Texas electrical contractors must have liability insurance.
Texas electrical contractors perform "electrical contracting" according to the Texas occupational code. Candidates must submit their application to the Texas Department of Licensing and Regulation (TDLR); applications are available for pickup at the Austin, Texas, main office, or can be downloaded from the TDLR website. Before their license applications can be approved, applicants must submit proof of the fulfillment of certain financial obligations.
Licensing Financial Requirements
The Texas Department of Licensing and Regulation requires all electrical contractors to either have a master electrician's license or keep a master electrician on staff. The financial requirements associated with becoming a master electrician include paying a $50 application fee and a $50 license renewal fee.
Insurance Requirements
Texas electrical contractors are required to obtain liability insurance as a licensing requirement. Contractors must have at least $300,000 of insurance per occurrence of combined bodily injury and property damage, at least $600,000 of aggregate insurance, which is the grand total provided through the policy for bodily injury and property damage, and a minimum of $300,000 aggregate insurance for completed operations and products.
Employers are also advised to carry workers' compensation insurance, and must provide proof of said insurance on a standard certificate with a 30-day cancellation notice. Employers with 200 or more employees can apply for the self-insurance program administered by the Texas Workers' Compensation Commission (TWCC). Employers applying for the self-insurance program must obtain at least a $500,000 premium if their business is located in Texas, and a $10,000,000 premium if their business has nationwide locations. Businesses unable to offer workers' compensation insurance must file a TWCC-5 form with the Texas Workers' Compensation Commission.
Texas electrical contractors must submit the name of their insurance provider and the policy number, as well as the name, address and phone number of the agent who issued the policy. The insurance must be issued through a a company defined through the Texas Insurance Code, or a company rated B+ or higher by A.M. Best Company.
Application Fee
As of 2010, the application fee to be a Texas electrical contractor is $115. The renewal fee is also $115.
Tags: electrical contractors, Texas electrical, Texas electrical contractors, insurance must, master electrician, must submit
