How Much Is Business Insurance
for Carpenters?

As you know, there are many different kinds of carpentry and each type of woodworking comes with a different amount of business risk. For example, finish and trim carpenters have less risk than other carpenters because their work is decorative and doesn't have to bear structural weight. What does this mean for your small business? It means you should work with insurance companies that understand carpentry and can help you find a policy that matches your work. That way you won't overpay for unnecessary insurance.

Below, we've compiled cost estimates for three types of carpentry businesses:

  • Carpentry services groups. Work includes maintaining and repairing interior and exterior wood components such as window frames, doors and frames, walls, floors, and ceilings.
  • Finish and trim carpentry. Work typically includes finishing touches — addressing both appearance and appropriate functionality — for doors, windows, cabinets, siding, decking, roofing, molding, walls, fireplaces, etc.
  • Interior carpentry. Work includes projects that take place inside a building, such as the installation of doors, windows, floors, shelving, or cabinets.

Note: these quotes are only cost estimates. Your actual premiums will vary.

HOW MUCH IS
General Liability Insurance?

How Much Is General Liability Insurance?

General Liability Insurance for Carpentry Services Groups

General Liability Insurance provides key coverage for carpentry services businesses, covering their legal expenses when customers and other third parties sue them over injuries, property damage, or problems with their finished products. Say you're building a gazebo at a client's home. Months after you finish, the client calls you to complain. The gazebo is tilting and looks shoddily made. If the customer sues you over your work, GL Insurance can cover legal costs and pay for settlements and damages.

General Liability Insurance for carpentry services groups usually costs $380 to $1,200.

Average Premiums, Deductibles and Limits on General Liability Insurance Policies for Carpenters
Name USD

Median policy premium:

$380 - $1,200

Per claim limit:

$1,000,000

Policy limit:

$2,000,000

Median policy deductible:

$1,000

General Liability Insurance for Finish and Trim Carpentry

If a finish and trim carpenter is sued over damage to a client's property, physical injury, or problem with their carpentry work, General Liability Insurance can cover their lawsuit costs. Say a general contractor hires you as a subcontractor and wants you to add wooden trim to a newly remodeled home. What happens if the GC has a problem with your work or your installation doesn't meet their specifications? General Liability Insurance protects you from third-party lawsuits, which include disputes with other contractors.

General Liability Insurance for finish and trim carpenters typically costs $380 to $920.

Average Premiums, Deductibles and Limits on General Liability Insurance Policies for Finish and Trim Carpenters
Name USD

Median policy premium:

$380 - $920

Per claim limit:

$1,000,000

Policy limit:

$2,000,000

Median policy deductible:

$1,000

General Liability Insurance for Interior Carpentry

What would happen if custom cabinets or shelving you built collapsed? You could be sued for injuries, property damage, and other financial losses suffered by your customers. Fortunately, General Liability Insurance can cover these lawsuits and many other common carpentry risks.

Interior carpenters usually pay $361 to $1,089 for their General Liability Insurance.

Average Premiums, Deductibles and Limits on General Liability Insurance Policies for Interior Carpenters
Name USD

Median policy premium:

$361 - $1,089

Per claim limit:

$1,000,000

Policy limit:

$2,000,000

Median policy deductible:

$1,000

To see how the cost of General Liability Insurance for carpenters compares with other industries, visit Insureon's General Liability Insurance Cost Analysis New browser window icon..

HOW MUCH IS
Commercial Auto Insurance?

How Much Is Commercial Auto Insurance?

To protect your carpentry business from the cost of auto accidents, you'll need Commercial Auto Insurance. This insurance will cover accidents that occur while you're making deliveries, visiting customer homes, and doing other job-related driving.

Commercial Auto Insurance typically costs $1,719 to $2,050 for carpentry businesses.

Average Premiums, Deductibles and Limits on Commercial Auto Insurance Policies for Carpenters
Name USD

Median policy premium:

$1,719 - $2,050

Policy limit:

$1,000,000

Median policy deductible:

$500

HOW MUCH IS
a Surety Bond?

How Much Is a Surety Bond / License and Permit Bond?

When carpenters apply for a contractor's license or building permit, they'll often be required to have a License and Permit Bond. Why do carpenters need surety bonds? These bonds act as guarantees. In the bond, you agree to abide by the state laws for construction work. If you don't, the insurance company will pay the government the bond amount.

To get bonded, carpenters typically pay $100 for a License and Permit Bond.

Average Premiums and Limits on License and Permit Bonds for Carpenters
Name USD

Median policy premium:

$100

Median policy limit:

Varies

HOW MUCH IS
Umbrella Insurance?

How Much Is Umbrella Insurance?

To bolster their lawsuit insurance, carpentry service businesses can get Umbrella Insurance (also called Excess Liability Insurance). If you use up the coverage in your General Liability, Workers' Comp, and Auto Insurance policies, an Umbrella Insurance policy can pay up to $1 million in additional legal expenses for lawsuits.

Carpenters typically pay $1,000 in annual premiums for Umbrella Insurance.

Average Premiums, Deductibles and Limits on Umbrella Insurance Policies for Carpenters
Name USD

Median policy premium:

$1,000

Median policy limit:

$1,000,000

Median policy deductible:

Varies

To see how the cost of Umbrella Insurance for carpenters compares with other industries, visit Insureon's Umbrella Insurance Cost Analysis New browser window icon..

FREE QUOTES
on Carpenter Insurance

Where Can I Find Free Quotes on Carpenter Insurance?

When you're looking for carpenter insurance, make sure you work with insurance agents who know your industry and will build a policy to match your business risk. For a free quote on carpenter's insurance, submit an online insurance application with insureon.

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