Commercial Builders Insurance
Insurance & Bonding for Commercial Builders
Comprehensive coverage for general contractors, construction managers, and specialty contractors — insurance and surety bonds under one roof, structured around the real risks of commercial construction.
All lines. One program.
Coverage at a Glance
All lines. All bonding. One experienced broker.
General Liability
Including completed operations & subcontractor coverage
Builders Risk
Course of construction — structure, materials & equipment
Workers' Compensation
Multi-trade crew classification & subcontractor compliance
Surety Bonds
Bid, performance, payment & license bonds
Commercial Auto
Fleet, hired & non-owned, and equipment hauling
Umbrella Liability
Excess protection above all primary lines
Inland Marine
Equipment, tools & materials at current replacement value
About Our Approach
Built for Builders. Not Adapted From a Generic Policy.
Commercial construction carries a risk profile that standard business insurance policies aren’t designed to address. Multi-phase projects, rotating subcontractor crews, significant equipment and materials exposure, long-tail completed operations liability, and contractual requirements that vary by project owner — all of it demands a broker who works in the construction space every day.
Tooher-Ferraris Insurance Group has been working with commercial builders and general contractors across New England since 1932. We understand the difference between a new commercial build and a renovation, between a self-performing GC and a construction manager, between a project that needs a certificate in 24 hours and one that needs a $20 million performance bond.
Our risk management approach focuses on building a program that covers how your business actually operates — not how an underwriter assumes it does.
Coverage Lines
Complete Coverage for Every Phase of Construction
Every line a commercial builder needs — structured to work together so there are no gaps between policies when a claim spans multiple coverages.
General Liability
- Ongoing operations & completed operations
- Subcontractor coverage and additional insured requirements
- Contractual liability for indemnification clauses
- Products liability for installed materials
- Personal and advertising injury
- Waiver of subrogation where required by contract
Builders Risk
Course-of-construction coverage protecting the project itself — from the first foundation pour to the final certificate of occupancy.
- Structure under construction at full replacement value
- Materials and supplies on-site and in transit
- Temporary structures, scaffolding, and formwork
- Soft costs — architect fees, permits, and financing costs
- Delay in completion / loss of revenue extensions
- Flood and earthquake options available
Workers' Compensation
- Correct multi-trade crew classification
- Subcontractor certification and compliance tracking
- Audit preparation and payroll allocation
- Experience modification review and management
- Return-to-work program support
- Loss control and jobsite safety services
Commercial Automobile
- Owned vehicle fleet — sedans, pickups, and heavy trucks
- Hired and non-owned vehicle exposure
- Equipment hauling and trailer coverage
- Driver qualification and MVR monitoring programs
- Pollution liability for fuel and hydraulic spills
Inland Marine & Equipment
- Heavy equipment — excavators, cranes, and lifts
- Contractor’s tools and portable equipment
- Materials and supplies in transit between sites
- Rented and leased equipment coverage
- Installation floater for materials being installed
- Electronic data and communications equipment
Umbrella & Excess Liability
- Sits above GL, commercial auto, and employers liability
- Defense costs outside policy limits available
- Protection against catastrophic injury verdicts
- Project-specific limits available for major contracts
- Follow-form coverage matching primary policy terms
Surety Bonds
Bonding & Insurance Under One Roof
Most commercial builders need both insurance and surety bonds to compete for and execute projects. We handle both — giving you a single experienced partner who understands how your bonding program and your insurance program interact.
Bid Bonds
- Required for most public projects over bid thresholds
- Typically 5–10% of the bid amount
- Fast turnaround — often same-day for prequalified contractors
- No cost to contractor if bond is not called
Performance Bonds
- Required on virtually all public construction projects
- Increasingly required on private commercial projects
- Typically 100% of the contract value
- Requires surety prequalification of the contractor
Payment Bonds
- Protects the subcontractor payment chain
- Legally required on most public projects
- Issued together with the performance bond
- Typically 100% of the contract value
License & Permit Bonds
- Required by CT, NY, RI & MA licensing authorities
- Typically modest premium relative to bond amount
- Fast issuance — often same business day
- Annual renewal typically required
Subdivision & Site Bonds
- Required for subdivision development approvals
- Guarantees completion of public improvements
- Amount set by municipality based on engineer’s estimate
- Released upon satisfactory completion of improvements
Maintenance Bonds
- Protects owner from post-completion defects
- Duration typically 1–2 years from substantial completion
- Often a requirement for retainage release
- Can be written as a standalone bond or endorsement
Coverage Spotlight
Why Handle Bonding and Insurance Together?
Surety underwriters and insurance underwriters look at many of the same things — your financial strength, work in progress, loss history, and management depth. When we handle both, we present a complete and consistent picture of your business to both markets simultaneously.
Coordinating your bonding and insurance program also eliminates the common gaps that arise when a project’s insurance requirements and bonding requirements are negotiated by different brokers who don’t communicate.
- Prequalification support
We help contractors build the financial and operational profile that surety underwriters require for larger bond programs — a process that takes time and benefits from early planning. - Single point of contact for certificates and bonds
Project owners and GCs frequently need certificates of insurance and bond confirmation simultaneously. Having both handled by one broker means faster turnaround and fewer errors. - Growth planning — increasing bond capacity over time
Surety capacity is a function of financial strength and loss history. We work with clients to build the track record that supports larger and more complex bond programs as their business grows. - Fast turnaround on bid bonds and certificates
Commercial construction timelines don’t wait. Prequalified contractors with established bonding programs can get bid bonds and certificates issued same-day through our online portal.
Coverage Spotlight
Builders Risk: Protecting the Project Itself
Builders risk is one of the most project-specific coverages in commercial insurance — and one of the most commonly misunderstood. A standard property policy does not cover a structure under construction. The project needs its own policy, written for the course of construction period, and structured to match the actual scope of the project.
Who needs builders risk coverage?
Builders risk should be in place from the first ground disturbance or site work. The question of who purchases it — the owner, the general contractor, or the construction manager — is typically addressed in the contract. Understanding your contractual responsibility before the project starts is critical.
Coverage extends from ground-breaking through project completion and typically runs until a certificate of occupancy is issued or the building is put to its intended use. Extensions are available for projects that run over schedule.
Soft costs coverage — a rider that pays for additional architect fees, engineering fees, loan interest, and permit costs caused by a covered loss — is frequently undervalued and underutilized by commercial builders. It can represent significant exposure on larger projects.
What Builders Risk Covers
Structure under construction
The building at every stage — foundation, framing, enclosure, and interior completion — at full replacement value.
Materials on-site and in transit
Stored materials, prefabricated components, and materials being transported to the site — covered from the supply yard to installation.
Temporary structures
Scaffolding, formwork, falsework, shoring, and construction trailers — the infrastructure that supports the build itself.
Soft costs extension
Architect and engineering fees, loan interest, re-permitting costs, and additional financing charges caused by a covered loss and delay.
Delay in completion
Lost rental income, additional carrying costs, and lost profits attributable to a covered delay — protecting the owner's investment in the project timeline.
Risk Management
Beyond Insurance — A Construction Risk Management Approach
Subcontractor Compliance Programs
Contract Review & Risk Transfer
Experience Modification Management
Jobsite Safety & Loss Control
Access to Tooher-Ferraris Risk Synergy® Portal resources — safety training programs, OSHA compliance tools, and incident reporting systems tailored to commercial construction operations. Fewer claims mean a better loss history, a better experience mod, and better insurance terms at renewal.
Explore More
Related Coverage & Resources
Everything a commercial builder needs — across insurance, bonding, and risk management — available through Tooher-Ferraris.
Surety Bonds
Bid, performance, payment, license, and maintenance bonds for commercial contractors — with online application and fast issuance for prequalified accounts.
General Liability
Coverage for bodily injury and property damage arising from commercial construction operations — including completed operations and subcontractor management.
Workers' Compensation
Multi-trade classification, subcontractor compliance tracking, experience modification management, and jobsite safety resources for commercial builders.
Commercial Auto
Fleet coverage for owned vehicles, hired and non-owned exposure, equipment hauling, and driver qualification programs for construction fleets.
Specialty Programs
Purpose-built programs for specific contractor trades — including pool & spa, arborists, and other specialty contractors with industry-specific coverage needs.
Safety | Loss Control | Compliance
Commercial Insurance Quote
Purpose-built programs for specific contractor trades — including pool & spa, arborists, and other specialty contractors with industry-specific coverage needs.
Surety Bond Application
Apply online for bid bonds, performance bonds, payment bonds, and license bonds. Fast turnaround for prequalified contractors through our online portal.
Certificate of Insurance (COI)
Request a commercial certificate of insurance online — for project owners, general contractors, and lenders requiring proof of coverage on short notice.
Ready to Build With Better Coverage Behind You?
Frequently Asked Questions (FAQs)
Common questions from commercial builders about insurance and bonding.
A complete commercial builder’s insurance program typically includes: General Liability (covering ongoing and completed operations, with subcontractor and additional insured provisions), Builders Risk (for the project itself during construction), Workers’ Compensation (for all employees and, in some cases, subcontractors), Commercial Automobile (for owned and non-owned vehicles), Inland Marine / Equipment coverage (for tools and heavy equipment), and Umbrella Liability (sitting above all primary lines). Many commercial projects also require Surety Bonds — see our Surety Bonds page for details. The specific combination depends on your role (GC, CM, subcontractor), project type, and contract requirements.
They serve fundamentally different purposes. Liability insurance protects the contractor from third-party claims for bodily injury and property damage arising from their operations. A performance bond is a guarantee to the project owner that the contractor will complete the project according to the contract — and if the contractor defaults, the surety (bonding company) steps in to ensure completion. One protects against accidental harm; the other guarantees contractual performance. Commercial projects frequently require both. Visit our Surety Bonds page for a full explanation of bond types.
This is determined by the contract — and getting it wrong creates a dangerous gap. On many commercial projects, the owner purchases and maintains builders risk and lists the general contractor as an additional insured. On others, the GC is responsible for obtaining builders risk as part of the contract. The key is to read your contract carefully before the project starts and confirm there is no gap in coverage between what the owner is providing and what you are responsible for. We review builders risk obligations as part of our standard contract review process.
Surety capacity is determined by your financial strength — specifically working capital, net worth, and the ratio of your work in progress to your equity. Sureties also evaluate your management depth, backlog, and loss history. Increasing bond capacity is a process that happens over time, through a combination of building financial strength (retained earnings, not debt), maintaining a clean claims record, and establishing a track record of successfully completing bonded projects. We work with contractors at early stages to help them build the profile that supports larger and more complex bond programs as their business grows. Visit our Surety Bonds page or contact us to discuss your bonding program.
This depends on your policy language — and it’s one of the most important questions to get right. Your GL policy may include a subcontractor coverage provision, but it typically comes with conditions: the subcontractor must be properly licensed, may need to meet minimum insurance requirements, and the work must be within the scope of your operations. The safest approach is a subcontractor compliance program that verifies each subcontractor’s insurance before they begin work and tracks certificates throughout the project. We help clients build and manage subcontractor compliance programs as part of our risk management services. See certificate of insurance requests for existing clients.