Commercial cleaning insurance requirements explained
Most cleaning companies lose contracts at the paperwork stage. Here is the exact insurance stack commercial buyers ask for.
The four covers commercial buyers ask for
Almost every commercial cleaning contract asks for the same stack: general liability, a janitorial or fidelity bond, workers' compensation (employers' liability in the UK) and commercial auto if your team drives to sites. Property managers and facility directors will not sign without certificates on file, and procurement teams will disqualify a bid that arrives without them.
Typical limits by facility type
General office and retail buyers usually ask for $1m per occurrence and $2m aggregate on general liability. Medical, education and childcare sites commonly ask for $2m/$4m plus a named-insured endorsement. Industrial and post-construction work often adds an umbrella requirement of $1m-$5m depending on site value. In the UK the equivalent is £5m public liability and £10m employers' liability.
What it actually costs
A small commercial cleaning company with two to six cleaners typically pays $1,200-$3,500 a year for general liability, $150-$400 for a $10,000 janitorial bond, and workers' comp priced as a percentage of payroll — often 3-8% depending on state and claims history. Budget roughly 1-3% of revenue for the full stack and price it into your bids rather than absorbing it.
Certificates of insurance and additional insured
Buyers ask for a certificate of insurance (COI) naming them as additional insured. Your broker issues these in a day or two, and there is normally no extra premium. Keep a folder of current certificates ready to attach to proposals — being able to send one within an hour of a walkthrough closes deals faster than another price cut.
Where insurance wins you the contract
Insurance is a differentiator, not just a cost. Many small competitors are underinsured or uninsured. Leading a proposal with your limits, bond amount and background-check policy positions you against the cheapest bidder and lets you defend a higher price on risk rather than on square footage.
FAQs
Do I need a janitorial bond?+
Most commercial buyers ask for one. A $10,000 to $25,000 bond covers employee theft and typically costs a few hundred dollars a year.
How much general liability do commercial clients require?+
$1m per occurrence and $2m aggregate is the common baseline; medical, education and childcare sites often require $2m/$4m.
Do subcontracted cleaners need their own cover?+
Yes. Collect certificates from every subcontractor or your own policy may not respond to a claim.
Is workers' comp required if I only use subcontractors?+
Rules vary by state and country, but most commercial buyers require proof regardless. Check locally before bidding.
How fast can I get a certificate of insurance?+
Usually the same day or next day from your broker at no extra cost.