Why Licensing and Insurance Matter When Hiring a Security Company Hiring a security guard company is an important decision—one that directly affects the safety of your people and property. But not all security companies are created equal. Before signing a contract, it’s vital to ask: Are they licensed? Are they insured? If the answer to either question is no, it’s a major red flag. In this blog, we’ll explain why licensing and insurance are non-negotiable when hiring a security company, and how choosing the right partner—like American Alliance Security—protects your business from risk. What Does It Mean for a Security Company to Be Licensed? State Regulatory Compliance A licensed security company has met all state-mandated requirements, including employee background checks, training certifications, and operational standards. In California, the Bureau of Security and Investigative Services (BSIS) oversees licensing for private patrol operators. Trained and Vetted Personnel Only a licensed company can hire BSIS-certified guards. This means the security staff assigned to your site has passed state exams, completed the required training, and undergone fingerprinting and background checks. Legal Protection for Clients Hiring an unlicensed company could open your business up to liability. If something goes wrong, you could be held responsible—not the contractor. Why Insurance Coverage Is Equally Critical Liability Protection Things can go wrong, even with trained professionals. Whether it’s property damage, personal injury, or wrongful detention, general liability insurance ensures the security company—not your business—handles the costs. Workers’ Compensation If a guard is injured on your property and the company doesn’t carry workers’ comp insurance, you could be held responsible. Reputable companies always carry workers’ comp for their employees. Auto and Equipment Coverage If the company uses patrol vehicles or surveillance equipment, proper insurance covers accidents or malfunctions. Without it, you may be left with the consequences. f you’re moving product or large sums of cash, our security team can provide escort services and secure loading/unloading oversight. Risks of Hiring an Unlicensed or Uninsured Security Company Legal Liability: You could be sued for negligence Financial Exposure: You may pay for damages out of pocket Unqualified Personnel: Lack of proper training, screening, or experience Non-Compliance: Violations of city or state regulations How American Alliance Patrol Protects You At American Alliance Security, we maintain all necessary California state licenses and carry comprehensive insurance coverage to protect our clients, our team, and the public. Fully Licensed by the BSIS We meet and exceed all training, legal, and operational requirements set by the state. Liability Coverage Our insurance plan covers incidents, accidents, and claims to shield you from unexpected costs. Professionally Trained Guards Our team includes both armed and unarmed guards with experience in retail, construction, residential, commercial, and cannabis security. Why Security Company Licensing and Insurance Matter May 3, 2025 Why Licensing and Insurance Matter When Hiring a Security Company Hiring a security guard company is an important decision—one that directly affects the safety of your people and property. But not all… Read More Understanding Fire Watch Services May 3, 2025 Understanding Fire Watch Services and When You Need Them Fire emergencies can happen at any time—and when your fire protection system is down or your site poses a high fire risk, Fire Watch Services… Read More Professional Security Guards in San Diego January 16, 2025 Professional Security Guards in San Diego our Social Media: Facebook Youtube Instagram Tiktok Pinterest Facebook Twitter LinkedIn Why San Diego Businesses Rely on Professional Security Guards The Role… Read More Best Security Guard Services in Los Angeles January 15, 2025 Top Security Guard Services in Los Angeles for Your Business Needs Our Social Media: Facebook Youtube Instagram Tiktok Pinterest Facebook Twitter LinkedIn Best Security Guard Services in Los Angeles… Read More Why 2025 Is the Year to Upgrade Your Security Services January 3, 2025 Why 2025 Is the Year to Upgrade Your Security Services As we enter 2025, businesses face new challenges and opportunities in security. With technology advancing and threats evolving, now is the… Read More What to Ask Before Hiring a Security Company Before signing any agreement, make sure to ask: Is your company licensed with the BSIS? Do you carry general liability and workers’ comp insurance? Can you provide proof of coverage and certifications? Are your guards trained and background-checked? If they hesitate to answer or provide documentation—walk away. Schedule Your Free Security Consultation Don’t wait until disaster strikes. Let us help you stay compliant and protected. info@gmbsecurity.com +1 (714)-644-9777 18403 Pioneer Blvd Ste 207 Artesia, CA 90701 Facebook Youtube Instagram Tiktok Pinterest Your Trusted Security Partner Protect Yourself—Hire a Company You Can Trust Hiring the cheapest security service may save you money short term, but without proper licensing and insurance, you’re exposed to major risks. With American Alliance Patrol, you’re hiring a security partner who values professionalism, compliance, and your peace of mind. FAQs About Licensing and Insurance How can I verify a security company’s license in California? You can check the company’s license status on the California BSIS License Lookup. Is insurance required for all security companies? Yes, reputable security companies carry liability insurance and workers’ compensation to protect clients and employees. What if something goes wrong and the company isn’t insured? Without insurance, you may be held liable for any injuries or damages caused by their guards while on your property. You can check the company’s license status on the California BSIS License Lookup. Yes, reputable security companies carry liability insurance and workers’ compensation to protect clients and employees. Without insurance, you may be held liable for any injuries or damages caused by their guards while on your property. our Social Media: Facebook Youtube Instagram Tiktok Pinterest Facebook Twitter LinkedIn Are fire watch services legally required? Yes. Most cities and counties require fire watch when systems are down or hazards are high. Your fire marshal may issue a notice of violation if fire watch is not in place. Can I use my own staff for fire watch? Unless they are specifically trained and authorized, it’s recommended—and often required—to hire