Sub Specialty Contractor

Hi,

I don't know if there are industry standards per se, but in our area of the country and servicing in a large metro area, we see the  "norm" as follows:

GL: $2mm occurrence/$4mm aggregate

W/C: Statutory limit/$1mm

Auto: $2mm

Umbrella: $9mm (we'd be at $5mm but for one good customer needing our limit to be at $9mm)

We originally obtained minimum limits from our insurance broker and GCs and the limits have slowly gone up over the years.  When we can't meet the contractual requirements, we reach out to the interested party to see if limits can be lowered.  Sometimes that works, sometimes it doesn't . If it doesn't, we try to add in the additional insurance cost into our bid if possible.  We once had an IL Tollway contract for under $100,000 and their insurance terms were $25mm for umbrella.  We requested a waiver to bring down the amount and they agreed.  The only area this affects for us is the Umbrella.  We are an under $10mm contractor.