General contractors tend to face more risk than most – building, fixing or installing something comes with risk of on-site injuries. Professionals who do landscaping, painting, roofing, heating and air conditioning, installations and repairs will likely be required by the government or the client to show proof of insurance. Contractors also need insured vehicles and protection against lost, damaged or stolen equipment or tools. This is a unique insurance product, and factors such as trade, location and service-related risks need to be examined, among many other things for the best coverage.
Contractors Insurance
In the simplest of terms, this is a specialized insurance policy for any general contractor or subcontractor and is critical to running a thriving construction business. Professionals who do landscaping, painting, roofing, heating and air conditioning, installations and repairs are among the many who qualify. This type of insurance targets the specific risks associated with contracting trades such as third-party property damage and equipment theft. The types of trades covered include construction, electrical, plumbing, painting, carpentry, air duct cleaning and telecommunications.
Each construction business is different and requirements vary. That said, General Contractors Insurance generally includes the following:
Commercial General Liability: provides financial coverage for claims of third-party liability, bodily injury or property damage resulting from an accident or negligence.
Tools and Equipment: This is critical for contractors as tools and equipment are your most important assets. This covers you should they need replacement or repair due to loss or damage.
Pollution Liability: Working in the construction and trades industries is not only a risky venture, you are also often exposed to pollutants. Neglecting to seal a construction site or improperly fitting a pipe can lead to severe damage down the line. Pollution Liability insurance covers bodily injury (such as a respiratory illness), clean up costs or property damage caused by water.