Work insurance for contractors all you need to know
Whether you’re a small contractor or a large company, you need to protect your business from all sorts of risks. On top of the normal concerns about getting sued for breach of contract, employees and customers getting injured on your job site is a very real concern. Contractors are susceptible to many kinds of risks that put their businesses in jeopardy—and every day they are working with their hands on something that could go wrong. That’s why it’s so important to make sure that your business has the right insurance coverage in place before it happens.
Business Insurance for Contractors
Business insurance for contractors is another type of policy that can help you take care of your business. It provides coverage for the property and equipment that you use as a contractor.
The following are some of the types of things that business insurance for contractors covers:
- Business interruption loss
- Losses caused by theft or vandalism
- Fire damage, flood damage, and other disasters that affect your office location or buildings used in your business operations
Professional Liability Insurance for Contractors
Professional liability insurance is also known as errors and omissions or E&O. This type of policy protects contractors from claims made by their clients for losses due to the contractor’s negligence, misrepresentation, or omission of truth in their work for a client. A contractor should consider purchasing professional liability coverage if they:
- Provide advice to clients on matters related to building construction;
- Perform any kind of work that creates the potential for mistakes, such as providing advice about safety or security measures; or
- Promote their services with testimonials from previous customers who have been satisfied with their performance.
General Liability Insurance for Contractors
A general contractor insurance policy typically covers the following:
- Personal injury would include bodily injury, property damage, and personal injury.
- Contractor negligence is one of the most common types of claims contractors face. This includes any injuries or damage that occurs to another party due to your failure to perform something appropriately, such as failing to follow safety protocols when working at a construction site or leaving nails on a construction site for passersby who could later step on them and sustain an injury. You may also be required by law or contract to retain certain licenses and permits for any work done under this type of policy; if you don’t have them, then damages could be awarded against you based solely on that fact alone (even if no other evidence exists).
Workers’ Compensation Insurance for Contractors
If you are a contractor, you need to get workers’ compensation insurance.
You need to have workers’ compensation coverage.
You should have a certificate of insurance for your workers’ compensation policy.
Commercial Auto Insurance for Contractors
It’s important to note that commercial auto insurance is not the same as personal auto insurance. Commercial auto insurance is mandatory for businesses that use vehicles for business purposes, and it offers special coverage options not available with personal policies.
- Commercial auto insurance covers costs associated with vehicles used in connection with business activities such as delivery or transportation services, construction projects, and landscaping companies using trucks or trailers instead of vans (for example). It also covers employees who drive company cars home after work hours because these cars are being used as part of their jobs.*
You need protection from general risks, like getting injured on the job.
You need to be protected from general risks, like getting injured on the job. You also need to be protected against accidents that lead to injuries, such as a car accident while commuting between jobs. This means you can’t be left paying for medical bills out of pocket—as well as legal costs associated with any injury or illness that may occur while working. If something happens outside of work and it affects your ability to work, most employers will help cover those costs (and usually recommend workers carry their health insurance), but without proper protection in place, these things can add up quickly!
It’s also important to think about property damage: if someone slips and falls in your home office and damages some furniture or walls while you’re not there, who’s going to pay for repairs? Or if they’re hurt so badly they can’t continue working until they recover fully—how long will that take?
We hope that this article has helped you understand the importance of getting contractor liability insurance. With workers’ compensation and general liability for contractors, your business is protected from work-related accidents or injuries, and lawsuits. Keep in mind that this type of coverage won’t cover everything, so you may want additional protection like professional liability insurance or commercial auto insurance.