Small-business cover in Colorado.
In Colorado, workers’ comp is required at Required for all employers with one or more employees[S]Colorado workers' compensation threshold. Colorado requires workers' compensation coverage for all employers with one or more employees, with narrow exemptions for certain independent contractors and sole proprietors with no employees. Electrical and plumbing trades require state licensure; general contracting is licensed locally. Regulated by the Colorado Division of Workers' Compensation (Dept. of Labor & Employment).
Updated 2026-05-16 · Beaconcover editorialThe short answer: Business insurance in Colorado starts with workers' compensation, required at Required for all employers with one or more employees, plus the general liability that most clients and licenses ask for before you can take a job.
What does Colorado require?
Required for all employers with one or more employees[C]Colorado workers' compensation threshold
Colorado requires workers' compensation coverage for all employers with one or more employees, with narrow exemptions for certain independent contractors and sole proprietors with no employees. Electrical and plumbing trades require state licensure; general contracting is licensed locally. Regulated by the Colorado Division of Workers' Compensation (Dept. of Labor & Employment).
What licensing and bonding does Colorado require?
- Electrical and plumbing licensed at state level; GC licensing is municipal
- First-employee workers' comp threshold