Top Five Contractor Insurance Choices to Get You Covered

Running a construction business exposes owners to various risks. From lawsuits to accidents and heavy equipment damages, a lot can happen that may also temporarily delay your projects. To avoid income loss and prevent extra expenses due to liabilities, contractors must consider getting insurance. Here are the top five contractor insurance options to get you covered:

1. Builder’s Risk Insurance
   If you are starting as a contractor, you might want to check first the Builder’s Risk Insurance. The purchaser of this insurance policy can name the general contractor, the building owner, or any subcontractors as the insured parties. It ensures they are covered from certain dangers while the structure is in the construction phase.
   
   Besides the insured parties, the policy also covers the building itself, including the construction materials and on-site equipment. The Builder’s Risk Insurance only covers a certain amount of time, usually only until the structure is complete. You may choose to get the coverage extension in case of delays in the project completion. 
   
   
2. Commercial General Liability Insurance (CGLI)
   Commonly referred to as General Liability Insurance, this policy allows contractors to get coverage from liability claims. There are no perfect projects, and such cases of physical injuries on-site or damages to nearby properties can happen. These are the instances where CGLI can help you. 
   
   
3. Contractor Pollution Liability Insurance (CPLI)  
   The CPLI offers third-party coverage for bodily harm and property damage. It also covers clean-up for unexpected, accidental, or gradual pollution due to construction operations. 
   
   
4. Professional Liability Coverage
   Also known as Errors and Omissions (E&O Insurance), it provides coverage to white-collar jobs in the construction business. These include designing and consulting work, which may be vulnerable to errors and omission liabilities. It is excellent insurance to supplement other contractor insurance policies. 
   
   
5. Umbrella Liability Coverage
   Looking ahead, you might already be thinking about how to manage large projects on multiple sites. With Umbrella Liability Coverage, you can extend the policy limit of your current coverage in certain circumstances. An example is when damages cost more than the policy can provide. 

Conclusion
The importance of having contractor insurance can not be overstated. You can choose to have two or more of these insurance options to maximize your coverage and secure your business. 

At Black and Associates Insurance, Inc., we do our best in making sure that our clients are well-protected with affordable and comprehensive policies. We make sure to go the extra mile to help you with your needs. To learn more about how we can help you, please contact our agency at  (509) 464-0058 or Click Here to request a free quote.