A general contractor’s insurance checklist and an ROC license application solve different problems. Use this consolidated guide to compare licensing, bonds, coverage and contract wording before you bid or mobilize. A certificate reports insurance; it does not create missing coverage or a required endorsement.
What insurance should a contractor review first?
Start with what you actually do, who works with you and what the contract requires. The NAIC small-business guide distinguishes liability, property and other coverage lines; the specific policy terms still control.
| Coverage | Exposure to discuss | Documents to bring |
|---|---|---|
| General liability | Third-party injury/property claims, including completed operations and trade exclusions | Work description, prior claims and subcontract insurance clauses |
| Workers’ compensation | Employees and any owner/helper/subcontractor status questions | Payroll, worker roles and existing coverage or elections |
| Commercial auto | Vehicles, drivers, business use, trailers and any hired/non-owned exposure | Vehicle ownership, use and driver information |
| Tools and equipment | Owned, rented or leased equipment at sites, in transit and in storage | Equipment list, values, rental contracts and security details |
| Umbrella, project or property coverage | Higher requested limits, construction exposures or a shop/yard | Project terms, underlying policies, leases and lender requirements |
See general liability, commercial auto and tools/equipment coverage for the separate coverage questions. A policy name alone does not guarantee every listed exposure is insured.
Does the ROC require insurance or a license bond?
The ROC’s before-you-hire guidance explains its bond requirement and distinguishes insurance, with an exception for workers’ compensation. Do not read “GL is not an ROC licensing requirement” as permission to disregard an employer obligation or a contract’s insurance clause.
Use the current ROC bond schedule for the amount applicable to the license classification and work volume. The bond amount and surety premium are different figures; ask about underwriting, renewal and reimbursement terms. Review the ROC application steps for qualifying-party, exam, fee and other requirements.
When can minor work be exempt from contractor licensing?
A.R.S. §32-1121(A)(14) sets a less than $1,000 aggregate-contract-price condition for casual or minor work, using the statute’s counting rules. This is a limited exemption. It does not apply when a local building permit is required, to covered work that is part of a larger operation or divided to evade the law, or when advertising fails to disclose unlicensed status as required. Confirm applicability with the ROC; an insurance quote does not establish licensing eligibility.
What do contracts add to the coverage checklist?
Read the insurance section before signing. It may request additional insured endorsements, a waiver of subrogation, primary/noncontributory wording, completed-operations terms or higher limits. Send the exact forms and wording to the broker so availability and conditions can be checked before evidence is issued. A certificate of insurance alone does not amend the policy; see the additional insured guide for that distinction.
What should I know about workers and premium audits?
Arizona’s employer coverage rules and methods for securing compensation apply independently of a GC’s paperwork request. Employee/independent-contractor status can require legal review. Disclose the actual people doing the work; do not use a no-employees declaration if it is inaccurate.
Some policies use estimated payroll or other exposures and are auditable. Keep payroll, subcontract agreements and insurance records, and ask the insurer which payments and classifications affect the audit. The workers’ compensation audit guide covers preparation questions. An initial premium is not necessarily the final audited amount.
What affects cost, and what if I lease a shop or yard?
Trade, project scope, employees, subcontractors, vehicles, claims and policy terms affect pricing. Compare annual cost, applicable fees, deductibles, limits and exclusions using the same exposures. Avoid relying on a generic handyman price or expecting a certificate deadline to guarantee coverage availability.
For a shop, warehouse bay or yard, send the lease and any lender requirements along with the operation details. Review your business property and liability interests separately from the building owner’s insurance. Start your contractor intake or review the contractor industry page. BrokerPro can review available options, subject to underwriting; submitting an intake does not bind coverage or promise a job’s approval.
Reviewed by Lee Benson, licensed Arizona broker. Updated October 26, 2026.