If you are a Louisiana contractor, the insurance your license requires depends on the kind of work you license for. The state licensing board makes residential, home-improvement, and mold-remediation applicants file proof of general liability of at least 100,000 dollars and proof of workers compensation with the board at application and at every renewal. Commercial licensees are not required to file that proof with the board. But that filing rule is separate from the state comp mandate: any contractor with employees must carry workers comp regardless of what the board collects.
Who this is for: Louisiana contractors getting or renewing a license, and owners trying to sort out which coverages the licensing board actually requires them to file.
The short version
- Residential, home-improvement, and mold-remediation licensees must file general liability and workers comp with the board.
- The general liability filing minimum is 100,000 dollars.
- Commercial licensees do not file comp or liability proof with the board.
- Filing rules are separate from the comp mandate: employees still require coverage either way.
- License thresholds turn on the dollar size and type of the work.
What the license itself requires
The Louisiana State Licensing Board for Contractors sets the insurance you must file to hold a license. The requirement is targeted at the residential side. Residential building, home-improvement, and mold-remediation applicants have to show general liability of at least 100,000 dollars and workers compensation coverage when they apply and each time they renew. Commercial licensees are not asked to file that proof with the board, though they still answer to the statewide comp mandate on their own payroll.
| License type | File general liability with the board? | File workers comp with the board? |
|---|---|---|
| Residential building | Yes, at least 100,000 dollars | Yes |
| Home improvement registration | Yes, at least 100,000 dollars | Yes |
| Mold remediation | Yes, at least 100,000 dollars | Yes |
| Commercial | No board filing | No board filing, but the comp mandate still applies |
When you need a license at all
Louisiana ties licensing to the size and type of the job. Commercial work generally needs a commercial license at 50,000 dollars or more, with lower dollar triggers for certain trades such as electrical, mechanical, and plumbing, and a very low trigger for defined hazardous or environmental work. On the residential side, larger projects need a residential building license, while smaller residential jobs fall under a home-improvement registration. Confirm the current dollar lines with the board before you rely on them, because the trade-by-trade thresholds are specific.
Do not confuse the board rule with the comp mandate
The most common mistake is reading the commercial no-filing rule as a comp exemption. It is not. A commercial contractor with even one employee still must carry workers compensation under Louisiana law; the board simply does not collect the certificate from commercial licensees. So whether or not the licensing board asks for your proof of coverage, if you have workers, you need a policy. And because a hiring contractor can be liable for an uninsured sub's injured worker, collect proof of coverage from every subcontractor as well.
A Lafayette example
Illustrative, not a quote. A Lafayette contractor applies for a residential building license with two employees. The board requires proof of general liability of at least 100,000 dollars and proof of workers comp filed with the application and at each renewal, so the contractor puts both in place first. When the same contractor later bids commercial work above the commercial threshold, the board no longer collects the comp proof, but the two employees still must be covered under state law. The contractor also gathers proof of coverage from every sub. See our workers comp for contractors page.
Real questions Louisiana owners ask
What insurance does a Louisiana contractor license require?
For residential, home-improvement, and mold-remediation licenses, the board requires you to file proof of general liability of at least 100,000 dollars and proof of workers comp at application and each renewal.
Do commercial contractors have to file coverage with the board?
No. Commercial licensees are not required to file workers comp or general liability proof with the licensing board. But they still must carry workers comp for their employees under Louisiana's statewide mandate.
How much general liability do I need to file?
At least 100,000 dollars. Residential building, home-improvement, and mold-remediation applicants must show general liability of at least that amount to the board when they apply and at every renewal.
Does a commercial contractor still need workers comp?
Yes. The board not collecting the certificate is not an exemption. Any Louisiana contractor with one or more employees must carry workers comp under state law, whether or not the license requires filing it.
When do I need a Louisiana contractor license?
It depends on the job. Commercial work generally needs a commercial license at 50,000 dollars or more, with lower triggers for trades like electrical, mechanical, and plumbing, while residential work uses residential or home-improvement credentials.
Do I need proof of coverage from my subcontractors?
Yes, collect it from every sub. A hiring contractor in Louisiana can be liable for an uninsured subcontractor's injured worker, so current proof of coverage from each sub protects you from that claim rolling up to you.
Is filing coverage with the board the same as being covered?
No. Filing proves you have a policy at that moment, but the duty to carry workers comp runs continuously as long as you have employees, so keep the policy in force, not just on file at renewal.
Why Louisiana owners choose Morrow
- We shop the right market for you. In Louisiana you buy workers comp on the open, competitive market from any private insurer licensed in the state or from the state-created mutual fund, the Louisiana Workers' Compensation Corporation, which also serves as the guaranteed market that cannot turn you down, so we can shop your rate freely and still have a fallback for hard-to-place work.
- We catch pricing mistakes. Your price depends heavily on the category your work falls into for pricing (the class code). Put people in the wrong category and you overpay for years. We review your payroll and classifications before you buy.
- Proof of coverage, fast. Need a certificate (proof of coverage) for a general contractor or a landlord before Monday? We turn those around the same business day for most carriers.
- We help lower the score that drives your price. Insurers give you a score based on your past claims that raises or lowers your cost (the experience modification rate). We review it each year, flag errors, and connect you with return-to-work and safety resources that bring it down.
- Real people when a claim happens. When someone gets hurt, we stay involved through the life of the claim, not just at renewal.
Related Louisiana guides
Every Louisiana business is set up a little differently. These companion guides answer the same question for other situations, plus the national explainers behind the terms used here.
- Business insurance in Louisiana (start here)
- Workers comp: the owner's overview
- I own an LLC: do I need workers comp?
- I'm a sole proprietor: do I need workers comp?
- I own a corporation (C-corp or S-corp): do I need it?
- We're a partnership: do we need workers comp?
- We're a nonprofit: do we need workers comp?
- My workers are 1099: do I still need it?
- Only part-time or seasonal staff: do I need it?
- I only employ family: do I need workers comp?
- Remote or out-of-state staff: do I need coverage?
- What happens if I don't carry workers comp?
- How much does workers comp cost?
- How do I get workers comp (even if turned down)?
- Workers compensation insurance, explained
- What workers comp costs (national guide)
- Do I need workers comp for 1099 contractors?
- Hiring your first employee: what changes
- Louisiana contractor workers comp
This guide is general information, not legal advice. Louisiana rules and penalty amounts can change, so verify current requirements with the Louisiana Workforce Commission's Office of Workers' Compensation Administration or a licensed advisor before you rely on them. Last updated: July 2026.