Does the AHJ require proof of liability insurance for licensed electrical contractors in your area ? if so ,want is the minimum amount of coverage required ? Presently,liability insurance is not required in my area, the board is considering a $500,000 minimum proof of insurance before any permits are issuesd. The only type insurance required now is a $5,000 preformance bond for to correct code violations .
In my home state (MD) we are not required to carry any insurance if you operate on a journeyman license. As soon as you pass the masters test and apply for the masters license you need to carry (I think) $500k liability. I say "I think" because it only cost me $350 yr for $1M and I carry that ($500k would cost me $300). The counties won't even issue the masters without proof of insurance and the state won't issue a statewide license until you have (at least) one county license (your base/home county). FYI: even if I do no contracting and only have the masters to work for someone else I still need the insurance to get the masters.
Re: liability insurance requirements#50351 03/31/0509:12 AM03/31/0509:12 AM
MA - proof of liability insurance required (1M, I believe) before an electrical permit will be issued. Exceptions are: 1. Permit issued to home owner for work on his/her own house (single family) 2. If home owner signs waiver
North Chicago only requires $100k - $300k each for property damage and liability to get your license, but since many communities to the south (over the "green ($$$) line" ) require $500k- $1M, I got $1M/$2M for about $150 more/year.
Some communities require copies of insurance covereage from your agent, some just make a xerox of your license.
[This message has been edited by DougW (edited 03-31-2005).]
Here in Maryland we are required to have 100K / 300K this is for property then liability. You only need this if your master's license is active. You can hold a Master's with no coverage as long as it is inactive. (No sense paying for insurance if the license is inactive)
Most all the towns and cities around here require 300,000 minimum to get licensed and require insurance co. to list their name on the form. I wouldn't think about doing electrical or any type of contracting without insurance in todays sue-happy society, especially as a dba, in any town.
I don't know of any areas requiring insurance other than one jurisdiction requiring a code compliance bond. However I couldn't imagine doing this tye of work without at least a $1,000,000 liability policy. Most GC's won't hire you without liability and workmans comp also.
Bob H, in our area a code compliance bond is something they make you buy for $100 a year to cover the a$$ of the AHJ. I've never heard of one being claimed on, but it is suposed to pay to correct code violations found years later. It's really a joke.