General Contractor Insurance

Everything You Need To Know About General Contractor Insurance

Owning and operating contracting and general construction businesses are very profitable, but they also bring with them tons of risks for the owner/operator. 

A huge expense that the owner/operator has to consider is the risk that their clients or business prospects could become injured or seriously hurt either while visiting their office or their showroom. Worse, if the construction or remodel project wasn’t carried out correctly and safely, and if the client becomes injured or seriously hurt, then the owner/operator of the business is usually held liable.

Why General Contractor Insurance?

Not only do liabilities cost owners in this industry their reputation, but also, large sums of money are usually on the line. This is part of the reason why if you own a business in construction or contracting, you really have no viable option than to pay for contractor insurance. 

General liability insurance for contractors provides coverage that protects the policyholder from a variety of risks, such as: 

Claims against your company – If your prospects or your invoiced clients incur injury or battery of any type, then they have the right to sue you for monetary compensation. Not only can you as the business owner be sued for compensation, but anyone who works under your employ can also be held responsible for damages, too. 

Needing to shut down your business – If the monetary value of a claim against your company is too great for you to handle, then you could find yourself shutting down operations. Contractor insurance can provide you with the type of financial safety that will keep your business alive in the event of a law suit being awarded against you. 

The inability to generate business – In many cases, your clients will not only require you to carry general liability insurance for contractors but also, they’ll ask to see proof of your current policy. If you choose not to carry a policy, then you could find yourself losing business opportunities. What’s more, many states won’t allow you to operate without carrying a current insurance policy. 

Clients won’t add you to their insurance policy – There are instances where a client might be able to add you to their insurance policy, but in most cases, they won’t want to. They don’t want to be bothered with the hassle of dealing with the paperwork, and they certainly don’t want to bother with an increase of premium, even if it’s only for a short period of time. 

As you can imagine, the general liability insurance cost for contractors is far less than the cost of paying out a lawsuit claim. If you’re ready to protect yourself from financial disaster, then fill out a form to get a free quote, or you can call today to get a free quote.

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