Comprehensive coverage for commercial renovation contractors. From tenant improvements to major renovations, we protect your business with tailored insurance solutions.
Get Your Custom QuoteProperty damage claims averaging $35,000+ per incident
Complex permit and compliance requirements risking violations
Subcontractor liability exposing your business to lawsuits
Occupied building risks with business interruption claims
Comprehensive General Liability with property damage coverage
Builders Risk insurance protecting work in progress
Additional Insured endorsements and risk transfer strategies
Expert agents who understand commercial remodeling risks
Protect your business with comprehensive insurance designed specifically for commercial renovation and remodeling projects.
Thompson Commercial Renovations
"Contractors Choice Agency saved us $15,000 annually on our commercial remodeling insurance. Their expertise in tenant improvement projects helped us get the exact coverage we needed without overpaying. Claims are handled quickly and professionally."
Elite Office Builders LLC
"After a property damage claim on a medical office renovation, their team handled everything seamlessly. We were back on schedule within days. They understand the complexities of working in occupied commercial spaces."
Click on any state to explore comprehensive guides on starting a business, state-specific insurance requirements, business certificates, licensing, and everything you need to know about doing business in that state
Full Business Guides Available Coming Soon
Each State Guide Includes:
Commercial remodeling contractors typically need General Liability insurance ($1-2 million minimum), Commercial Property insurance for tools and equipment, Commercial Auto insurance for work vehicles, Workers' Compensation (required in most states), and often Professional Liability for design-build projects. Many projects also require Umbrella policies for additional coverage limits. The specific requirements depend on project size, client demands, and state regulations.
Insurance costs vary significantly based on annual revenue, number of employees, types of projects, and claims history. On average, General Liability costs 1-3% of annual revenue, Workers' Compensation ranges from $0.75 to $15 per $100 of payroll depending on classification, and Commercial Auto averages $1,500-3,000 per vehicle annually. A typical commercial remodeling contractor with $2 million in revenue might pay $15,000-30,000 annually for comprehensive coverage.
Occurrence-based policies cover incidents that happen during the policy period, regardless of when the claim is filed. Claims-made policies only cover claims filed while the policy is active, requiring the incident and claim to occur during the coverage period. Most General Liability policies are occurrence-based, providing better long-term protection for contractors, while Professional Liability is typically claims-made, requiring tail coverage when switching carriers.
Not necessarily. Most contractors carry master policies that cover all projects, but some situations require project-specific coverage. Large projects may require dedicated Builders Risk policies, government contracts often need specific endorsements, and some clients require project-specific additional insured status. Review each contract carefully to ensure your master policy meets all requirements or determine if project-specific coverage is needed.
Builders Risk insurance covers property damage to buildings under construction or renovation, including materials, supplies, and equipment. It's typically required for new construction and major renovations, especially when the contractor has financial responsibility for the project. The policy should cover the full value of the completed project and can be purchased by either the owner or contractor, depending on contract terms.
Change orders can significantly impact insurance by increasing project values beyond policy limits, extending project duration beyond policy periods, adding new types of work requiring different coverage, and changing risk profiles that affect premiums. Always notify your insurance carrier of substantial change orders (typically over 25% of original contract value) to ensure continuous, adequate coverage.
Completed operations coverage protects against claims arising from your work after project completion. This coverage is crucial because many defects and injuries occur after you've left the site. It's typically included in General Liability policies but should be verified. Claims can arise years after completion, making this coverage essential for long-term protection against lawsuits related to faulty workmanship or design defects.
Subcontractors are generally not covered under your General Liability policy unless specifically added. You should require all subcontractors to carry their own insurance with you named as additional insured. If subcontractors don't have insurance, you may be able to add them to your policy for additional premium, but this increases your liability exposure and premium costs significantly.
Maintain comprehensive records including contracts and change orders, certificates of insurance from all subcontractors, photos of job sites before, during, and after work, safety meeting documentation and training records, inspection reports and permits, and incident reports for any accidents or property damage. Keep records for at least 7-10 years after project completion, as claims can arise years later.
Most policies cover work in occupied buildings, but additional considerations apply. You may need higher liability limits due to increased exposure, specific endorsements for business interruption claims, and additional protocols for protecting occupants and their property. Some insurers require notification when working in certain high-risk occupied facilities like hospitals, schools, or data centers.
EMR is a multiplier applied to Workers' Compensation premiums based on your claims history compared to similar businesses. An EMR of 1.0 is average; below 1.0 means better-than-average safety record and lower premiums, while above 1.0 indicates worse-than-average claims and higher costs. Many commercial clients require EMRs below 1.0 for contractor qualification, making safety programs crucial for both costs and competitiveness.
Multi-state projects require careful coordination of coverage including Workers' Compensation compliance in each state, Commercial Auto coverage in all operating states, licensing and bonding requirements per state, and ensuring General Liability covers all locations. Some insurers offer multi-state packages, while others require separate policies. Consult with an experienced broker familiar with multi-state operations.
Owner Controlled (OCIP) or Contractor Controlled (CCIP) Insurance Programs are project-specific policies covering all contractors on large projects. They typically include General Liability, Workers' Compensation, and Excess Liability. Benefits include consistent coverage limits, potential cost savings, and simplified claims management. However, contractors may need to maintain their own policies for work outside the project and equipment coverage.
General Liability typically covers damage caused by defective materials you install but didn't manufacture. However, the cost of replacing the defective materials themselves usually isn't covered - only the resulting damage. If you supply materials as part of your contract, consider Products Liability coverage. Always document material sources and maintain supplier agreements with indemnification provisions.
Commercial remodeling contractors face cyber risks including breach of client data and building plans, ransomware attacks on project management systems, business interruption from technology failures, and liability from compromised building automation systems. Consider Cyber Liability insurance especially if you handle sensitive client data, use cloud-based project management, or work on smart building systems.
While bonds and insurance serve different purposes, they're often required together for commercial projects. Bonds guarantee contract performance and payment to subcontractors, while insurance covers liability and property damage. Bonding companies evaluate your insurance coverage when determining bonding capacity. Strong insurance programs with low claims history improve bonding rates and capacity for larger projects.
Working outside your classification codes can result in coverage gaps, claim denials, and policy cancellation. If you expand into new types of work, notify your insurer immediately to add appropriate classifications. Premium audits will discover unreported work classes, resulting in additional premiums and potential penalties. Some incidental work may be covered, but verify with your insurer before taking on new work types.
Yes, you can often exclude certain operations to reduce premiums if you don't perform that work. Common exclusions include roofing, asbestos work, demolition, and structural steel erection. However, exclusions must be absolute - any claims arising from excluded work won't be covered. Document exclusions clearly in contracts and ensure all employees understand prohibited work types.
Additional Insured status extends your liability coverage to other parties, typically property owners, general contractors, and construction managers. This is usually required by contract and protects these parties from claims arising from your work. Ensure endorsements provide coverage for both ongoing and completed operations. Additional Insured status doesn't replace their need for their own insurance but provides additional protection.
The timeframe varies by state and claim type. Most states have statutes of repose for construction defects ranging from 4-10 years after substantial completion. However, some claims types, like those involving latent defects or fraudulent concealment, may have longer periods. This long tail of potential liability makes completed operations coverage and proper record retention essential for commercial remodeling contractors.
Receive a customized insurance quote within 24 hours. Our specialists understand commercial remodeling risks and will design coverage that fits your needs.
Free consultation with commercial insurance specialists
Custom quote within 24 hours
No obligation - compare and save
