Texas is the second-most populous state in the U.S. That means a steady stream of clients for handymen (and handywomen)! It also means that you are likely to find yourself in all kinds of situations — many of which could result in bodily injury or property damage. To protect yourself, both financially and legally, it’s important to have a handyman insurance policy for your business. Not sure where to start? We’ll break down handyman insurance requirements in Texas.

What are the insurance requirements for handymen in Texas?

The Texas Department of Licensing & Regulation does not require handymen to obtain a license. However, if you’re providing services that require a contractor’s license, it’s critical to carry the appropriate contractor’s insurance depending on the work you’re performing. You may be required to have the following:

  • Commercial general liability insurance: Can pay for damages if you’re held responsible for non-employee, third-party bodily injury, property damage, or personal and advertising injury. For example, air conditioning and refrigeration contractors in Texas must have this insurance.1
  • Workers’ compensation insurance: This type of policy pays for expenses related to a workplace injury incurred by an employee (or you, if you are self-employed). Handymen in Texas who are doing work that requires and electrician’s license must have workers’ compensation insurance.2

What are other types of insurance do handymen need in Texas?

Even though they are not required, other policies could be helpful to Texas handymen if their work extends beyond the scope of a typical handyman and into that of a contractor. Here are some additional policies that could protect your handyman business:

  • Professional liability insurance: This financially protects your business from claims that your services led to a clients’ financial or reputational harm.
  • Business Equipment Protection: You’ve likely invested a lot of money into high-quality tools. Business Equipment Protection, also known as Inland Marine Insurance, covers the tools and equipment you bring with you on the job. (And it’s available on any Thimble Monthly policy.)
  • Commercial property insurance: Protects the building where you work and the business contents inside and within 100 feet of the scheduled premises. With Thimble, you can buy commercial property insurance through a Business Owners Policy (BOP), which is bundled with general liability insurance. That means you have protection from third-party claims and coverage for your first-party property, such as your office and the equipment inside.

How much does handyman insurance cost in Texas?

On average, Thimble’s Handyman Insurance costs $102.46 per month in Texas. However, your specific quote depends on several factors, including your ZIP code, policy length, and whether you need additional coverage such as Business Equipment Protection, professional liability insurance, or a BOP.

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What are the handyman licensing requirements in Texas?

Having handyman insurance isn’t just good practice for protecting your business — it’s also required to obtain licensing in Texas for certain jobs that extend into the scope of a contractors’ work. Depending on the kind of work you’re doing, you may need the following:

  • Proof of experience: Texas requires air conditioning or refrigeration experts to have four years of practical experience in air conditioning and refrigeration-related work with a licensed contractor supervising you within the past six years. Alternately, you need to hold a technician certification for a year and have at least three years of practical experience in air conditioning and refrigeration-related work with a licensed air conditioning and refrigeration contractor supervising you within the past four years.3
  • Proof of insurance: Electrical workers in Texas, for example, must have a Certificate of Insurance (COI) proving that you have general liability insurance coverage of $300,000 per occurrence for property damage and bodily injury claims, $300,000 in aggregate coverage for products and completed operations, and $600,000 in aggregate for the total amount the policy will pay for bodily injury or damage claims.4 Luckily, when you purchase Handyman Insurance with Thimble, we’ll send you as many COIs as you need to your app and inbox immediately.
  • A passing exam score: For Texas handymen who do electrical work, you must get a passing score on on the appropriate licensing exam. For example, a residential wireman licensing requires a passing score on the residential wireman exam, but handymen applying for a maintenance electrician license must pass the maintenance electrician exam.5
  • Register with state and local departments: Check with your local regulatory agencies to see if you must register with them (in addition to the state). In Texas, for example, municipalities can require electrical workers to register with their local agency, but they can’t charge an additional fee to do so. So, if you’re a handyman in Texas who wants to perform electrical work that may require contractor licensing, be sure that you register with the state as well as the local agencies where you will run your handyman business.6

Thimble has Handyman Insurance in the Lone Star State

Insurance is more than handy. It can protect your business income and may even be a legal requirement. Thimble’s Handyman Insurance covers you for claims related to:

  • Third-party, non-employee bodily injury
  • Third-party property damage
  • Personal and advertising injury.

It also provides your legal defense and settlement of claims so you don’t need to pay out-of-pocket for a lawyer, even if the claim against you is frivolous. If you’re a handyman in Texas doing work such as carpentry, gutter cleaning, window cleaning, electrical work or more, click “Get a Quote,” answer a few questions about your business, and we’ll send you a quick quote. Once you choose the insurance that’s right for you, we’ll send you a Certificate of Insurance (COI), so you can grab your tools and start getting clients today.

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Sources:

  1. Texas Department of Licensing & Regulation. Apply for a contractor license. 
  2. Texas Department of Licensing & Regulation. Electricians at a Glance. 
  3. Texas Department of Licensing & Regulation. Apply for a Contractor License. 
  4. Texas Department of Licensing & Regulation. Electrical Contractor Certificate of Insurance. 
  5. Texas Department of Licensing & Regulation. Electrical Contractor Certificate of Insurance. 
  6. Texas Department of Licensing & Regulation. Compliance Guide.