straight to the point... All that was said over the phone matched 100 percent what was in print when documents were received. No deception... just professional and timely service. Check them out.

David Wood
David Wood
2 months ago
★★★★★

When I left California, I got a new liability company. What a mistake These guys rock if you want to save money and time , call sam

Read More Reviews See all 346 Google reviews

South Carolina Contractor Insurance Requirements

Four authorities set conditions, and only one of them cares about liability limits.

Authority Requirement Applies to
Contractor's Licensing Board License with bid limits set by a financial statement, or a surety bond in the group amount instead. No state liability minimum Commercial general and mechanical contractors
Residential Builders Commission License plus a surety bond of at least $15,000 under Section 40-59-220(C) Residential builders
State workers' compensation law Coverage under Title 42, counting part-time workers and family members Employers with four or more employees
Cities and project owners Liability limits set by ordinance or contract. Charleston specifies $1 million per occurrence and $2 million aggregate, plus professional liability Anyone pulling permits or bidding real work

Residential specialty contractors bond when a job runs past $5,000, under Section 40-59-220(D).

Commercial applicants who cannot document the working capital for a group can post a continuous bond in that group amount instead, which scales considerably at the upper tiers.

Bid limits and thresholds are set by board rule and change, so confirm current figures with LLR before you renew.

Start Your Quote Now!

Coverage Options for South Carolina Contractors

If the difference between a bond and a policy is unclear, bonded and insured are not the same thing.

Certificates and Endorsements

Four items decide whether a general contractor clears your paperwork.

  • A certificate of insurance (COI). A one-page summary, usually an ACORD form, showing coverage was in force when issued.
  • Additional insured status. An endorsement extending part of your coverage to the general contractor or owner. The form number decides whether it survives closeout, which is why completed operations wording matters.
  • Primary and noncontributory. Your policy responds first without asking the other carrier to contribute.
  • Waiver of subrogation. Your insurer gives up its right to pursue the general contractor for what it paid.

Each is a separate endorsement that has to be requested and priced.

Certificates most often bounce here for a name mismatch against the LLR record, a missing endorsement form number, limits set to a city minimum rather than the contract, or a license group that does not cover the project value.

Indemnity Rules in South Carolina Contracts

The promisor promises to cover someone else's liability, usually you. The promisee is the one being covered, usually the general contractor or owner.

Section 32-2-10 voids indemnity for damages proximately caused by the promisee's sole negligence. Sole is the limit, so a clause can still reach you where the other party carries some or even most of the fault.

South Carolina gives subcontractors a second line of defense, though, and courts have used it recently.

Where an indemnity provision could encompass the indemnitee's own negligence, it must be clear and unequivocal. The Court of Appeals has struck provisions that were ambiguous or buried inside warranty and guaranty sections.

One consequence is unusual and worth knowing. South Carolina courts have held that severability does not rescue a provision that violates public policy, so an overreaching clause can fall entirely rather than being trimmed back.

Amendments to Section 32-2-10 have been introduced in recent sessions, including proposals adding definitions and extending the rule to design professional agreements. Check the current text before relying on older summaries.

Whether a specific clause holds up is a question for a South Carolina construction attorney, not an insurance agent.

South Carolina Contractor Insurance Costs

Contractor general liability is rated per $1,000 of gross receipts or payroll, with the class code setting the rate.

Take a painting contractor at $10 per $1,000 with $400,000 in receipts. That is a base premium near $4,000 before credits, debits, minimums, and endorsement charges. Change the class code, and it can double or halve.

This is arithmetic, not a quote. Ranges below reflect what we commonly place for South Carolina contractors with modest receipts and clean loss history.

Trade Typical annual GL range What moves the number
Handyman $750 to $1,500 Scope breadth, whether roofing is touched
Painting $800 to $2,200 Interior versus exterior, working height
Landscaping $800 to $2,300 Tree work, grading, equipment used
Electrical $1,000 to $2,900 Service upgrades, commercial mix
Plumbing $1,000 to $3,000 Water damage history, repipe work
HVAC $1,100 to $3,200 Rooftop access, hot work operations
Masonry $1,900 to $5,800 Height, scaffolding, one of the higher-rated trades here
Roofing $2,500 to $13,000 and up Limited market, coastal wind, height

Coastal exposure is the South Carolina variable. Work in Charleston, Beaufort, and Horry counties changes property and builders risk terms, and named storm deductibles run as a percentage of value rather than a flat figure.

Then there is the audit. Receipts above projection generate a bill, and uncertified subcontracted costs get rated at your own class code. See verifying subcontractor insurance and how a general liability audit works.

Industries and Trades We Cover

Class code drives eligibility as much as price. Before assuming a scope is covered, check common GL exclusions by trade.

Start Your Quote Now!

Information Needed for a Quote

  • A written description of operations, with the residential versus commercial split
  • Payroll by trade and projected gross receipts for the coming year
  • Your LLR license number, board, and group or classification
  • Total subcontracted cost, plus certificates for those subs
  • A vehicle schedule with VINs, radius of operation, and driver list
  • Loss runs for the past three to five years, including any wind claims
  • Contract insurance exhibits and city permit requirements

Get a South Carolina Contractor Insurance Quote

Place your certificate next to two documents: your LLR license record and the insurance exhibit from your largest contract.

The state will not tell you what limit to carry, so those two documents are the only ones that will. Most of the gaps we fix here start there.

We are an independent brokerage placing coverage for South Carolina trades, and a policy review costs nothing. Browse our commercial insurance products or the broader contractor insurance overview. Quick questions are answered on our business insurance FAQ. To see who you would be working with, read about us and our customer reviews. Owners outside construction can start with South Carolina small business insurance.

Sources

Why choose us

Numbers that prove it.

Independent. Licensed in all 50 states. Backed by partnerships with the carriers that matter to your business.

1,000+

Trades Insured

18+

Years In Business

240+

Insurance Carriers

Our Partners

We partner with A-Rated AM Best Insurance Companies (ratings subject to change)

Frequently Asked Questions

Does South Carolina require general liability insurance?

Neither licensing board sets a state minimum. Cities and project owners do, and Charleston specifies $1 million per occurrence and $2 million aggregate.

Which board licenses my business?

Commercial general and mechanical work goes through the Contractor's Licensing Board. Residential building goes through the Residential Builders Commission. Some contractors hold both.

What bond does a residential builder need?

At least $15,000, filed with the commission and continuous in form. Residential specialty contractors bond once a job exceeds $5,000.

Can I use a bond instead of a financial statement?

On the commercial side, yes. A continuous surety bond in your license group amount can substitute for documenting working capital or net worth.

When is workers' compensation required?

At four or more employees, counting part-time workers and family members. Contracts often require it earlier.

What is the clear and unequivocal standard?

Where a clause could reach the indemnitee's own negligence, South Carolina requires it to say so clearly. Ambiguous or buried provisions have been struck down.

What limits do South Carolina owners ask for?

Commonly $1 million per occurrence and $2 million aggregate, with public and larger commercial work asking for more plus an excess layer.

Related Articles

Protecting Your Business From Hurricanes
Read article
Contractor Claim Scenarios and How Coverage Responds
Read article
Can a Contractor Be Sued Even With a Waiver?
Read article
×

Ready to get started?

Get the right coverage in minutes

Licensed in all 50 states · Free quotes · No obligation

Start a free quote Or call (888) 900-0205