Contractors face unique risks on the job, making it essential to have the right insurance policies in place. The most relevant insurance policies for contractors include General Liability Insurance, Workers’ Compensation Insurance, Commercial Auto Insurance, and Contractor’s Tools and Equipment Insurance. Each of these policies is designed to protect your business from different types of risks that can arise during construction, renovation, or repair projects.
Covers bodily injury, property damage, and personal injury claims that could arise from your work. This insurance is crucial for protecting your business from lawsuits and ensuring you can continue operations without financial strain.
Required by law in most states, this policy covers medical expenses and lost wages for employees who are injured on the job. It also provides death benefits to families of workers who die due to work-related injuries.
Protects vehicles used for business purposes, covering liability and physical damage in the event of an accident. This is essential for contractors who use trucks, vans, or other vehicles to transport tools, materials, and employees.
Covers the loss or damage of tools and equipment, whether on the job site, in transit, or in storage. This policy helps ensure that your tools are protected, allowing you to replace them quickly if they are lost, stolen, or damaged.
The cost of insurance for contractors varies depending on several factors, including the type of coverage, the size of your business, and the specific risks associated with your trade. On average, contractors might expect to pay:
These costs can vary significantly based on your location, the number of employees, your claims history, and the type of work you perform. It’s important to get customized quotes to ensure you’re paying a fair price for the coverage you need.
Nearly all contractors, regardless of their specialty, can benefit from having the right insurance coverage. Here are some specific types of contractors who should consider these essential policies:
Protects against liabilities arising from property damage or injuries while repairing appliances in clients’ homes or businesses.
Covers risks related to construction, installation, and repair work, ensuring protection against claims of faulty workmanship or accidents on the job site.
Essential for covering liabilities associated with electrical work, including the risk of fire, electrocution, and property damage.
Provides coverage for financial liabilities and protects against claims of negligence or errors in managing finances for construction projects.
Protects against risks involved in structural framing work, including property damage and bodily injury claims.
Covers a wide range of risks, from subcontractor errors to client claims of incomplete or unsatisfactory work.
Offers protection for various small jobs, including repairs, installations, and maintenance services, reducing the risk of lawsuits and financial losses.
Covers liabilities related to property damage or personal injury while installing, repairing, or replacing locks.
Protects against damage or loss of heavy machinery and equipment, as well as liability claims from clients or third parties.
Covers liabilities related to property damage, such as paint spills or damages to client property during the painting process.
Provides coverage for risks associated with plumbing work, including water damage and injuries caused by faulty installations.
Essential for covering the risks of accidents or injuries while removing snow and ice, as well as damage to property during the removal process.
Protects against risks involved in welding, including fire hazards, property damage, and injuries resulting from welding work.