# New York contractor insurance requirements

> What New York law says about workers' comp, contractor license insurance and indemnity clauses, and what to check on a contractor COI for a project there.

Reviewed Oct 28, 2026 by Forsured. Source: https://forsured.ai/coi-requirements/new-york/

## The short version

- Workers' comp required at: 1 employee
- License insurance minimum: No statewide minimum
- Anti-indemnity statute voids: Own negligence, even in part

## Workers' comp in New York

Virtually every New York employer must carry workers' comp, including for part-time, temporary, leased and family workers. Sole proprietors and partnerships with no employees, and certain one- or two-owner corporations with no other workers, don't have to.

Agency: [New York State Workers' Compensation Board](https://www.wcb.ny.gov/content/main/coverage-requirements-wc/wc-coverage-required.jsp)

## Contractor licensing and insurance

We found no statewide general liability minimum tied to a general contractor license. New York has no statewide general contractor license; New York City and other localities license contractors. Cities and counties can set their own licensing and insurance rules, so check where the project is.

## Indemnity and additional insured clauses

New York's anti-indemnity statute (N.Y. Gen. Oblig. Law §§ 5-322.1, 5-324) voids construction contract clauses that make a contractor indemnify another party for that party's own negligence, even in part. Clauses limited to the contractor's own share of fault generally hold up.

## ACORD certificates don't prove New York workers' comp to the government

When a business applies for a permit, license or public contract in New York, the agency has to see the state's own forms: C-105.2 (or U-26.3 from the State Insurance Fund) for workers' comp, DB-120.1 for disability and paid family leave, or CE-200 for an exemption. The Workers' Compensation Board says ACORD forms are not acceptable proof under Workers' Compensation Law § 57.

## What to check on a contractor COI for a New York project

1. **Workers' comp.** Nearly every contractor with employees needs it in New York. A contractor with a crew and no workers' comp on its COI is a gap. For an out-of-state contractor, confirm New York is listed on the workers' comp policy.
2. **General liability.** New York doesn't set a statewide floor for a general contractor license, so your project requirements set the bar. Compare each limit on the COI with what the contract asks for.
3. **Additional insured.** The endorsement is a separate promise from the indemnity clause, so check both. Ask for the endorsement itself, not just a box ticked on the certificate.
4. **Dates.** Every policy should run through the end of the job. A COI only shows coverage on the day it was issued, so check again at each renewal.

## Common questions

### Do contractors need workers' comp in New York?

Virtually every New York employer must carry workers' comp, including for part-time, temporary, leased and family workers. Sole proprietors and partnerships with no employees, and certain one- or two-owner corporations with no other workers, don't have to.

### Does New York require contractors to carry general liability insurance?

We found no statewide general liability minimum tied to a general contractor license. New York has no statewide general contractor license; New York City and other localities license contractors. Cities and counties can set their own licensing and insurance rules, so check where the project is.

### Can a New York construction contract make a contractor cover another party's negligence?

New York's anti-indemnity statute (N.Y. Gen. Oblig. Law §§ 5-322.1, 5-324) voids construction contract clauses that make a contractor indemnify another party for that party's own negligence, even in part. Clauses limited to the contractor's own share of fault generally hold up.

## Sources

1. [Workers' compensation coverage requirements](https://www.wcb.ny.gov/content/main/coverage-requirements-wc/wc-coverage-required.jsp), New York State Workers' Compensation Board
2. [Requirements for businesses applying for government permits, licenses or contracts](https://WWW.WCB.NY.GOV/content/main/Employers/requirements-businesses-applying-government-permits-licenses-contracts.pdf), New York State Workers' Compensation Board
3. [Anti-Indemnity Statutes in All 50 States (2023)](https://grsm.com/wp-content/uploads/2023/10/Anti-Indemnity-Statutes-2023.pdf), Gordon Rees Scully Mansukhani, 2023
4. [State Workers' Compensation Officials](https://www.dol.gov/agencies/owcp/wc), U.S. Department of Labor

General information, not legal advice. Confirm with the state agency, your broker or your attorney.

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