Excess Liability Insurance for California Contractors | EIS California

Protecting Against the Unexpected, Beyond the Basics

When your construction business handles multi-million-dollar projects, one severe claim can exceed your primary policy limits and threaten your entire operation. Excess Liability Insurance—often referred to as Umbrella Coverage—provides that extra layer of financial protection California contractors need to safeguard assets, meet contract requirements, and keep projects moving forward.

At Eastman Insurance Solutions (EIS California), we specialize in helping contractors with $5MM–$50MM in annual revenue design risk programs that provide strong, scalable protection against catastrophic loss.

What Excess Liability Insurance Covers

Excess Liability Insurance increases your existing policy limits—typically over General Liability, Commercial Auto, and Employer’s Liability (Workers Comp)—to ensure you’re protected when large losses occur.

Coverage Highlights

  • Catastrophic Liability Protection: Extends your underlying policy limits to cover severe or multi-claim incidents.
  • Contract Compliance: Satisfies higher liability limit requirements common in commercial, municipal, and public works projects.
  • Legal Defense Costs: Covers legal fees and court costs that exceed your primary policy limits.
  • Umbrella Enhancement: May include broader protections not offered in the underlying coverage.

For contractors managing significant job sites or high-value projects, this additional protection is essential for peace of mind and compliance.

Who Needs Excess Liability Coverage?

EIS California recommends Excess Liability coverage for:

  • General Contractors and Construction Managers
  • Electrical, Mechanical, and Plumbing Firms
  • Roofing, Concrete, and Masonry Contractors
  • Grading, Excavation, and Civil Engineering Firms
  • Commercial Remodelers and Tenant Improvement Contractors

If your contracts involve public entities, multi-family housing, or high-limit job requirements, you’ll almost always need an Umbrella or Excess Liability policy to stay eligible for bidding and compliance.

Recommended Coverage Limits for California Contractors

California’s high-cost legal environment and evolving project liability demands make adequate coverage limits essential.

Typical recommendations include:

  • $1,000,000 per occurrence on your primary General Liability and Auto policies
  • $5MM–$10MM in combined Umbrella/Excess Liability limits for larger projects

Your EIS California advisor will review your contracts and operations to recommend appropriate limits that balance protection and cost efficiency.

Premium Expectations for California Contractors

Premiums for Excess Liability Insurance vary by trade class, number of employees, claims history, and the amount of coverage desired.

Typical annual premiums range from $2,000 to $50,000+, depending on your total underlying exposure and project types.

EIS California leverages strong relationships with top-rated carriers—including Travelers, The Hartford, Nationwide, and Liberty Mutual—to provide competitive rates and comprehensive coverage options tailored to the construction industry.

Integrating Excess Liability into Your Contractor Program

Your Umbrella policy should work hand-in-hand with your other lines of coverage—not as an afterthought. EIS California designs cohesive insurance programs that integrate seamlessly with your:

This unified approach reduces administrative complexity, ensures full coverage alignment, and keeps you compliant with even the strictest client and contract requirements.

Frequently Asked Questions

1. What’s the difference between Umbrella and Excess Liability Insurance?
Both extend your coverage, but Umbrella policies can broaden coverage to other areas, while Excess strictly increases your existing limits.

2. How much coverage do California contractors need?
Most mid-to-large contractors maintain between $5MM and $10MM in total liability protection to satisfy project and client requirements.

3. Is Excess Liability expensive?
No. Compared to the potential financial loss from a major claim, Umbrella coverage is a cost-effective way to protect your business.

4. Can my Umbrella policy extend over multiple coverages?
Yes. EIS California designs programs that sit over your General Liability, Commercial Auto, and Employers Liability policies for seamless protection.

5. Does EIS California assist with compliance documentation?
Yes. We provide contract review, certificate management, and carrier documentation to ensure every job meets your insurance obligations.

Protect Your Business with High-Limit Coverage from EIS California

You’ve built a business worth protecting. EIS California delivers Excess Liability and Umbrella Insurance programs tailored for contractors who need high-limit protection, contract compliance, and peace of mind on every project.

Call EIS California today or visit EISCalifornia.com to request a customized coverage consultation.

.