NY Contractor Insurance Cost Estimator
Estimate your annual insurance costs as a contractor operating in New York State, including General Liability, Workers' Compensation, and Commercial Auto coverage.
Formulas Used
General Liability Premium:
GL Premium = (Annual Revenue ÷ 1,000) × Trade Rate
Adjusted for limit surcharge (+20% for $2M/$4M) and claims modifier.
Minimum premium: $750.
Workers' Compensation Premium:
WC Base = (Annual Payroll ÷ 100) × Trade WC Rate
NY Surcharges = WC Base × 18.8% (NY assessments, NYSIF surcharges)
WC Total = WC Base + NY Surcharges
Minimum premium: $1,200.
Commercial Auto Premium:
Auto Total = Number of Vehicles × $2,200/vehicle/year
Claims Modifier:
0 claims: ×1.00 | 1 claim: ×1.10 | 2 claims: ×1.20 | 3+ claims: ×1.35
Applied to GL and WC premiums.
Total Annual Cost = GL Premium + WC Total + Auto Total
Assumptions & References
- GL rates per $1,000 of revenue are based on ISO Commercial Lines Manual benchmarks and NY market data (2023–2024).
- Workers' Compensation rates are based on NYCIRB (New York Compensation Insurance Rating Board) class code benchmarks.
- NY WC surcharge of 18.8% reflects mandatory NY state assessments including the Reopened Case Fund, Special Disability Fund, and NYSIF surcharges.
- Commercial auto rate of $2,200/vehicle reflects NY's above-average commercial auto market, particularly in the NYC metro area.
- Roofing carries the highest GL and WC rates due to elevated fall-risk exposure under NY Labor Law §240 (Scaffold Law).
- NY Labor Law §240 (Scaffold Law) imposes strict liability on contractors and owners for gravity-related injuries, significantly impacting GL premiums.
- Claims surcharges are approximate; actual experience modification factors (EMR/X-Mod) are calculated by NYCIRB for WC.
- Estimates do not include umbrella/excess liability, professional liability (E&O), inland marine, or tools & equipment coverage.
- All figures are estimates for budgeting purposes. Actual premiums require a formal quote from a licensed NY insurance broker.
- References: NYCIRB (nycirb.org), ISO Commercial Lines Manual, NY Workers' Compensation Board (wcb.ny.gov).