Rooftop Site Installation insurance FAQ

Standard commercial GL policies often contain height exclusions because most general commercial carriers do not underwrite the risk of work at elevation. These exclusions (commonly set at 15, 25, or 50 feet) allow carriers to write general contractor risks without exposure to the elevated fatality and severity rates associated with work at height. For tower contractors, this exclusion effectively voids coverage for primary operations. Specialty markets in the excess and surplus lines space write tower GL without height exclusions because they price the risk specifically for work at elevation. When a standard market adds a height exclusion, it means any bodily injury or property damage occurring above that threshold is completely uninsured. This includes dropped tools, rigging failures, and falls. If you are performing tower work with a height-excluded policy, you are effectively uninsured for your core operations. The solution is to move to a specialty tower program that prices elevation risk into the base premium rather than excluding it.

Primary and noncontributory is an endorsement wording that makes the named insured's policy respond first (primary) to a claim involving the additional insured, and prevents the carrier from seeking contribution from the additional insured's own insurance (noncontributory). Without this wording, the additional insured's carrier and the named insured's carrier may dispute which policy pays first or try to share the loss on a pro-rata or equal-shares basis. Turf vendors and tower owners require it so that their own insurance is never triggered by a subcontractor's work. The subcontractor's policy pays everything up to its limits before the additional insured's coverage is even considered. This is achieved through ISO endorsement CG 20 01 or equivalent proprietary language. The endorsement modifies the other insurance condition in the GL policy, which normally makes the policy excess over other available insurance for the same claim. With primary and noncontributory wording, the normal other-insurance provision is overridden for the benefit of the additional insured. Most specialty tower programs include this as standard. If your policy does not include it, the endorsement can usually be added for nominal or no additional premium, as it does not increase the carrier's aggregate exposure.

A per-project aggregate endorsement converts your GL policy's general aggregate from one shared limit for all projects during the policy year to a separate aggregate for each project. Without it, a large claim on one project could exhaust your aggregate and leave subsequent projects with no coverage. For tower contractors running multiple simultaneous MSA-governed projects, this is critical. If your $2M aggregate is depleted by a claim on Project A, the turf vendor on Project B has no coverage available. Most turf vendor MSAs require per-project aggregate to ensure their project has dedicated limits. The endorsement is typically ISO form CG 25 03 or equivalent. It resets the aggregate for each project defined by a separate job site, contract, or location. Some variations provide per-location aggregate instead, which functions similarly but is triggered by physical location rather than contract. The additional cost for per-project aggregate is typically 5-10% of GL premium and is well worth the investment for any contractor working multiple projects simultaneously. Without it, a single bad claim early in the policy year can effectively shut down your ability to work on other insured projects.

A blanket additional insured endorsement automatically extends additional insured status to any party you are contractually required to name, without issuing a separate endorsement for each project or MSA. For tower contractors working under multiple turf vendors simultaneously, blanket AI is essential because it ensures every MSA requirement is automatically satisfied when the contract is signed. The alternative, scheduled additional insured, requires issuing a new endorsement for each party, creating administrative gaps between contract execution and endorsement issuance. Most specialty tower programs include blanket AI with primary and noncontributory wording as a standard feature. The blanket endorsement typically references ongoing operations and completed operations, covering the additional insured both during and after your work. Some endorsements use ISO form CG 20 10 (ongoing) paired with CG 20 37 (completed operations), while others use a single blanket form. Confirm your endorsement covers both, as some MSAs specifically call out completed operations additional insured coverage. The trigger for blanket AI is a written contract requiring additional insured status, so always ensure your MSA or subcontract is fully executed before relying on the blanket provision.

Tower contractor insurance costs vary widely based on crew size, work type, claims history, and state. Typical annual ranges for a 10-person tower erection crew: GL without height exclusion ($15,000-$40,000), workers comp ($50,000-$150,000 depending on payroll and mod), umbrella to $5M ($20,000-$60,000), commercial auto ($15,000-$40,000 depending on fleet size), inland marine ($3,000-$8,000). Total program cost for a mid-size crew typically ranges from $100,000-$300,000 annually. Smaller maintenance crews (3-5 people) may fall in the $40,000-$100,000 range. These are typical ranges only and will vary by market conditions, experience mod, and loss history. The single largest cost driver is workers compensation, which is calculated on payroll at rates that can exceed $30 per $100 of payroll for climbing class codes in high-rate states. Companies with clean loss history and mods below 1.0 will be at the low end. Companies with claims, high mods, or operations in expensive states will be significantly higher. Annual premium as a percentage of revenue typically ranges from 8-15% for tower contractors, compared to 2-5% for most general construction.