California HVAC & Appliance Repair Insurance Requirements (2026)

Minimums: $25,000

CSLB requires all active contractor licensees, including C-20 HVAC contractors, to file a $25,000 contractor's license bond, a figure set by SB 607 effective January 1, 2023 and still current in 2026.^[1]

Minimums: $1,000,000 for 5 or fewer personnel, +$100,000 per additional person up to a $5,000,000 cap

Condition: LLC licensees only

LLC contractor licensees must carry commercial liability insurance with a cumulative limit of at least $1 million for up to five personnel of record, rising $100,000 per additional person to a $5 million maximum.^[1]

Minimums: N/A

Condition: regardless of whether the licensee has employees

C-20 (along with C-8, C-22, C-39, and C-61/D-49) licensees must carry workers' compensation insurance or a valid Certification of Self-Insurance whether or not they have employees, and cannot file the standard no-employee exemption; a separate 2026 law (SB 1455) delays extending this no-exemption workers'-comp mandate to all other contractor classifications until January 1, 2028, but that delay does not affect C-20, which has been subject to the mandatory rule since 2023.^[1][2]

Minimums: N/A

BHGS's Appliance Service Dealer registration (covering washers, dryers, refrigerators, freezers, ranges, microwaves, dishwashers, trash compactors, and room air conditioners) has no surety bond requirement — only a $190-per-location fee with no exam, education, or experience prerequisites.^[1][2]

Minimums: N/A

BHGS does not mandate general liability insurance as a condition of Appliance Service Dealer registration.^[1]

Minimums: N/A

Condition: businesses with 1+ employees, under California's general employer rule (not BHGS-specific)

Appliance repair businesses that have any employees must carry workers' compensation insurance under California's statewide employer rule, though this is enforced by DIR, not through the BHGS registration itself.^[1]