Types of Contractors Insurance
Constructions sites are vulnerable to many mishaps. These incidents may result in property damage and injuries that may jeopardize the contractor's business. With that, it is imperative to get contractors insurance to secure assets should the worst-case scenario takes place. However, you can't get actual contractors insurance as it is generally a collection of coverages needed for your business. Listed below are that builds up a contractors insurance:
General Liability Insurance
General liability insurance covers your defense for any third-party lawsuit over advertising injuries, bodily injury, and property damages. Remember, essentially any person who doesn't work for you is considered to be a third party. If anyone says you are responsible for damages or injury, general liability insurance covers you.
Workers’ Compensation Insurance
Workers' compensation insurance is mandated by state, and you must provide it to your employees. It can be divided into two parts. First, it covers medical bills and lost wages of any employee injured on the job or provides benefits to survivors should an employee die at work. Second, it involves covering legal costs should an employee file a case of negligence.
Commercial Property Insurance
Commercial property insurance protects your business property, such as your tools, workroom, fixtures, and furnishings. Should any mishaps happen and damage these items, your insurer provides you the insured value, so you may fix them or replace them if necessary. Through that, you can get back to your operations sooner than later. Property insurance is a must for contractors as they significantly depend on their devices and equipment.
Professional Liability Insurance for Contractors
Professional Liability Insurance, also called as contractors errors and omissions, involves lawsuits against mistakes committed by you or your staff. It shoulders the cost of your defense if any case a client file a financial claim because of your professional negligence. This type of insurance is made for contractors who focus on designing and building projects as they are more prone to lawsuits due to negligence.
Surety bonds are insurance for your clients. This serves as an insurance that you will finish any project as stated in the contract. Should you be unable to complete the project, your insurer recompenses your client. However, your insurer anticipates your payment for the claims.
You'll never know when an unfortunate incident will happen so it is essential always to get prepared. Remember that purchasing contractors' insurance can protect you against further hassle and liability.
At Black And Associates Insurance, 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.
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