Insurance for Demolition Contractors

Coverage built for high-risk work.

Get comprehensive demolition insurance that covers the unique risks of teardown work, protects your crew, and meets project requirements.

Licensed agents who understand demolition deliver quotes from carriers that specialize in high-risk contractor coverage.

Illustration of a demolition project and construction budgeting, used in a 1-800-INSURANCE guide to help demolition contractors understand insurance needs for heavy equipment, job sites, and safety risks.

Talk to a business insurance specialist

Licensed agents who understand your industry and get you competitive quotes fast.

Why Demolition Insurance Matters

Protect your business from one of construction's highest-risk specialties

Demolition work involves extreme risk at every level—structural collapse, flying debris, heavy equipment accidents, and exposure to hazardous materials like asbestos. A single accident can result in catastrophic injuries or property damage. Finding insurance for demolition work is challenging, but proper coverage is absolutely essential.

Demolition contractors need robust General Liability with high limits, Workers' Compensation (rates are among the highest in construction), and Commercial Auto for trucks and equipment. Many projects require Pollution Liability for asbestos and lead, plus Umbrella coverage to meet contract requirements of $5M or more.

Not every insurance carrier will write demolition coverage. Working with agents who have access to specialty markets for high-risk contractors is essential. Your safety record, crew training, and equipment maintenance all affect your ability to get coverage and the rates you'll pay.

Coverage Checklist

Recommended coverage for your business

The policies you need to protect your business and meet client requirements

General Liability

Required

Covers property damage, debris damage, and bodily injury claims. High limits often required.

Avg. Cost
$5,000-$20,000/year

Workers' Compensation

Required

Demolition has some of the highest WC rates due to extreme injury risk.

Avg. Cost
$20-40 per $100 payroll

Commercial Auto

Protects heavy trucks and equipment transporters. Higher limits recommended.

Avg. Cost
$2,000-$5,000/vehicle

Industry Risks

Common risks you need to protect against

1
Structural collapse during teardown operations
2
Flying debris injuring workers or bystanders
3
Heavy equipment accidents and rollovers
4
Asbestos and lead exposure claims
5
Damage to adjacent buildings or property
6
Underground utility strikes during excavation

Real risks demolition contractors face

See how the right insurance protects you when things go wrong

Risk

A wall collapses unexpectedly during interior demolition, seriously injuring two crew members.

Workers' Compensation

Pays for emergency care, surgeries, rehabilitation, and disability benefits—potentially hundreds of thousands per injured worker.

Risk

Debris from your demolition site damages three vehicles parked on an adjacent street.

General Liability

Covers vehicle repairs or replacement and any injury claims from vehicle occupants.

Risk

Your excavator strikes an unmarked gas line, requiring emergency evacuation and repairs.

General Liability

Pays for utility repairs, evacuation costs, and any property damage or injuries caused by the gas leak.

Why Choose Us

Why demolition contractors choose 1-800-INSURANCE

  • Access to carriers that specialize in high-risk demolition coverage
  • Help meeting high limit requirements for commercial contracts
  • Pollution liability options for asbestos and hazmat work
  • Umbrella coverage to reach $5M+ requirements
  • Agents who understand demolition classification and risk factors
  • Surety bond assistance for contractor licensing
Illustration of a demolition worker with safety gear, used in a 1-800-INSURANCE guide to help demolition contractors understand insurance needs for worker safety, equipment, and high-risk job sites.

Ready to protect your business?

Get quotes from top carriers, instant COIs, and coverage that keeps you working.

Common questions

Demolition Insurance FAQs

Why is demolition insurance so expensive?

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Demolition is one of the highest-risk construction specialties. Structural collapse, flying debris, heavy equipment, and hazmat exposure create extreme liability. Rates reflect this reality, especially for workers' comp.

Do I need pollution coverage for demolition work?

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If you work on buildings that may contain asbestos, lead paint, or other hazardous materials, yes. Many projects require pollution liability before you can bid. Standard GL policies typically exclude pollution claims.

What liability limits do I need for commercial demolition?

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Most commercial projects require at least $2M in General Liability, and many require $5M or more. Umbrella coverage is typically the most cost-effective way to reach higher limits.

How can I reduce my demolition insurance costs?

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Maintain a clean safety record, implement comprehensive safety programs, invest in crew training, and document everything. Working with agents who access specialty markets can also help find competitive rates.

Protect Your Business Today

Our commercial insurance specialists understand your industry and can help you find the right coverage at the best price.