Homeowner Protection · San Francisco

Contractor Insurance in San Francisco: What Coverage to Require

By Solid Bay Construction SF | Updated 2026

A contractor's license alone doesn't protect you if a worker is injured on your property or a mistake damages your home. Insurance does. Before signing any contract, confirm two specific policies are active — not just mentioned in a sales conversation.

The Two Policies That Matter

General Liability Insurance

Covers property damage or third-party injury caused by the contractor's work — for example, a fire started by faulty wiring, or a neighbor's fence damaged during demolition. Most reputable SF general contractors carry $1–$2 million in general liability coverage.

Workers' Compensation Insurance

Covers medical costs and lost wages if a worker is injured on your job site. This one matters more than most homeowners realize: in California, if an uninsured worker is hurt on your property, you as the property owner can be held liable for their medical costs. Every legitimate SF contractor with employees is required to carry this — if a contractor says they don't need it because their crew is "all subcontractors," verify that independently rather than taking it at face value.

How to Verify Coverage Yourself

• Ask for a Certificate of Insurance (COI) naming you as an additional insured for the project — this is a standard, reasonable request
• Call the insurance carrier listed on the COI directly to confirm the policy is currently active, not expired
• Cross-check the contractor's license status and any bond information at cslb.ca.gov

Red Flags

Be cautious of a contractor who is reluctant to provide a COI, whose policy limits seem unusually low for the size of your project, or who insists all workers are independent contractors with no need for workers' comp. These are the situations where an accident turns into a homeowner's financial and legal problem instead of an insurance claim.