Pen-and-ink Texas scene: a tall utility pole with a bucket truck on one side, a storefront with a lit sign in the middle, and a windmill beside a water tower on the other.

TDLR electrical insurance requirement

what insurance
does TDLR require
of electricians?

Three liability minimums and a workers’ comp choice, plainly.

get started

MARKETS WE PLACE THROUGH

the short answer

TDLR requires a Texas Electrical Contractor to carry business liability insurance of at least $300,000 per occurrence, $600,000 aggregate and $300,000 aggregate for products and completed operations. The application also asks for proof of workers’ comp, authority to self‑insure, or a statement electing no coverage with the state filing that goes with it.

what TDLR requires.

The insurance that comes with an Electrical Contractor license.

Each occurrence: $300,000, for property damage and bodily injury combined.
General aggregate: $600,000, the most the policy pays in a policy period.
Completed operations: $300,000 aggregate for products and completed operations, listed on its own.
Workers’ comp: One of three paths on the application: proof of a policy, authority to self‑insure, or a no‑coverage statement and filing.
The proof: TDLR’s certificate of insurance form, ELC‑LIC‑021. The form says binders and declarations pages aren’t accepted.
The insurer: An admitted company, an eligible surplus lines carrier, or another insurer that meets TDLR’s published rating condition.

Sources: Texas Department of Licensing and Regulation, TDLR forms ELC‑LIC‑003 and ELC‑LIC‑021, Texas Department of Insurance. Last reviewed September 2026.

the workers’ comp choice.

The application records one of three paths. Tap one to see what it takes.

The path

a comp policy.

Proof of a workers’ comp policy for your employees.

Who asks: Public projects and many private contracts ask for this one.

get started

what the minimums
don’t tell you.

A floor, not a ceiling.
TDLR’s amounts are the licensing floor. GCs, owners and public entities often ask for higher limits, an umbrella and additional insured wording, and those terms have to be in the policy.
Finished work counts.
TDLR names completed operations on its own. Electrical damage can show up after the system is energized and the crew is gone, so we read that part of the policy closely.

good to know.

Straight answers on TDLR’s electrical insurance rule.

What insurance does TDLR require for an electrical contractor?

TDLR requires an Electrical Contractor to carry business liability insurance with minimums per occurrence, in aggregate, and for products and completed operations, shown on the department’s certificate form. The application also asks for proof of workers’ comp, authority to self-insure, or a statement electing no coverage with the matching state filing.

Are TDLR’s liability minimums enough for every electrical contract?

No. They’re the floor for the license. A general contractor, owner or public entity can ask for higher limits, an umbrella, additional insured status, primary and noncontributory wording and completed operations cover. Those terms have to be in the policy or an endorsement, because a certificate can’t add them. Read the insurance exhibit before you price the job.

Does a Texas electrical contractor have to carry workers’ comp?

Most Texas private employers can choose. TDLR’s application still asks you to document the path: proof of a policy, authority to self-insure, or a statement electing no coverage with the matching state filing. Public projects and many private contracts require a policy even when state law would let you opt out.

Sources: Texas Department of Licensing and Regulation, Texas Department of Insurance. Last reviewed September 2026.

Insurance words, in plain English: waiver of subrogation · certificate of insurance · additional insured · primary and noncontributory · hold harmless agreement · contractual liability · per-project aggregate · completed operations