Question 1

What insurance does a security guard company need?

Accepted Answer

Security guard companies need: (1) General liability — the most critical coverage, covering third-party bodily injury claims (a guard injures someone, excessive force allegations) and property damage. Minimum $1M per occurrence — most contracts require $2M. (2) Professional liability — covers allegations of negligent security (a crime occurred that your guards failed to prevent, inadequate patrol coverage). (3) Workers compensation — required in virtually all states for security employees. Guards face significant injury risk. (4) Commercial auto — if guards use company vehicles for patrols. This is a high-risk class of business, and insurance is more expensive than most service businesses.

Question 2

How much does security guard insurance cost in 2026?

Accepted Answer

Security is considered a high-risk industry, and insurance reflects that: GL only (1-5 guards): $150–$400/month. GL + professional liability: $200–$500/month. Full package with workers comp: $400–$1,500/month depending on guard count, armed vs. unarmed, and loss history. Armed security guards are significantly more expensive to insure than unarmed guards — some carriers refuse to write armed security. Workers comp rates for security guards are typically $8–$15 per $100 of payroll.

Question 3

Do security guards need a license and insurance?

Accepted Answer

Yes — most states require security guard companies to be licensed and carry a minimum GL limit as a condition of the license. Common state requirements: California (BSIS) requires $1M GL minimum. Texas (DPS) requires $100,000 GL minimum for guard companies. Florida (DACS) requires $300,000 GL. New York (DCJS) requires $1M GL and surety bond. Illinois (IDFPR) requires $1M GL. Always verify current requirements with your state licensing board — requirements change and minimums are often lower than what clients actually require in contracts.

Question 4

Does GL cover excessive force claims against security guards?

Accepted Answer

General liability covers third-party bodily injury, which includes excessive force claims in most policy forms. However, many GL policies have assault and battery exclusions — meaning intentional force (even when a guard claims it was necessary) may be excluded. Security guard GL policies often include a specific assault and battery sublimit or endorsement. Verify your policy explicitly covers assault and battery claims — this is the most common and most expensive claim type for security companies. Without it, you have significant uninsured exposure.

Question 5

What is negligent security insurance?

Accepted Answer

Negligent security (also called inadequate security) is a professional liability claim alleging your company failed to provide adequate security, and as a result, a crime occurred. Examples: a client was robbed at a venue your company was contracted to protect; a vehicle was broken into in a parking lot under your patrol contract; an assault occurred at an event where your guards were posted. These claims can be substantial — a negligent security lawsuit on a major venue or corporate campus contract can reach $1M+. Professional liability covers your defense costs and settlements for these claims.

Question 6

Can individual security guards get their own insurance?

Accepted Answer

Individual security guards typically work as employees of a licensed security company and are covered under the company's GL and workers comp. Self-employed or independent contractor security guards providing services directly to clients need their own GL and professional liability. This is less common but does occur. Individual security guard professional liability: $50–$150/month depending on armed vs. unarmed status and client contract requirements.

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⚠️ Assault & Battery Exclusions Are Common in GL Policies

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