Janitorial Insurance and Bonds in California: What to Know

A California janitorial business needs general liability, workers' compensation for its crew, and usually a janitorial bond that protects against theft by its employees at a client's site. The state adds a rule some cleaning companies don't expect: every janitorial employer must register with the Labor Commissioner each year, and the application asks for the policy number, dates and insurer of its current workers' comp.^[1]^[2] Clients have a good reason to check registration. A business that contracts with an unregistered janitorial employer faces a civil fine of $2,000 to $10,000 for a first violation.^[3]

This guide is for a California cleaning or janitorial company, from a one-person office cleaner to a crew servicing commercial buildings. It covers the registration requirement, the insurance and bonds clients commonly ask for, which programs cover janitorial work and what they exclude, and what you should prepare. When you're ready, request a general liability quote and tell us about any bond your contracts require.

Do janitorial companies have to register in California?

Yes. The Property Service Workers Protection Act requires every janitorial employer to register with the Labor Commissioner annually, effective July 1, 2018.^[4] The act defines an "employer" broadly: anyone who employs at least one janitor or engages janitors "by contract, subcontract, or franchise agreement," and a covered worker includes an employee, an independent contractor or a franchisee working predominantly as a janitor.^[9]

Registration comes with conditions:

Requirement	Detail
Fees	$500 initial application and $500 each year^[10]
Registration types	One for employers with employees and one for those without^[11]
Workers' comp	Policy number, effective and expiration dates, and insurer name and address, for applicants required to insure under Labor Code section 3700^[2]
Training	Sexual violence and harassment prevention training for new and renewal applications since January 1, 2020^[2]
Operating unregistered	$100 per day, up to $10,000^[3]
Client that hires an unregistered employer	$2,000 to $10,000 first violation, $10,000 to $25,000 after^[3]

Because a lapse in workers' comp shows up on the registration, keep the policy continuous and send the renewal certificate when it issues.

What insurance does a janitorial business need?

Four pieces cover most cleaning companies:

General liability. Slip-and-fall injuries on a wet floor, damage to a client's furniture or equipment, and the legal defense. Clients usually ask to be named as additional insured.
Workers' compensation. Required for any employee under Labor Code section 3700, and listed on your registration.^[12]^[2]
A janitorial bond or crime coverage. Protects the client if one of your employees steals from the site.
Commercial or hired and non-owned auto. If employees drive between sites, including in their own cars.

Damage to property you are working on, such as a client's floor you're refinishing, can fall into a general liability exclusion for property in your care. Ask whether the policy covers it or offers a limit for customer property.

What is a janitorial bond and who needs one?

A janitorial bond, also called a janitorial service bond, protects your clients against theft by your employees while they work at the client's premises. It is usually required by the contract, not by state law. RLI Surety lists janitorial service bonds among its commercial bonds, alongside employee dishonesty bonds, and THREE lists a janitorial service bond among the coverages for its cleaning and janitorial segment.^[5]^[6]

A bond is not insurance for you. The surety pays the client's valid claim and then looks to you for repayment, which is why commercial crime (employee theft) insurance is sometimes used instead when a contract allows it. Our commercial crime insurance guide explains the difference.

Which insurers write janitorial businesses, and what do they exclude?

Janitorial is a common class, but programs draw lines around hazardous and specialty cleaning:

Program	Janitorial position
THREE (Berkshire Hathaway)	Commercial and residential cleaning are targets. Asbestos removal, hazardous spill cleanup, pollution abatement and swimming pool cleaning are declined^[7]^[6]
Coterie	Janitorial and building cleaning eligible, but not washing or detailing vehicles, or crime scene cleanup^[8]
MGT contractor BOP	Cleaning services (janitorial, carpet, upholstery) are target classes. Established 3+ years, direct labor only^[13]
RLI Contrac Pac	Janitorial services (class 96816) and window cleaning (99975)^[14]
BTIS contractor GL	Janitorial, residential and commercial, is a top class^[15]
Blitz contractors	Janitorial services among 80+ classes, from a $500 minimum^[16]
Thimble	Cleaners and janitors, office cleaning, deep cleaning, window and carpet cleaning^[17]

Hiscox writes general liability from $350 a year, but janitorial is one of the classes where its premium is subject to a minimum earned amount.^[18]

What should a cleaning company have ready for a quote?

Give the insurer a clear picture of the work:

The types of sites (offices, medical, retail, residential, industrial) and the share of each.
Services: routine cleaning, floor care, carpet, windows (and at what height), post-construction cleanup.
Anything hazardous: biohazard, mold, chemicals beyond normal cleaning products.
Payroll, number of employees and any subcontractors or franchisees.
Your Labor Commissioner registration number.
The certificate and bond wording your contracts require.

Frequently asked questions

Is a janitorial bond required in California?

Not by state law. Clients and contracts often require one. The state requires janitorial employers to register annually with the Labor Commissioner.^[4]

How much does janitorial registration cost in California?

A $500 initial application fee and $500 each year after, which the Labor Commissioner may adjust.^[10]

Do I need workers' comp for a cleaning business with one employee?

Yes. Every employer must secure workers' comp, and the janitorial registration asks for the policy details.^[12]^[2]

Does general liability cover a client's item my cleaner breaks?

Often, as damage to others' property, but property you are actively working on may be excluded. Ask about coverage for customer property when you buy.

This guide is general information based on the California Labor Code and carrier program sheets dated 2021–2026. Programs change, and your policy's terms control. Menlo Insurance Services (CA license 6020106) is a licensed broker that may earn a commission on a placement.