The City increased Class C and D insurance requirements to $2 million in 2026. For previously issued C and D licenses, the City states the increased requirement applies when the insurance policy on file expires. Demolition permissions also depend on class.
Prepare the application and supporting documents
The City's checklist includes the application, a financial-solvency statement, applicable business-authorization documents, identification, and insurance evidence. Requirements differ by business structure. Use the current City checklist for your application and confirm the submission method and fees before sending payment.
Verify the insurance wording, not just the limit
Chicago's code requires an Illinois-authorized insurer with an A.M. Best rating of B+ or higher, specified liability coverage, and the City as an additional insured on a primary, noncontributory basis. It also specifies advance cancellation or lapse notice. Limits above $1 million may be satisfied using an appropriate combination of primary and excess or umbrella policies. The policy and endorsements must support the required terms.
Apply, maintain coverage, and track renewals
Submit through the City's current licensing process and address any missing items. Keep insurance current and track license and policy renewals. Do not assume an application or a certificate of insurance by itself authorizes work.
How J&L can help
J&L can explain the insurance requirements, explore appropriate coverage, and assist with organizing certain application materials. For policies we service, we can request or issue appropriate insurance evidence within our authority. Licensing decisions remain with the City; we cannot guarantee approval.
