General Liability Insurance in Texas
What is General Liability Insurance?
General liability insurance—often called “CGL”—protects your Texas business when someone else claims you caused bodily injury or property damage. Whether it’s a customer who slips at your job site or a subcontractor’s tool damages a client’s floor, general liability helps cover the costs of legal claims, repairs, or settlements.
At Ironwood Insurance, we help businesses across Waco, Burnet, and surrounding areas understand what this coverage really means—and how to make sure it fits your work. If you’re in construction, trades, real estate, or run a small business with foot traffic or client contracts, general liability isn’t just a good idea. It’s expected.
Coverage Details & Exclusions
Here’s what general liability insurance typically covers for Texas businesses:
Bodily Injury
If someone gets hurt at your job site or business location
Property Damage
Covers damage you cause to someone else’s property
Medical Payments
For minor injuries without needing to prove fault
Legal Costs
Helps cover the cost of defending against lawsuits
Products & Completed Operations
Protects against liability from your finished work
What’s not covered?
01.
Employee Injuries
(see our Workers’ Compensation page)
02.
Professional Errors or Advice
(that’s E&O coverage if needed)
03.
Intentional Acts or Criminal Activity
04.
Damage to Your Own Property or Equipment
While general liability isn’t mandated by the State of Texas, many commercial leases, subcontractor agreements, and client contracts require proof of this coverage.
Texas Contractors and GL Insurance
If you’re a contractor in Central Texas, general liability insurance is often your ticket to doing business. General contractors regularly require it from subs before you can step foot on a job. Cities and counties may also require proof of coverage to issue certain permits or licenses.
Even if you’re working residential remodels in Waco or flipping properties in Marble Falls, a single accident could lead to serious legal bills. Having a CGL policy in place shows professionalism—and protects your finances.
Quick tip:
In Texas, carrying general liability is one of the fastest ways to build trust and win more bids.
Cost of General Liability Insurance in TX
The cost of general liability insurance depends on several factors, including:
- Your industry (a roofer will pay more than a photographer)
- The size of your business and payroll
- Where you operate (local exposure matters—like job sites near downtown Waco vs rural counties)
- Your claims history
- The coverage limits you choose
We work with multiple carriers to shop competitive quotes for small businesses and contractors across Central Texas. Whether you’re just getting started or already scaling up, we’ll find a fit that meets both your risk and your budget.
Combine with Other Coverages
Many of our clients bundle general liability with other policies to build a more complete insurance package. You may also want to consider:
- Commercial Property Insurance – Covers your tools, inventory, or office space
- Workers’ Comp – Covers on-the-job injuries to employees
- Builder’s Risk vs
General Liability
– Understand the key differences when insuring construction projects
Or ask us about combining general liability with property coverage in a Business Owner’s Policy (BOP) to simplify things and potentially save.
Get a General
Liability Quote
We make it easy to get the coverage you need, fast. Whether you're bidding a job, renewing your lease, or just want to protect your day-to-day operations, reach out for a free quote. We’ll talk through your business, your exposures, and your options—without the pressure.
Frequently Asked Questions About General Liability Insurance in Texas
Is general liability insurance required for Texas businesses?
Not by the state—but that doesn’t mean you can skip it. Most landlords, job contracts, and licensing bodies require proof of general liability coverage, especially in construction or trades. Even if it’s not required, one lawsuit could cost far more than the policy itself.
What does general liability insurance actually cover?
It covers claims that your business caused third-party bodily injury, property damage, or advertising harm. For example, if a client slips on your job site or your crew damages a customer’s floors, your general liability policy steps in to help with legal costs and settlements.
I’m a contractor. Do I really need this if I haven’t had claims before?
Yes. Even a single incident—like dropping a ladder on a customer’s car or damaging a neighbor’s fence—can lead to a costly claim. In many cases, you won’t be able to bid or work on a site without active general liability coverage in place.
Does general liability cover employee injuries?
No. Injuries to your own employees are covered under a separate policy called Workers’ Compensation. General liability only covers third-party claims (non-employees).
What’s not included in general liability insurance?
It doesn’t cover damage to your own tools or property, employee injuries, or professional mistakes (like bad advice or poor design). You’ll need different policies—like property insurance or professional liability—for those exposures.
Explore Contractor Insurance →
Can I get a certificate of insurance (COI) from you?
Yes. Ironwood provides fast, same-day COIs for clients who need to show proof of coverage to general contractors, property managers, or municipalities. Just email or call, and we’ll get it handled.
How much does general liability insurance cost in Texas?
Rates vary by trade, revenue, location, and claims history. A small electrical contractor in Waco may pay differently than a drywall crew in Marble Falls. We shop multiple carriers to get you competitive pricing that reflects your actual risk—not a one-size-fits-all quote.
Can I bundle general liability with other coverages?
Absolutely. Many Texas small businesses combine GL with commercial property in a Business Owner’s Policy (BOP) or pair it with builder’s risk for construction projects. Bundling often reduces cost and simplifies billing.
Learn about Commercial Insurance Bundling →