# South Carolina contractor insurance requirements

> What South Carolina 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/south-carolina/

## The short version

- Workers' comp required at: 4 employees
- License insurance minimum: No statewide minimum
- Anti-indemnity statute voids: Sole negligence

## Workers' comp in South Carolina

South Carolina employers with four or more employees in the state, counting part-time workers and family, must carry workers' comp. Businesses with annual payroll under $3,000 are exempt.

Agency: [South Carolina Workers' Compensation Commission](https://wcc.sc.gov/employer-faqs)

## Contractor licensing and insurance

We found no statewide general liability minimum tied to a general contractor license. Cities and counties can set their own licensing and insurance rules, so check where the project is.

## Indemnity and additional insured clauses

South Carolina's anti-indemnity statute (S.C. Code Ann. § 32-2-10) voids construction contract clauses that make a contractor indemnify another party for that party's sole negligence. Clauses that cover shared fault are generally allowed.

## What to check on a contractor COI for a South Carolina project

1. **Workers' comp.** A contractor below South Carolina's threshold can legally go without it, but your project requirements can still require it. Decide what you'll accept, and get an exemption or a policy in writing. For an out-of-state contractor, confirm South Carolina is listed on the workers' comp policy.
2. **General liability.** South Carolina 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 South Carolina?

South Carolina employers with four or more employees in the state, counting part-time workers and family, must carry workers' comp. Businesses with annual payroll under $3,000 are exempt.

### Does South Carolina require contractors to carry general liability insurance?

We found no statewide general liability minimum tied to a general contractor license. Cities and counties can set their own licensing and insurance rules, so check where the project is.

### Can a South Carolina construction contract make a contractor cover another party's negligence?

South Carolina's anti-indemnity statute (S.C. Code Ann. § 32-2-10) voids construction contract clauses that make a contractor indemnify another party for that party's sole negligence. Clauses that cover shared fault are generally allowed.

## Sources

1. [Employer FAQs](https://wcc.sc.gov/employer-faqs), South Carolina Workers' Compensation Commission
2. [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
3. [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.

---
Forsured: construction insurance compliance software. https://forsured.ai · hello@forsured.ai