How Much Does Draftsmen Insurance Cost? 2025 Rates

Draftsmen in the United States typically spend between $360 and $600 each year on business insurance. That works out to about $30 to $50 per month.

What Drives the Price

Several factors influence how much a drafting business pays for coverage:

• Type of design work – Specialized or complex projects often carry higher risks.
• Business size – Larger firms with more staff and clients usually face higher premiums.
• Location – Regional risks, such as local regulations or higher litigation rates, can affect costs.
• Project risk level – High-value or high-liability projects increase exposure.
• Client contracts – Agreements that require specific coverage limits can raise premiums.
• Claims history – A clean record helps keep costs down, while past claims may increase rates.
• Coverage limits – Higher limits provide more protection but also raise the monthly bill.

Why It Matters

Understanding these cost drivers helps draftsmen budget effectively and choose coverage that matches their professional risks. With the right plan, they can protect their business without overspending.

How Much Does Draftsmen Insurance Cost?

On average, draftsmen spend between $360 and $600 per year on business insurance. That equals about $30 to $50 each month. These figures are only estimates, and the actual premium depends on the details of your business.

Why Costs Vary

No two drafting businesses are alike. A solo draftsman working from home with minimal equipment will usually pay far less than a larger firm with employees, office space, and high-value client contracts.

Key Cost Drivers

Several factors influence how much you’ll pay for coverage:

• Claims history – Filing past claims often raises premiums, while a clean record can lower them.
• Property size and value – Larger offices or expensive tools increase commercial property insurance costs.
• Number of employees – More staff means higher liability exposure and workers’ comp expenses.
• Business interruption and add-ons – Extra coverage options add to the total bill.

Type Of Work And Location

The kind of drafting projects you take on and where you operate also matter. A draftsman handling complex construction plans in a busy city may face higher liability costs than someone designing smaller projects for homeowners in a low-risk area.

Why This Matters

Understanding these variables helps you estimate insurance needs more accurately and budget for the real costs of protecting your drafting business. With the right coverage, you can safeguard your work without overspending.

Average Draftsmen Insurance Costs For Coverage Types

When it comes to protecting your draftsmen business, different types of insurance cover different risks. Understanding the average cost, coverage details, and what influences pricing for each policy type can help you build a more effective insurance plan. Here’s a closer look at the major coverages most draftsmen need.

General liability insurance: $30 per month

Business owner’s policy: $47 per month

Workers’ compensation insurance: $41 per month

Commercial auto insurance: $130 per month

Professional liability insurance: $89 per month

General Liability Insurance

The average cost of general liability insurance for a draftsmen is about $30 per month.

General liability covers third-party bodily injury, property damage, and advertising injuries. For example, if a client visits your office, trips over a power cord, and gets injured, this policy would help cover their medical bills and your legal defense costs if they decide to sue.

Typical policy limits are $1 million per occurrence and $2 million aggregate.

Factors that influence the cost include the business size, location, customer traffic volume, previous claims history, and any additional insured endorsements you select.

Average annual premiums by state:

Note: These estimates are based on average national General Liability Insurance premiums for draftsmen businesses, adjusted slightly for state-level differences. Actual premiums will vary depending on business size, services offered, claims history, and insurer underwriting practices.

Business Owner’s Policy (BOP)

The average cost of a business owner’s policy (BOP) is about $47 per month for draftsmen business.

A BOP bundles general liability insurance with commercial property insurance. It protects against customer injuries, property damage, and loss or damage to your office space, furniture, and equipment. For instance, if an electrical fire damages your office, computers, and drafting equipment, the BOP would help cover the cost of repairs and replacements.

Typical policy limits are $1 million per occurrence and $2 million aggregate for liability, with separate property coverage limits based on the value insured.

Cost factors include the business property value, location risk (such as flood or crime rates), business revenue, number of employees, and any optional endorsements like business interruption insurance.

Average annual premiums by state:

Note: These estimates are based on average national BOP premiums for draftsmen businesses, adjusted slightly for state-level differences. Actual premiums will vary depending on business size, services offered, claims history, and insurer underwriting practices.

Workers’ Compensation Insurance

The average cost of workers’ compensation insurance for a draftsmen is around $41 per month.

Workers’ comp covers medical bills, rehabilitation, and lost wages for employees injured on the job. For example, if a draftsman develops a repetitive strain injury from long hours of computer-aided design (CAD) work, workers’ comp would help pay for their medical treatment and a portion of their lost wages while they recover.

Policy limits are regulated by each state, but typically include medical costs and a percentage of lost wages without a set cap.

Premiums are influenced by the size of your payroll, the type of work employees perform, your claims history, and any implemented safety programs.

Average annual premiums by state:

Note: These estimates are based on average national Workers’ Compensation premiums for draftsmen businesses, adjusted slightly for state-level differences. Actual premiums will vary depending on payroll size, number of employees, claims history, and insurer underwriting practices.

Commercial Auto Insurance

The average cost of commercial auto insurance for a draftsmen is about $130 per month.

Commercial auto insurance covers vehicles owned or used by the business for accidents, theft, vandalism, or damage. For example, if you or an employee gets into an accident while driving a company vehicle to a client meeting or job site, this policy would help cover repair costs, medical bills, and any third-party claims resulting from the accident.

Factors influencing the cost include the number and type of vehicles, how often they are used, the driving records of employees, and whether you add endorsements like hired and non-owned auto insurance (HNOA) for employee-owned vehicles.

Average annual premiums by state:

Note: These estimates are based on average national Commercial Auto Insurance premiums for draftsmen businesses, adjusted slightly for state-level differences. Actual premiums will vary depending on the number of vehicles, driving records, coverage limits, and insurer underwriting practices.

Professional Liability Insurance

The average cost of professional liability insurance for a draftsmen is about $89 per month.

Professional liability insurance (also called Errors and Omissions Insurance) protects your business if a customer claims you made a mistake, gave bad advice, or didn’t do the job properly, and it caused them a financial loss.

For example, if you provide inaccurate measurements or design details in a drafting plan, and the contractor has to stop construction and redo part of the project, the client might sue you for the extra costs. This insurance would help cover your legal defense and any settlement or damages you’re required to pay.

Typical policy limits are $1 million per occurrence and $1 million aggregate.

The cost of professional liability insurance depends on things like how much coverage you want, how big your business is, and the kind of services you provide.

Average annual premiums by state:

Note: These estimates are based on average national Professional Liability Insurance premiums for draftsmen businesses, adjusted slightly for state-level differences. Actual premiums will vary depending on business size, services offered, claims history, and insurer underwriting practices.

Draftsmen Business Insurance Costs By Provider

Draftsmen business insurance costs will vary greatly depending on the insurance carrier. Use the table below to find average costs across different providers.

Note: These estimates are based on average costs for draftsmen businesses, including policies such as professional liability, general liability, and business owner’s coverage. Actual premiums will vary depending on factors such as location, business size, services offered, claims history, and coverage limits.

What Factors Impact Your Draftsmen Insurance Costs?

Insurance premiums for draftsmen are set by underwriters who assess the overall risk of your business. The type of drafting work you handle, your location, business size, equipment value, and claims history all play a role in determining how much you’ll pay.

Claims History

Past claims can raise your rates since insurers see frequent claims as a sign of higher risk. On the other hand, a clean record may qualify you for discounts and lower premiums.

Equipment And Office Property

High-value tools such as computers, design software, and office equipment increase property insurance costs. Many draftsmen also choose extra coverage for equipment breakdown or data loss to protect their essential tools.

Size Of The Business

Larger firms with more employees, office space, and projects usually face higher premiums. More staff means greater exposure to workplace injuries, which drives up workers’ compensation costs.

Type Of Drafting Work

Not all drafting projects carry the same level of risk. Residential design work often has lower liability compared to complex commercial or industrial projects, which involve more detailed plans and higher stakes.

Policy Limits And Deductibles

Higher policy limits provide stronger protection but increase premiums. Choosing a larger deductible can reduce monthly costs, though you’ll need to cover more out of pocket if a claim arises.

Location

Where you operate matters. Draftsmen in busy cities, high-crime areas, or regions prone to natural disasters often pay more for property and liability coverage than those in quieter, low-risk areas.

How To Lower Your Draftsmen Insurance Costs

Running a drafting business comes with plenty of expenses, but your insurance premiums don’t have to be overwhelming. While coverage is essential, there are practical ways to keep costs down without losing protection.

Adjust Your Deductible

Raising your deductible is one of the simplest ways to lower monthly premiums. Just be sure you can comfortably afford the out-of-pocket amount if you ever need to file a claim.

Build A Safer Workplace

A strong safety program helps reduce workers’ compensation costs. Training staff on ergonomics, safe use of office equipment, proper posture, and careful handling of tools and software can cut down on injuries. Fewer accidents mean fewer claims, which keeps premiums lower over time.

Bundle Policies Together

Combining coverage often leads to savings. Many insurers offer a Business Owner’s Policy (BOP) that merges general liability and property insurance at a reduced rate. Adding workers’ comp through the same provider can unlock even more discounts while simplifying paperwork.

Ask About Discounts

Insurers often reward loyalty and upfront payments. You may qualify for lower rates by signing a multi-year agreement or paying your premium in full instead of monthly installments.

Put Safety Measures In Place

Accidents and errors can quickly drive up insurance costs. Keeping your workspace organized, maintaining equipment, offering training, and following good office practices all help reduce risks. Fewer claims mean lower liability premiums in the long run.