Roofers Business Insurance

Roofing contractors can use Insuranceopedia to view business insurance quotes from trusted carriers side by side. This tool helps you find the specific coverage you need for general liability, property risks, and keeping your crew protected.

Why Do Roofing Businesses Need Insurance?

Roofing is a high-risk profession. Your team faces serious hazards every day, including working at heights, handling hot tar, and lifting heavy bundles of shingles. Insurance is vital to protect your business from the financial damage these risks can cause.

Without the right coverage, your company is vulnerable. If a worker slips off a roof or suffers a back injury from heavy lifting, you could be liable for expensive medical bills. You might also face lawsuits that could drain your business bank account.

There is also the constant risk of property damage. A tool could fall and smash a client’s window, or debris might damage a neighbor’s car. General liability insurance protects you in these situations. It covers claims related to property damage and injuries to people who are not your employees.

Finally, carrying insurance helps you land more contracts. Most homeowners and general contractors will not hire a roofer who cannot show proof of coverage. Having a policy proves you are a professional and allows you to work with confidence.

What Insurance Do Roofing Companies Need?

Running a roofing business involves significant risks, ranging from working at dangerous heights to handling expensive materials. To keep your operation safe from lawsuits, injuries, or property damage, you need the right coverage. Below are the key business insurance policies every roofer should review.

General Liability Insurance

This is usually the first policy a roofing company purchases. It handles third-party claims involving property damage or bodily injury. If your work accidentally hurts a bystander or damages a customer’s home, this coverage pays for medical expenses and repair costs. It also covers legal fees if the affected party sues you.

Example: While stripping shingles, a worker accidentally drops debris that smashes a homeowner’s patio furniture. General liability would pay to replace the furniture.

Inland Marine Insurance

Roofers are always on the move, and standard property insurance usually doesn’t cover tools once they leave your main office. Inland marine insurance is designed to protect your equipment, such as ladders, nail guns, and generators, while they are in transit or sitting at a job site. It protects against theft, vandalism, and damage during transport.

Example: You leave an air compressor at a job site overnight, and it is stolen. This policy would pay to replace the stolen tool so you can get back to work.

Workers’ Compensation Insurance

Roofing is physically demanding and carries a high risk of injury. Workers’ compensation covers medical bills, rehabilitation costs, and lost wages if an employee gets hurt on the job. It also provides death benefits in tragic circumstances. Most states require you to carry this coverage as soon as you hire your first employee.

Example: An employee slips on a steep pitch and breaks their leg. Workers’ compensation covers their hospital bills and pays a portion of their wages while they recover.

Professional Liability Insurance

Also known as Errors & Omissions (E&O), this insurance handles claims related to the quality of your advice or workmanship. If a client claims that a mistake in your work caused them financial loss, this policy steps in. The average cost for this type of coverage is around $98 per month.

Example: You install a flashing system incorrectly, leading to slow water leaks that cause mold in the client’s attic months later. The client sues for remediation costs. Professional liability covers the legal defense and settlement.

Cyber Liability Insurance

Even roofing companies store digital data, such as credit card numbers and client addresses. Cyber liability insurance protects you if your computer systems are breached or hacked. It covers the costs of legal fees, notifying customers, and offering credit monitoring services.

Example: A hacker gains access to your billing system and steals customer credit card information. This policy covers the costs associated with the data breach and any resulting regulatory fines.

Commercial Auto Insurance

Personal car insurance policies typically exclude accidents that happen while driving for business. Commercial auto insurance is necessary to cover the trucks and vans you use to haul shingles, tools, and crew members. It pays for damages and medical bills if your vehicle is involved in a crash.

Example: Your crew is driving a company truck to a job site and rear-ends another vehicle at a stoplight. This policy covers damage to the other car and any medical injuries sustained by the other driver.

Business Owner’s Policy (BOP)

A BOP is a convenient package that combines general liability and commercial property insurance. Insurance companies often offer this bundle at a lower rate than purchasing the policies separately. It is a great way to secure broad protection for your business assets and liability risks in one go.

Example: A pipe bursts in your main office, ruining drywall and destroying your client files. A BOP helps pay for the office repairs and the liability protection you need for day-to-day operations.

Umbrella Insurance

Sometimes a claim is so large that it exceeds the payout limits of your standard policies. Umbrella insurance acts as a safety net that sits on top of your general liability or commercial auto coverage. Once your primary policy maxes out, umbrella insurance pays the remaining balance up to its own limit.

Example: A serious accident at a job site results in a $1.5 million lawsuit, but your general liability policy only covers up to $1 million. Umbrella insurance covers the remaining $500,000, so you don’t have to pay it out of pocket.

Commercial Property Insurance

If you have a physical headquarters, warehouse, or garage, this policy protects the building itself and the contents inside. It covers losses from events like fire, theft, windstorms, and vandalism.

Example: A fire breaks out in your warehouse, destroying your stock of shingles and underlayment. Commercial property insurance provides funds to repair the building and replace the inventory.

Hired And Non-Owned Auto (HNOA) Insurance

This coverage is essential if your employees ever use their own vehicles for work tasks. Personal auto policies often deny claims if the accident happened during a business errand. HNOA protects your business from liability lawsuits arising from these accidents.

Example: You ask your sales manager to drive their personal sedan to drop off a contract, and they cause an accident on the way. HNOA protects the business from being sued for damages.

Business Personal Property (BPP) Insurance

While similar to commercial property insurance, BPP specifically focuses on movable items owned by the business. This includes office furniture, computers, and cleaning gear kept at your premises. It pays to repair or replace these items if they are damaged by covered perils like fire or theft.

Example: Thieves break into your office and steal laptops and administrative equipment. BPP helps you replace the stolen electronics.

Cheapest Roofing Business Workers’ Compensation Insurance

The cheapest option for Workers’ Compensation is NEXT Insurance, with an average annual cost of approximately $9,408.

Note: Estimates are based on 2024-2025 rate filings and national averages for a small roofing business (approx. $150,000 payroll). Roofing is a high-risk class code (5551), causing premiums to be significantly higher than other trades. Actual premiums will vary based on your state’s specific rates, your claims history, and payroll size.

Cheapest Roofing Business General Liability Insurance

Thimble offers the most competitive estimated rate for general liability coverage, averaging roughly $2,495 annually for roofing contractors.

Note: Estimates assume a standard policy limit of $1 million per occurrence / $2 million aggregate for a residential roofing business with moderate revenue. Costs may fluctuate based on location, subcontracting percentage, and height exposure restrictions in your policy.

Cheapest Roofing Business Business Owner’s Policy

Thimble provides the most cost-effective Business Owner’s Policy (bundling General Liability and Property), with annual premiums starting around $3,845.

Note: A BOP bundles General Liability with Commercial Property/Tools coverage. These estimates are based on a standard package for a roofer with basic equipment coverage. Eligibility for a BOP is strict; high-risk roofing operations may not qualify for this bundled rate and may need to purchase lines separately.

How Much Does Roofing Business Insurance Cost?

On average, roofing companies spend $329 a month for general liability insurance. Your actual cost of business insurance depends on several things. These include your location and how many people you employ. Providers also look at the specific roofing tasks you perform and your history of claims. Even your record-keeping and the value of the tools you transport affect the rate.

The price also changes based on your coverage limits. You might get a better deal by bundling policies. However, do not pick a plan just because it is cheap. You need coverage that truly defends your business against real risks.

Note: The figures above are estimates based on national averages for small-to-medium-sized roofing businesses in the U.S. Actual premiums will vary significantly based on factors such as your specific location, annual revenue, number of employees, claims history, and coverage limits selected.

How Is Your Roofing Business Insurance Cost Calculated?

Insurance underwriters review several specific risk factors to calculate your premium. As noted, the type of roofing work you perform is a major influence. If your business focuses on commercial projects, you will likely face higher premiums than a company that strictly handles residential jobs.

The size of your operation plays a role as well. Higher revenue often points to larger projects and increased liability risks.

Your location is another key element. Prices are generally higher in areas known for frequent natural disasters or high crime rates. Local building codes can also dictate the specific coverage you are required to carry.

Providers also check your track record. If you have filed claims in the past, you are viewed as a higher risk. The value of your equipment, the use of business vehicles, and your chosen coverage limits will impact the price. Even your business structure, such as an LLC versus a sole proprietorship, can change the final cost.

Following these steps helps ensure you’re properly insured and set up to handle risks confidently and professionally.