How Much Does Contractor Insurance Cost in Ontario?
Insurance is a fixed cost in every bid you submit. Here are estimated 2026 premium ranges for Ontario trades, what moves the price, and how to keep it under control without losing the coverage your contracts require.
Connect Now
Service & Support:
- Follow-up from a licensed broker within 24 hours
- Policy Review and Comparison
- Risk Assessment
- Help with certificates of insurance, policy changes and contract reviews
- Renewal planning well before your policy expires
Quick answer
How much does contractor insurance cost in Ontario?
As a rough guide, many Ontario owner operators and small crews pay about $700 to $2,500 a year for $2 million in liability and tools coverage in lower risk trades such as handyman and painting, about $1,000 to $5,000 in trades like electrical, plumbing, HVAC and carpentry, and $3,000 to $15,000 or more for general contractors. These are estimates; revenue, trade, limits and claims drive the actual price.
The short answer
For most trades, the core of a contractor program is commercial general liability plus tools and equipment coverage. The price is driven mostly by your trade, your revenue or payroll, the limits your contracts require and your claims history.
The ranges below are estimates for owner operators and small crews in Ontario with a clean claims history. They are not quotes. WSIB, commercial auto and surety bonds are priced separately.
Connect NowHow CommercialInsurance.ca works
We are not an insurer or a broker. We find you the right one.
Matched by industry
We connect you with a broker who works with businesses like yours, not a generic call centre.
Licensed Ontario brokers
Insurance brokers in Ontario are licensed by the Registered Insurance Brokers of Ontario (RIBO).
Fast follow up
Once we receive your information, a professional in our network will connect with you within 24 hours.
No cost to be matched
Our referral service is free for businesses. You deal directly with the broker for quotes and coverage.
Estimated annual contractor insurance costs in Ontario
Estimated annual premiums for $2 million commercial general liability plus tools and equipment, excluding WSIB, auto and bonds.
| Trade | Estimated annual premium | What drives the price |
|---|---|---|
| Handyman | $700 to $2,000 | Scope of work, heights, property management contracts |
| Painter | $900 to $3,500 | Exterior and spray work, heights, commercial jobs |
| Electrician | $1,000 to $4,000 | Residential vs commercial and industrial, voltage, subs |
| Carpenter or framer | $1,200 to $5,000 | Framing vs finish, heights, builder contracts |
| Plumber | $1,200 to $4,500 | Condo and multi unit work, water damage history |
| HVAC and gas | $1,500 to $5,000 | Commercial rooftop work, fuel oil, gas |
| Renovation contractor | $1,500 to $6,000 | Structural work, condos, subcontracting |
| Roofer | $3,000 to $12,000+ | Heights, torch on work, residential vs commercial |
| General contractor | $3,000 to $15,000+ | Revenue, subcontracted costs, project types |
Ranges are estimates only for small Ontario contractors with no recent claims. Larger revenue, higher limits and past claims can push premiums well above these ranges.
How to lower your contractor insurance cost
Get your subs in order
Uninsured subcontractors are one of the fastest ways to inflate your premium at audit. Collect certificates and WSIB clearances from every sub and keep them on file.
- Certificates from every sub
- WSIB clearances
- Contracts with insurance clauses
Describe your work accurately
Being vague can cost you twice: a higher premium now, or a denied claim later. Give your broker an honest breakdown of what you do, and update it when your work changes.
- Revenue split by type of work
- Maximum working heights
- Any hot work or torch work
Shop the market properly
Contractor pricing varies widely between insurers. A broker who places contractors regularly can compare several markets and show you where cheaper quotes cut coverage like completed operations or tools in transit.
- Start 60 days before renewal
- Compare wording, not just price
- Check completed operations and exclusions
Get real numbers for your business
Tell us about your trade, revenue and the contracts you sign, and we will connect you with a licensed Ontario broker who places contractors every day. The referral is free.
Start with our contractor insurance guide.
Connect Now
Contractor Insurance Cost FAQs
How much is contractor insurance per month in Ontario?
For a small owner operator in a lower risk trade, liability and tools coverage can start below $100 a month. Higher risk trades, larger revenue and higher limits cost more. These are estimates only.
Why did my contractor insurance go up at renewal?
Common reasons include higher revenue or payroll, a claim, new types of work, higher limits required by contracts, or uninsured subcontractors found at audit.
Is WSIB included in contractor insurance?
No. WSIB is a separate, mandatory program for most construction businesses, with premiums based on insurable earnings and rate group.
Does a $5 million limit cost much more than $2 million?
Usually not double. Higher limits, or an umbrella on top of $2 million, typically add a moderate amount relative to the base premium.
What is a premium audit?
Many contractor policies are priced on estimated revenue or payroll and adjusted after the policy year based on actual figures, which can lead to an additional or returned premium.
What happens after you request commercial insurance?
1Discovery Call
(30 to 45 min)Understand operations, contracts, assets, and loss history.
Get Started Now!
We will request your
expiring policies and loss runs.
2Risk Mapping
(1 to 3 days)Document exposures, limits, sublimits, deductibles, and endorsements that fit your contracts.
Get Started Now!
3Market Placement
(2 to 5 days)Approach the right markets
Get Started Now!
and negotiate terms, exclusions, and deductibles.
4Proposal & Bind
Get Started Now!
Side-by-side options in clear wording, so you can choose with confidence.
Protect your team too
Offer health, dental and life benefits your employees will value.
We also connect Ontario businesses with licensed benefits advisors, from two person teams to growing companies.
5/5 rating on GoogleThe Commercial Insurance Difference: Feedback from those referred
Proactive Broker Relationship.
The most noticeable difference was the fact that I no longer felt that I was needed to manage the broker... the brokers came to me with proactive recommendations and knew when to push and shop the market and when not to. When the topic of business insurance comes up, I always refer fellow business owners.
Steve T
Security Blanket For My Business
I was always the type of customer that never believed in insurance and only really got it because I had to. Then I connected with a broker through Commercial Insurance.ca and they asked me questions no one else ever did and that's how I knew something was different. They took the time to understand and evaluate the risks. Well, I ended up getting some extra coverage (legal expense) and thank goodness I did. Something fairly innocent turned into something quite nasty and I didn't have to do too much... my coverage took care of it. Now I look at Insurance as a security blanket for my business.
Michael L
They had my back
No one likes buying insurance because it's a bit of a bet against yourself. You just hope that when the bad things happen that insurance will do what it said it would do in the first place. Their specialist stand behind the policy's that they bind. They never professed to get me the best price, but they did say they have my back, and have my back, they did.
Steph P