Water Well Drilling Contractor General Liability Insurance

Accidents don’t just happen above ground. When you’re in the business of drilling water wells, you’re dealing with high-powered machinery, property access issues, and real risks. And those risks crop up every single day. That’s where water well drilling contractor general liability insurance can help. It lets you keep problems in check instead of ballooning out of control. Like when you accidentally damage a customer's property or someone gets injured on your drilling site. If a lawsuit shows up, this covers legal costs, settlements, or judgments

Is Water Well Drilling Contractor General Liability Insurance Required?

Yes, in lot of states, well drilling contractors are actually required by law to carry general liability insurance.

For example, Texas, California, and Florida often require proof of insurance before issuing a contractor’s license or permit to operate drilling equipment. In many other states, it's still strongly encouraged. Because you won’t get access to public or commercial jobs unless you can show a certificate of insurance. It’s also a trust factor — clients are much more likely to hire you if they know you’re insured. So even where it’s not mandatory, it’s smart business. Always check with your local licensing board or Department of Water Resources for exact requirements.

What's Covered Under Water Well Drilling Contractor General Liability Insurance

Here’s what general liability insurance typically covers for your drilling operation:

Third-party bodily injury: A homeowner trips over your hoses and breaks an ankle? Coverage helps with medical bills and legal fees.
Property damage: You accidentally crack a septic tank while drilling near the site? Covered.
Legal defense: If you’re sued — even if it’s bogus — your policy helps pay for attorneys, court costs, and settlements.
Completed operations: Let’s say you finish a job, but two weeks later there’s water damage due to a faulty seal. This could be covered.
Advertising injuries: Accidentally use a competitor’s slogan in your flyers? They'll probably sue, and this is what you need to cover the costs of those infringement claims.

What Does Water Well Drilling Contractor Insurance Not Cover?

General liability isn’t a catch-all. It won’t cover everything that could go wrong. Here are two examples:

Employee injuries: One of your drillers gets hit with debris while on the job. That’s a workers' comp claim — not general liability.
Equipment breakdown: Your $20,000 drilling rig breaks down mid-job. Tough break, but that’s not covered by liability insurance. You’d need a separate equipment or inland marine policy for that.

Basically, if it’s not about third-party property or bodily injury, it probably falls outside general liability. That’s why pairing it with the right set of policies matters.

Other Insurance Water Well Drilling Contractors Usually Carry

Most well drilling businesses need more than just general liability to stay protected. Here are other common coverages:

Tools & Equipment Coverage – The professional tools and equipment you use to conduct business are expensive. But they're also essential to your livelihood. If that gear is stolen or damaged--whether on a drilling site, in storage, or while being transported--this covers the replacement costs.
Example: Your generator gets stolen from your truck overnight.
Commercial Auto Insurance – Since the well drilling business is mobile, you're constantly driving from one location to another. Increased time on the road increases your chances of getting in an accident, and personal car insurance doesn't cover things when you're driving for business reasons.
Example: Your truck hits another car while hauling a rig.
Workers' Compensation Insurance – Regardless of how many safety measures you ahve in place, the fact is, your business is dangerous. Employees can easily get injured, or simply get sick from weather exposure.
Example: A driller suffers heat exhaustion on a remote site.
Surety Bonds – These are required for state licensing or bidding on public jobs, because they guarantee that you will perform as stated in your contracts.
Example: You need to guarantee job completion and permit compliance.
Excess Liability / Umbrella Insurance – Extends the limits of your primary policies.
Example: You’re sued for $1.5 million, but your general liability only covers $1M.
Professional Liability (Errors & Omissions) – Covers claims of faulty work or negligence.
Example: You miscalculate the well location, causing delays and extra cost.

USA Insurance – Get Water Well Drilling Contractor Liability Insurance

USA Insurance in Burbank, CA has been helping contractors like you for nearly 20 years. With licensed agents in all 50 states, we specialize in commercial insurance — especially for water well drillers, excavators, and general contractors. Because we've worked with such a wide variety of commercial contracting companies like yours, we know how to build policies that address your specific needs.

We won't toss in extra fluff to help pad out our bill. And you won't have to guess about whether something is actually needed or not. We have a 99% customer satisfaction rate because we treat our customers' businesses just like they're our own. And we'd like to do the same for you.

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