Quick Answer: Plumber insurance is a program built on general liability and workers compensation, with commercial auto, tools and equipment coverage, and often an umbrella. In Illinois it is also a registration matter. A plumbing contractor must show the state general liability of at least $100,000, bodily injury coverage of at least $300,000, workers compensation, and a $20,000 bond or letter of credit. Small plumbing businesses pay a median of $147 a month for general liability, according to Insureon.
What Plumbing Contractor Insurance Covers
General Liability
Helps address claims that your work injured someone or damaged property, such as a fitting that fails and floods a finished basement. It is the policy every certificate request starts with.
Workers Compensation
Pays for medical care and part of lost wages when an employee is hurt on the job. Illinois asks a plumbing contractor to show it in order to register.
Commercial Auto
Covers your service vans and trucks. A personal auto policy generally will not respond when the vehicle is being used for the business.
Tools and Equipment
Helps pay to repair or replace drain machines, cameras, press tools, and threaders that are stolen or damaged, whether they are in the van, in the shop, or on a job site.
Commercial Umbrella
Adds limits on top of your general liability, auto, and employers liability. Commercial owners and general contractors often write a higher limit into the contract than a base policy provides.
Bond or Letter of Credit
Illinois requires a $20,000 indemnification bond or letter of credit to register as a plumbing contractor. A bond is not insurance: you repay the surety for anything it pays out on your behalf. We place the bond along with the insurance.
Often added: pollution liability for sewer, drain, and septic work, and hired and non-owned auto for employees who run parts in their own cars. Running more than one trade? Start with our contractor insurance page.
Four Things to Check Before You Buy a Plumbing Policy
Two plumbing liability policies with the same limit can pay very differently. Water finds every gap in the wording. These are the four points we check on every account.
Water damage after the job. The classic plumbing claim is a joint that lets go weeks after you leave. Completed operations coverage is the part of general liability that responds to damage that happens after the work is done. Check that it is included and what its limit is.
Mold and pollution. Many liability policies exclude or tightly limit mold, and exclude pollution, which can reach sewage and work on sewer and septic lines. If you do drain, sewer, or septic work, ask how the policy treats it and whether you need separate pollution coverage.
Digging. Replacing a sewer lateral or a water service brings underground utility and collapse exposure. Some policies exclude that work unless it is added. If you dig, say so on the application. See how we handle it for excavation contractors.
Subcontractors. Many policies require every subcontractor to carry its own general liability and workers compensation and to hand you a certificate. Miss that step and a claim can be denied, and your premium audit can bill you for the sub's work. Our guide to certificate holders and additional insureds explains what to ask for.
List every kind of plumbing you do
Service and repair, new construction, sewer and drain, gas piping, fire sprinkler, and medical gas are rated differently, and some policies exclude one or more of them. Tell us all of it, including the jobs you take only a few times a year, and we match the wording to it.
Illinois Plumbing Contractor Insurance Requirements
Illinois registers plumbing contractors through the Department of Public Health. Insurance and a bond are part of the registration.
| Requirement | What the rule says | Source |
|---|---|---|
| State registration 225 ILCS 320/13.1 |
Anyone in business as a plumbing contractor in Illinois must register with the Department of Public Health. | Illinois Plumbing License Law |
| Liability insurance 225 ILCS 320/13.1 |
General liability of at least $100,000 per occurrence, bodily injury of at least $300,000 per occurrence, and property damage of at least $50,000, or at least $300,000 combined single limit. | Illinois Plumbing License Law |
| Workers compensation 225 ILCS 320/13.1 |
Workers compensation insurance with at least $500,000 of employers liability. | Illinois Plumbing License Law |
| Bond or letter of credit 225 ILCS 320/13.1 |
An indemnification bond of $20,000, or a letter of credit in the same amount. The certificates must stay in force for the registration to remain valid. | Illinois Plumbing License Law |
| Going without workers compensation | Illinois requires employers to insure almost everyone they hire. An employer that knowingly fails to insure can be fined up to $500 for every day without coverage, with a minimum fine of $10,000. | Illinois Workers' Compensation Commission |
This is a summary for insurance planning, not legal advice. Section 13.1 was last amended by Public Act 103-605, effective July 1, 2024. Confirm current requirements with the Illinois Department of Public Health before you register or renew. Cities may add their own rules.
The state minimum is rarely what a customer asks for. Commercial owners, property managers, and general contractors set their own terms: higher limits, additional insured status, and a certificate of insurance before you start. Send us the insurance section of the contract and we match the policy and the certificate to it. More on Illinois rules in our contractor insurance guide and our Illinois workers compensation page.
Why Plumbing Is Rated the Way It Is
Plumbers and pipefitters die on the job at about twice the rate of the average worker, and the property claims are water claims.
| Published figure | Amount | Source |
|---|---|---|
| Fatal injury rate, plumbers and pipefitters | 6.9 per 100,000 full-time workers | Bureau of Labor Statistics, 2024 |
| Fatal injury rate, all workers | 3.3 per 100,000 full-time workers | Bureau of Labor Statistics, 2024 |
| Plumbers and pipefitters killed on the job | 47 in 2024 | Bureau of Labor Statistics, 2024 |
The Bureau of Labor Statistics groups pipelayers, plumbers, pipefitters, and steamfitters together. Rates are per 100,000 full-time equivalent workers. See how losses feed your price in our guide to the experience modification rate.
What Plumbing Contractor Insurance Costs
Insureon publishes what small contractors in this trade pay for each policy. These are its figures, not our quotes.
| Policy | Median per month | Median per year |
|---|---|---|
| General liability | $147 | $1,768 |
| Workers compensation | $179 | $2,150 |
| Commercial auto | $285 | $3,415 |
| Commercial umbrella | $93 | $1,111 |
| Tools and equipment | $42 | $505 |
| Surety bond | $8 | $100 |
Source: Insureon, median premiums for plumbers that bought through Insureon, updated August 5, 2026. Most of those businesses have fewer than five employees. General liability is for a $1,000,000 per occurrence, $2,000,000 aggregate policy with a $500 deductible. The umbrella and tools figures match Insureon's medians across all construction trades. A larger shop pays more: workers compensation rises with payroll. See how this trade compares with the others in our contractor insurance cost guide.
Eight things move your own number.
| Cost factor | How it moves the premium | What to have ready |
|---|---|---|
| Payroll | Workers compensation is priced on payroll, so every plumber you add moves the premium. | Payroll by job duty |
| Residential or commercial | Carriers price the two differently, and some write only one. | Your split by revenue |
| Kind of work | Service and repair, new construction, sewer and drain, and gas piping are rated differently. | What you do and how much of each |
| Revenue | General liability for contractors is usually rated on revenue or payroll. | Last year's revenue and this year's estimate |
| Subcontractors | Uninsured subs can be charged to your policies at audit. | Annual subcontractor cost and their certificates |
| Claims history | Past water damage claims and your experience modification move the price. | Loss runs for the last three to five years |
| Vans and drivers | Each vehicle and each driving record is rated. | Vehicle list and each driver's license number |
| Limits | A contract that calls for higher limits adds premium, usually through an umbrella. | The insurance section of your contracts |
Not sure how payroll is classified? Read workers compensation class codes explained.
What we need for a plumbing insurance quote
Underwriters ask for the same items on every account. Having them ready gets your quote back sooner, and a complete submission is easier to place.
- Your Illinois plumbing contractor registration number, or the state you work in
- Years in business and annual revenue
- Payroll, split between plumbers, apprentices, office staff, and owners
- Your mix of residential and commercial work
- The kinds of work you do: service, new construction, sewer and drain, gas piping, fire sprinkler
- Whether you dig, and how deep
- Whether you need the $20,000 registration bond as well
- What you pay subcontractors in a year, and whether you collect their certificates
- Each van and truck, and each driver
- The replacement value of your tools and equipment
- Loss runs for the last three to five years, if you have them
- The insurance section of any contract you need to meet
Need a Certificate of Insurance Today?
General contractors, property managers, and commercial clients often ask for specific wording before you can start: additional insured, waiver of subrogation, primary and noncontributory. Tell us what your contract requires and we match the wording. Most requests go out the same day. Request your certificate below.
What Our Clients Say
Why Plumbers Choose Pro Insurance Group
An Agency, Not a Carrier
We are an independent agency. We work for the plumber and shop the market on your behalf. Carriers pay us, so you pay no agency fee.
Markets for Plumbing
Carriers price plumbing contractors very differently. We take your account to the ones that want it.
Registration Ready
We place the $20,000 bond and issue the certificates the state asks a plumbing contractor to keep on file.
Certificates, Fast
Owners and general contractors want a certificate before you start. We turn them around the same day in most cases.
We also insure the trades that share your job sites: electricians, HVAC contractors, roofers, and excavation contractors.
Plumbing Contractor Insurance FAQ
What insurance does a plumber need?
Most plumbers carry general liability, workers compensation, and commercial auto, then add tools and equipment coverage and an umbrella. General liability should include completed operations, because a leak can cause damage long after the job is finished. Plumbers who do sewer, drain, or septic work often add pollution coverage.
How much does plumbing insurance cost?
Insureon reports median premiums for small plumbing businesses of $147 a month for general liability, $179 for workers compensation, and $285 for commercial auto, as of August 2026. Most of those firms have fewer than five employees. Your price depends on payroll, the kind of plumbing you do, and your claims history.
What insurance does Illinois require for a plumbing contractor?
To register with the Department of Public Health, a plumbing contractor must show general liability of at least $100,000 per occurrence, bodily injury of at least $300,000 per occurrence, and property damage of at least $50,000, or at least $300,000 combined single limit. The law also requires workers compensation with $500,000 of employers liability and a $20,000 bond or letter of credit.
Does general liability cover water damage from my work?
Water damage to a customer's property is the kind of claim general liability is built for, including damage that shows up after the job under completed operations. Limits and exclusions vary, especially for mold and for gradual seepage, so read the wording before you buy.
Does my policy cover sewer and septic work?
It depends on the policy. Many liability policies exclude pollution, and that wording can reach sewage. If you clean drains, repair sewer laterals, or work on septic systems, ask how your policy treats it and whether separate pollution coverage belongs in the program.
Does my policy pay to fix my own faulty work?
Usually not. General liability is designed to pay for the injury or property damage your work causes to others. The cost of redoing your own defective work is typically excluded. Ask us to walk through the wording so you know where the line sits.
Is a license bond the same as insurance?
No. Insurance pays a covered claim on your behalf. A surety bond is a guarantee to a city, a state, or a customer that you will follow the rules of your license or contract. If the surety pays a claim against the bond, you repay it. Where a bond is required, you usually need insurance as well. We place license bonds along with the insurance.
How fast can I get a certificate of insurance?
Once your policy is in force, we issue certificates the same day in most cases. Send us the insurance section of the contract or the certificate request, including any additional insured wording, and we match the certificate to it so your crew is not held at the gate.
Is Pro Insurance Group an insurance company?
No. Pro Insurance Group is an independent insurance agency, not an insurance carrier. We work for the plumber, take the account to the carriers that write plumbing contractors, and place the policy with the company that fits. We are based in Elgin and Huntley, Illinois, and write business in 40+ states.
Get Your Plumbing Insurance Quote
A few quick questions and nothing to upload. A licensed producer takes your account to the carriers that write plumbing contractors and replies within one business day.
Get My Quote Call 833-776-4671
Reviewed by Neal Fusco, VP Commercial Lines
25 years in insurance, including 16 at Zurich North America in workers' compensation managed care and claims.
Illinois licensed insurance producer #18515626. Figures verified October 2026.