Who do you guys go through for insurance and roughly how much is the cost? I was an electrician professionally for a company for 7 years, company and management went downhill rapidly to put it nicely. Now looking to do some on my own when not in farming season, would be residential and farm work, not commercial. No license and very few things require permits here.
What do you sparkies use for insurance?
- Thread starter JordanOH
- Start date
What are the requirements for electrical work in OH?
Around here you need a license to do it as a business. I doubt you're going to get insurance without a license.
Ohio electrical license and insurance requirements
NEXT explains how to get an Ohio electrical license, including reciprocity, renewal requirements, how long it takes and insurance.
www.nextinsurance.com
I'd love to pickup some small residential jobs around here, but VT requires a license and it's just not worth the risk for me
Bad Habit
Well-known member
(Beat me to it)
(I hold Contractor level licenses in a few states and have looked into in many others, ain't easy from out of state)
Better look into it more...
(I hold Contractor level licenses in a few states and have looked into in many others, ain't easy from out of state)
Better look into it more...
Chuckster in NJ
Well-known member
When I was in business I used a local insurance agent to handle all my insurance needs from employee health/life, auto, general liability, workers comp and surety bond.…….. This was some pricey overhead.
In NJ (The 'Sue Me' state) you need to be "over insured" if you have any assets…….. You have to be protected from employees and clients.
BTW! Nowadays you should have Cyber Liability insurance.
In NJ (The 'Sue Me' state) you need to be "over insured" if you have any assets…….. You have to be protected from employees and clients.
BTW! Nowadays you should have Cyber Liability insurance.
What the heck is that?
Chuckster in NJ
Well-known member
I have no idea what your state’s requirements are and the limitations as to a dollar amount you’d be able to act in the capacity as a contractor. California used to limit it to $600, but I don’t if that’s changed. What I’d have doubts about is you being to attain any coverage without a license and surety bond.
Also be advised residential is the most litigated segment of the construction industry. My former life was an industrial electrical contractor. And every year I had to sign an affidavit stating I did not perform any residential work.
My advice if you’re going to do this, do it 100% above board. Get a license, set up an LLC and get enough insurance to more than cover your *** do you don’t lose everything you’ve ever worked for over an incident.
Also be advised residential is the most litigated segment of the construction industry. My former life was an industrial electrical contractor. And every year I had to sign an affidavit stating I did not perform any residential work.
My advice if you’re going to do this, do it 100% above board. Get a license, set up an LLC and get enough insurance to more than cover your *** do you don’t lose everything you’ve ever worked for over an incident.
Chuckster in NJ
Well-known member
THIS ^ X2
When I was an electrical inspector I had no mercy on "trunk slammers" who were doing electrical work without a permit, license or insurance so I had no problem getting evidence on them and then reporting them to the NJ Board of Electrical Contractors and the fines were heavy.…….. Most of the offenders were from Pennsylvania who came into NJ because they were always 20-40% less than the licensed NJ guys who played by the rules and had insurance.
Working without first obtaining permits were a $2000 penalty and being an unlicensed individual performing the work, the fines were $5000 so you could be looking at $7000 plus attorney fees.
In NJ you must display the company name and license number on your vehicle or face a penalty.
wyliesdiesels
Well-known member
If youre in OH, there is indeed an electrical license
Your boss never got caught
Your boss never got caught
wyliesdiesels
Well-known member
A license is required. Not Requiring permits has nothing to do with requiring a license
California requires a license for all work over $1000 but not every single type of electrical work even over $1000 requires a permit. Permitting is up to the AHJ not the state.
mike93lx
ALLIANCE MEMBER
That's not the horse's mouth, that's Ai slopInstead of reading about what 49 other states require, go to the horse's mouth: OCLIB. Many insurance vultures also pop up when I searched this topic..
mike93lx
ALLIANCE MEMBER
I get that. Link directly to them, not copy pasting some Ai result
It was stated to do that before the screenshot.
And this is from the state website, so not too far off. The OP has to do his own due diligence...
Ohio Construction Industry Licensing Board
The Ohio Construction Industry Licensing Board (OCILB) is a part of the Division of Industrial Compliance and is responsible for issuing licenses to qualified Electrical, Heating Ventilating and Air Conditioning (HVAC), Plumbing, Hydronics and Refrigeration Contractors who successfully pass the PSI licensing examination. The Licensing Board regulates commercial contractors who perform the above five specialty trades. Licenses issued by the Board are Contractor Licenses and also referred to as Master Licenses.
The Ohio Contractor Licensing Law (ORC 4740), requires building and health departments who have a registration in place to require the State License before issuing commercial permits. All local building and health departments regulate residential contractors. However, the State Licensing Law allows those building and health departments to require the State commercial license for their residential contractors.
There are 17 members on the Board which consists of 4 sections, Plumbing/Hydronics Section, HVAC/Refrigeration Section, Electrical Section and Administrative Section. All sections meet every other month to review new test applications, new training agencies, new courses being offered, etc.
Questions regarding an existing license or information on how to become licensed may be directed to 614-644-3493 or the Executive Secretary, Carol Ross, at 614-644-3495.
OCILB operates as a customer and business-focused organization with an emphasis on responsible, common sense regulation.
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meathooker
Well-known member
we‘ve added this to a couple organizations I’m apart of. imo it's a joke and your GL should cover it.
meathooker
Well-known member
Your first post states “no license”. No need to be crass to someone trying to give correct information
to your original question on insurance I would find a local agency that knows the requirements of your state. additionally if you don’t already have an umbrella policy I would highly recommend getting one. They’re not that expensive and will help protect your personal assets - especially if you do not plan on starting an LLC to run this side venture through.
Chuckster in NJ
Well-known member
"Hopefully" your GL will cover you but in today’s world you can’t risk being under insured. A few municipalities in NJ have been hacked and had to pay the hackers…….. It wasn’t really publicized but it happens.
My advice is to LISTEN to your trusted insurance agent and take their advice on what you really need to be covered because if you have a good business going the "vermin" will try to get your hard earned money buy suing you.……. Basically frivolous lawsuits bought on by someone looking for a pay off.
I can't really give you a cost but can look up a company name if you really want it. I'll have to dig through my email look at the certificate of insurance I was given to renew my license last time.
The company is not like the name State Farm or anything. It's a commercial insurance company whose name I don't recognize. Electrical is the least of the business my employer does and I hold the master elec lic in two states for them more or less to cover myself and to allow them to meet bid requirements. It's a few million dollar liability policy that's probably well above what you require but maybe the company will write smaller policies as well.
This is probably not the best place to ask but maybe electrician talk in one of the business boards might be more appropriate. This forum seems more around helping people wire up their lights than starting a company.
I do find it hard to believe you aren't required to have a masters license to run a legit electrical business even if it's a guy and a truck. Here you need a master on staff and to be unattended doing electric you need to be a licensed journeyman. To do any electrical work at all your supposed to at least be a licensed apprentice and can't be working unsupervised.
The company is not like the name State Farm or anything. It's a commercial insurance company whose name I don't recognize. Electrical is the least of the business my employer does and I hold the master elec lic in two states for them more or less to cover myself and to allow them to meet bid requirements. It's a few million dollar liability policy that's probably well above what you require but maybe the company will write smaller policies as well.
This is probably not the best place to ask but maybe electrician talk in one of the business boards might be more appropriate. This forum seems more around helping people wire up their lights than starting a company.
I do find it hard to believe you aren't required to have a masters license to run a legit electrical business even if it's a guy and a truck. Here you need a master on staff and to be unattended doing electric you need to be a licensed journeyman. To do any electrical work at all your supposed to at least be a licensed apprentice and can't be working unsupervised.
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Chuckster in NJ
Well-known member
Here is my tip for the OP:
1) Contact the licensing board in your state and see what has to be done to obtain a license and what is needed to establish a business.
2) Contact an insurance agent.
3) Get an attorney who is familiar with construction law.
4) Get in touch with an accountant who can help you with paying taxes and how to set up your books.
BTW! Come back here and let us know how you make out and "IF" you really want to be an electrical contractor.
1) Contact the licensing board in your state and see what has to be done to obtain a license and what is needed to establish a business.
2) Contact an insurance agent.
3) Get an attorney who is familiar with construction law.
4) Get in touch with an accountant who can help you with paying taxes and how to set up your books.
BTW! Come back here and let us know how you make out and "IF" you really want to be an electrical contractor.
alfredeneuman
Well-known member
I retired in 2016, so my information is not current, but my California C10 (Electrical) liability policy for $1 million, with a $250 deductible, was $900 yearly.
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Could you get that policy as an unlicensed electrician?
alfredeneuman
Well-known member
No. There is no such thing as an unlicensed EC
wyliesdiesels
Well-known member
nope. insurance underwriters in cali will not bond such insurance to unlicensed companies or unlicensed sole props
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sparky 1971
Well-known member
In some places you can and unfortunately IA is one of them. I have a friend that is part of a group of three cowboys that are all separately self employed. My buddy is the one with the masters even though he's honestly too stupid to have one but is either a good test taker or good guesser; take your pick. Another has the contractors license, and the third has neither but does have a journeyman's license and is allowed into the group because he has all of the good equipment that the others borrow. They all pull permits under the company that has the contractor license. They all have their own general liability policies; I know this because I've hired two of them as subs and had to get copies of their policies to show my insurance company when they audited me.
I will add that we can't get a contractors license without a $1,000,000.00 liability policy.
oldmachinenut
Well-known member
Arc flash?
️
️And super shady if he uses an eyebrow pencil.Arc flash?
Inkzall?
alfredeneuman
Well-known member
I was a sole proprietor and had both a bond and liability insurance.
wyliesdiesels
Well-known member
im saying they will not insure an unlicensed sole prop
alfredeneuman
Well-known member
I know an unlicensed handyman that had liability insurance.
He only had a $500K policy. He wouldn't tell me the premium so it must have been excruciatingly expensive.
He only had a $500K policy. He wouldn't tell me the premium so it must have been excruciatingly expensive.
But did that cover electrical work?
I know (roughly) what a "handyman" or "contractor" policy would cost me in 2 states.
But I know for a fact that it excludes electrical and plumbing (both states require licenses for non-owner work)
That is a completely different business then an electrician. I know a what my wife's insurance is as a doctor and I know what my insurance and bond was as a GC was many years ago. However, those are both not relevant to the conversation.
Depending on the state, municipality, and the insurance policy a handy man might be able to install a switch or change out a light fixture. In many places they can't. I know the handyman I use in the can't touch electrical or plumbing or he invalidates his insurance policy. The county where my parents live doesn't care unless you are working in the panel, however my guy will not do anything that jeopardies his liability coverage. Smart dude.
alfredeneuman
Well-known member
He was an employee of the maintenance dept. where I was called every time an EC was required.
He limited his work to carpentry, painting, hanging mirrors,etc.
He didn't do electrical. The only plumbing he would tackle was an occasional faucet replacement or toilet repair.
He limited his work to carpentry, painting, hanging mirrors,etc.
He didn't do electrical. The only plumbing he would tackle was an occasional faucet replacement or toilet repair.