General Liability for California Contractors — SB 800 Compliant Coverage
California's SB 800 right-to-repair framework, 10-year latent defect exposure, and rigorous additional insured requirements create GL obligations that contractors in other states don't face. We deliver coverage built specifically for California's construction liability landscape.
California's GL Liability Landscape
California's construction liability framework is uniquely complex. SB 800, long statutes of limitation, and aggressive additional insured requirements make proper GL structuring essential.
SB 800 Right-to-Repair
California's SB 800 (the 'Right to Repair Act') establishes pre-litigation procedures for residential construction defect claims. Contractors receive notice and opportunity to repair before lawsuits proceed. However, SB 800 creates a 10-year statute of repose for latent defects — meaning claims can surface a decade after project completion. Your GL policy's products-completed operations coverage is critical for this exposure window.
CSLB Licensing & Insurance Requirements
The Contractors State License Board doesn't mandate GL by statute, but virtually every commercial contract, GC subcontract, and public works bid requires it. Standard requirements are $1M per occurrence / $2M aggregate. Larger projects and government work frequently require $5M+ through umbrella policies. Operating without GL effectively locks you out of professional contracting in California.
Additional Insured Endorsements
California GCs and project owners routinely require additional insured status on your GL policy via CG 20 10 and CG 20 37 endorsements. These extend your coverage to protect the GC from claims arising out of your work. Endorsement requirements vary — some require primary and noncontributory language, others demand waiver of subrogation. Getting these wrong delays mobilization and risks contract default.
Completed Operations Exposure
California's long statute of limitations for construction defects (up to 10 years for latent defects under CCP §337.15) means your GL policy's products-completed operations coverage carries enormous long-tail exposure. A plumbing leak that surfaces 7 years after completion, a deck failure 5 years post-construction — these are real claims that California contractors face routinely.
What California Contractor GL Insurance Covers
General liability is the foundation of contractor protection — the policy every GC, project owner, and lender requires before you can set foot on a California job site.
- Bodily injury — third-party injuries caused by your operations, employees, or completed work
- Property damage — damage to client property, adjacent structures, or existing conditions during construction
- Personal & advertising injury — defamation, copyright, and wrongful eviction claims
- Products-completed operations — claims arising from finished work, critical for SB 800 exposure
- Contractual liability — coverage for hold-harmless agreements required in subcontracts
- Medical payments — no-fault coverage for minor injuries without litigation (typically $5,000-$10,000)
- Legal defense — carrier-funded defense from dollar one, separate from policy limits
- Broad form property damage — coverage for damage to property in your care, custody, or control
Real-World Claim Scenario
Orange County Framing Contractor
A framing crew completed a second-story deck on a custom home. Three weeks later, the homeowner's guest stepped through a board that had been improperly fastened during demo. The guest fractured an ankle on the concrete patio below.
The homeowner's attorney filed against the framing contractor. Medical bills, lost wages, pain and suffering, and legal defense costs followed. The GL policy responded to the entire claim under products-completed operations coverage.
Total Claim: $145,000+
- • Emergency care & ankle surgery: $42,000
- • Physical therapy (4 months): $12,000
- • Lost wages during recovery: $18,000
- • Pain & suffering settlement: $55,000
- • Legal defense costs: $18,000
Without GL coverage, the contractor would have paid $145,000+ out of pocket — potentially ending the business.
General Liability Resource Library
In-depth guides covering GL requirements, additional insured endorsements, construction defect claims, and California-specific liability exposure.
California General Liability FAQ
What GL limits do California contractors need?
Standard commercial requirements are $1,000,000 per occurrence and $2,000,000 aggregate. Government work, large commercial projects, and institutional clients often require $5M or $10M limits, typically achieved through an umbrella or excess policy layered over your base GL. Your umbrella premium is usually a fraction of achieving those limits on the primary policy.
How does SB 800 affect my GL coverage?
SB 800 creates a structured pre-litigation repair process for residential defects, but it also establishes a 10-year exposure window for latent defect claims. Your GL policy's products-completed operations coverage responds to these claims. It's critical to maintain this coverage even after you finish a project — dropping completed operations to save premium leaves you exposed to the most expensive claims.
What additional insured endorsements will I need?
Most California GCs require CG 20 10 (ongoing operations) and CG 20 37 (completed operations) endorsements naming them as additional insureds. Many also require primary and noncontributory language (CG 20 01) and waiver of subrogation. We pre-configure your policy with the most commonly required endorsements so you can issue compliant certificates without delays.
Does GL cover faulty workmanship in California?
GL does not pay to redo your own defective work — that's a business cost. But GL does cover the resulting damage caused by your faulty work. If your defective waterproofing causes mold damage to the structure, GL covers the mold remediation and structural repairs (the consequential damage), but not the cost of redoing the waterproofing itself.
How quickly can I get a certificate of insurance?
For contractors with clean records and standard operations, we often bind GL coverage and issue certificates same-day. We can add additional insured endorsements in hours, not days. Complex risks or those with significant claims history may take 24-48 hours while we shop multiple carriers for the best rate.
Get California GL Coverage That Meets Every Contract
Pre-configured with the additional insured endorsements California GCs require. Same-day certificates. Competitive rates from 50+ A-rated carriers.