Myrtle Beach's construction market is one of the most active on the South Carolina coast. New hotel developments, condo tower renovations, single-family homes replacing storm-damaged properties, and the constant cycle of maintenance and repair in a coastal resort community keeps contractors of every trade busy year-round. But working on job sites in Horry County without the right insurance in place is both financially dangerous and a practical barrier to getting work.

Most general contractors in the Myrtle Beach area require subcontractors to provide proof of general liability and workers' compensation before they can set foot on a commercial job site. Commercial property managers, hotel management companies, and resort developers enforce the same requirements. Without the right certificates of insurance, you're simply not working.

SC contractor insurance requirements

South Carolina has specific licensing requirements for contractors that include insurance obligations. The South Carolina Contractors' Licensing Board requires licensed general contractors to maintain general liability insurance as a condition of licensure. Specialty contractors — plumbers, electricians, HVAC technicians — have licensing requirements administered by the SC Department of Labor, Licensing and Regulation (LLR) that similarly reference insurance obligations.

Beyond state licensing requirements, the practical insurance requirements come from contracts and job sites. Most commercial construction contracts in Myrtle Beach require:

General liability insurance of at least $1 million per occurrence and $2 million aggregate. Some larger commercial projects and resort development contracts require $2 million per occurrence plus umbrella coverage on top.

Workers' compensation for all employees, including any employees leased through a staffing agency who work on your projects.

Commercial auto for all vehicles used in the business, including employee-owned vehicles used to transport tools or materials to job sites.

Additional insured status for the general contractor or property owner on your GL policy. Most contracts require this — it means the GC can be named on your policy and covered for liability arising from your work.

General liability for Myrtle Beach contractors

General liability insurance covers bodily injury to third parties, property damage you cause to others, and your legal defense costs when claims are made against you. For contractors working on coastal South Carolina properties, the specific risks include property damage to buildings under renovation (a fire that spreads, a water leak that damages multiple floors), injury to the property owner or their guests, and damage to adjacent properties during demolition or excavation.

GL for contractors in Myrtle Beach and Horry County runs $150 to $400 per month or more for most trades, depending on your specific work type, annual revenue, and claims history according to ContractorsInsured's 2026 data for coastal SC contractors. Roofing contractors typically pay toward the higher end. Interior finish contractors with lower physical risk pay toward the lower end.

The completed operations component of GL — which covers claims that arise after your work is done — is particularly important for contractors. A defective installation that causes water damage months after the job is complete can generate a GL claim years after you've finished the project.

Workers comp requirements by trade

South Carolina's four-employee threshold applies equally to contractors. Any contractor regularly employing four or more people needs workers' compensation. In Myrtle Beach's active construction market, most contractors with crews meet this threshold.

Construction workers face above-average injury risk — falls, struck-by accidents, power tool injuries, and heat-related illness in South Carolina's summer heat are all documented causes of workers' comp claims in the construction industry. Workers' comp for construction trades in South Carolina typically runs $5 to $20 per $100 of payroll depending on the specific class code, which reflects the elevated risk compared to office-based industries.

For general contractors: South Carolina courts have held that employees of uninsured subcontractors can be considered employees of the GC for workers' comp purposes. This means hiring subcontractors who don't carry their own workers' comp exposes you to workers' comp liability for their employees. Requiring certificates of insurance from every subcontractor before they start work is the standard practice for this reason.

Tools and equipment coverage

General liability doesn't cover your own tools and equipment. If your tools are stolen from a job site, damaged in transport, or destroyed in a fire, GL pays nothing. Tools and equipment coverage (also called inland marine coverage) specifically protects business property that moves between locations. For contractors with significant tool investment — specialty trades, HVAC, plumbing — this coverage is worth carrying.

In Myrtle Beach, tool theft is a real risk on construction sites. Coastal markets with high numbers of construction projects attract theft of tools and materials. A gang box full of power tools represents several thousand dollars in replacement cost that your GL policy will not cover.

Commercial auto for work vehicles

If you use a truck, van, or any vehicle in your contracting business, you need commercial auto insurance. Personal auto policies exclude business use in most cases — if you're hauling tools to a job site, carrying employees, or using the vehicle for any business purpose, a personal policy claim can be denied.

South Carolina commercial auto requires the same minimums as personal auto: $25,000 per person, $50,000 per accident bodily injury, and $25,000 property damage. For contractors with vehicles carrying crews or transporting expensive equipment, higher liability limits are advisable.

Get a contractor insurance package quote

Moore & Associates works with Myrtle Beach contractors across all trades to put together insurance packages that meet job site requirements and protect their businesses. For a free quote on contractor and commercial insurance in Myrtle Beach, call (843) 839-5076 or contact us online. We serve contractors throughout Myrtle Beach, North Myrtle Beach, Murrells Inlet, Surfside Beach, Conway, Pawleys Island, Litchfield, and Georgetown.