What Painting Contractors Really Pay for Business Insurance & Workers Comp in 2025

What Painting Contractors Really Pay for Business Insurance & Workers Comp in 2025

If you're running a painting business and bringing in around $100K per year, you’re already wearing a dozen hats. But once you start expanding your team—even just hiring one person—you’ll need to add two more hats: HR compliance and risk management.

Translation? It’s time to get serious about:

Let’s break down what real contractors are paying in 2025, what affects those costs, and how to protect your business as it grows.

The Reality of Insurance Costs for Painting Businesses

You’ll hear a lot of different numbers—and they’re not all wrong. What you’ll pay for painting contractors insurance depends on:

  • Revenue and payroll
  • Location (especially in states like California)
  • Services provided (residential vs. commercial, interior vs. high-rise)
  • Number of employees
  • Height exposure (yes, ladders change everything)
  • Claims history

What General Liability Insurance Typically Costs

General liability is non-negotiable. Whether you’re working solo or scaling up, this protects you against property damage and bodily injury claims.

Here’s what real painters are paying:

  • A solo painter in California can expect to pay $80–$150/month for basic liability coverage.
  • A $100K/year painting business might pay $1,000–$1,800/year for $1M/$2M coverage limits.
  • A business with more exposure (ladders, subcontractors, etc.) might push closer to $200/month.

If you’re doing just interiors with limited equipment and risk? You’ll stay on the lower end. Working on multi-story buildings or spraying commercial exteriors? Your rate jumps fast.

What Workers Compensation Will Cost in 2025

Here’s where many contractors miscalculate. Once you hire even one employee, you're legally required to carry workers comp in most states—including California.

Here’s the breakdown:

  • Premiums are based on your total payroll and your classification rate.
  • Painters in California average about $8–$12 per $100 of payroll in pure premium, plus fees and taxes.
  • If you hire someone at $40K/year, you’ll likely pay $275–$400/month for workers comp.

High height exposure, limited safety protocols, or prior claims? Expect more.

Add in Vehicle, Tools, and Health—It Adds Up

Real-life example: one solo contractor reported paying $800/month for:

  • Liability
  • Commercial auto
  • Health and dental
  • Tool and equipment coverage
  • (No workers comp)

He’s a one-man crew—but fully protected.

Another business doing $3M/year with 19 employees? They're paying $4,000/month—and the cost of working at height (with ladders, cranes, and lifts) is a major factor.

Don’t Skip Commercial Auto Insurance

If you're using your truck or van for jobs, don’t assume your personal policy will protect you. Commercial auto policies cost more—but they cover:

  • On-the-job accidents
  • Employee drivers
  • Tool/equipment transport

Depending on the vehicle, expect $100–$250/month per vehicle.

Got Tools? You May Want Inland Marine Coverage

If you have high-value sprayers, scaffolding, or trailers, inland marine insurance protects them while they’re in transit or on the job site.

Policies are affordable—often $20–$60/month depending on value.

What’s New in 2025: Legal Shifts in Contractor Insurance

California is leading the charge in new requirements for contractors:

  • By January 2026, all licensed contractors—no matter their trade—must carry workers comp, even if they’re solo.
  • As of July 2023, the mandate already applies to C-8, C-20, C-22, and D-49 classifications.

So even if you’re running a small team—or no team—you’ll eventually need to be covered.

And let’s not forget inflation: in the last two years, the cost of contractor insurance across California has jumped 18–25%, driven by legal changes, natural disasters, and rising payroll.

How to Lower Your Premiums Without Cutting Corners

If you’re watching your margins, there are smart ways to reduce risk and still stay covered:

  • Bundle policies (liability + commercial auto = discounts)
  • Use safety protocols (document training and ladder safety)
  • Limit height exposure when bidding jobs
  • Avoid subcontractor misclassification
  • Ask about pay-as-you-go options for workers comp

And yes—always review your policy annually.

Bottom Line: Know Before You Grow

Hiring your first employee is a huge milestone—but it also comes with responsibility. Insurance isn’t just a box to check. It protects:

  • Your business from lawsuits
  • Your employees in case of injury
  • Your long-term reputation

And let’s be honest: if you’re bringing in $100K/year, the last thing you want is a $200,000 claim wiping out your progress.

Our Take as a Local Agency

We work with painters, roofers, electricians, and other trade contractors every day. Here’s what we know:

  • Most new employers underestimate the real cost of workers comp
  • Ladders and height exposure drive up premiums fast
  • Carriers don’t all treat trades the same—shopping around matters
  • Too many business owners wait until it’s too late

Don’t guess. Don’t delay. Get a proper quote for your painting contractors insurance before you hire.

What We Offer

We’re based in Ontario, CA and offer:

  • General Liability for Painters and Contractors
  • Workers Comp and Pay-As-You-Go Policies
  • Commercial Auto and Tools & Equipment Coverage
  • Medicare, Life, and Business Insurance

Need insurance for your painting business or a workers comp quote for painters?

Let’s talk. We'll walk you through exactly what you need—no fluff, no pressure.

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