out of state coverage

Out of State Contractors Insurance Coverage


Hurricane Ian became the 15th hurricane rated a Category 4 or higher when it made landfall in Southwest Florida, causing damages still being calculated as of writing this article. Our Allied Insurance Managers staff send sincere condolences to everyone personally affected during this crisis and hope for a quick recovery. As recovery efforts begin, we want to share information regarding out of state coverage to ensure your contractors remain insured wherever they travel. 

Contractors Insurance 

Contractor insurance is generally a package of insurance policies, such as general liability, workers’ compensation, and professional liability, that protects your business from financial losses if someone files a claim against you. But, of course, your specific business focus could mean you require a more specialized insurance package. 

However, it is essential to note that each state has different insurance regulations and requirements. If you are considering aiding recovery efforts out of state, we want to ensure you stay protected. 

Out of state Coverage 

So, what steps should you take before working in another state? First, contact your insurance agent or carrier to discuss the specific state’s insurance requirements. Do NOT attempt to work out of state before taking this step. 

Each state manages insurance independently, causing the required coverage to vary state by state. Understanding these requirements is critical when handling out-of-state employees’ workers’ compensation. In addition, your current insurance policy may need slight adjustments for coverage and pricing before safely working out of state. 

Important Information to Include 

Your insurance carrier will need to know every detail of the work you plan to do within another state. For example, there’s a difference between manual cleanup and using heavy machinery, and the information you provide will help the insurance carrier ensure you have proper coverage. In addition, any out of state work may face additional exposures that your carrier will need to address.  

If you plan to perform out of state work in Florida, be aware of their insurance requirements. Failure to acquire proper out of state coverage could result in a Stop-Work Order, the cessation of all Florida business operations, and fines. Florida law requires that you contact your insurance carrier. If you do not have an insurance carrier, you will have to get a workers’ compensation policy with a carrier in Florida. 


At Allied Insurance Managers, we know how important it is for you to have the proper contractors insurance coverage no matter where you are working. Therefore, if you plan on working out of state, contact us as soon as possible so we can assist you. 


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Allied Insurance Managers's Bio

Headquartered in Rochester Hills, Mich., Allied Insurance Managers is one of the largest, privately-owned, independent insurance agencies in Michigan.