In a perfect world, every construction job goes according to plan. You, the contractor, land a residential remodeling job. All of the supplies, including the drywall, plumbing, and other things, arrive on time and in ideal condition. Your employees get the job done professionally and efficiently without any equipment breaking down. Everyone is happy, from the workers to the homeowners.
Unfortunately, in the real world, things happen. Supply shipments run late. Workers, no matter how experienced they are, make mistakes. Jobs run over the estimated time, homeowners aren’t happy, and so on. Thankfully, you have professional liability insurance to help cover the unexpected.
What is Professional Liability Insurance?
While the average construction company has many different types of insurance, from policies that cover tools to those that pay for damages that occur during the construction process, none of them insure the potentially expensive issues that fall under the professional liability insurance umbrella.
These policies are designed to kick in when something goes wrong during the planning process, but isn’t discovered until construction begins. For example, what happens if you accidentally complete improvements that aren’t up to code? You’ll have to remove whatever elements didn’t pass and redo everything. What about the architecture firm that you chose to design the remodel? If they calculated something wrong, you could end up with a remodel that doesn’t quite go according to plan. As a result, you could face a lawsuit from the homeowners who hired you.
Benefits of Professional Liability Insurance
Not only can professional liability insurance pay for things that a general liability policy cannot, like legal fees, should something go wrong during the construction process, but it has several other benefits as well, including:
Giving the Homeowner Peace of Mind – Every homeowner is worried when construction is planned on their homes. After all, they need to live with the dust and discomfort of the construction process. Thankfully, knowing that professional mistakes are covered makes them feel better about what they’re going through.
Helping Get New Construction Jobs – You can include your professional liability insurance status on your advertising, as well as mention it on your construction estimates and when you’re speaking to homeowners. This shows that you have a backup of sorts in place, making you appear more trustworthy and more likely to get the job than a company without this type of insurance.
Saving You Money Out of Pocket – Legal expenses can cost you thousands of dollars. Your professional liability insurance may cover these expenses, as well as other fees that come about should the project have delays due to faulty materials, problematic architecture renderings, or other similar issues.
Covering All of Your Proverbial Bases – By having all of the insurance policies that apply to your business, your saving your company from needing to pay to fix problems out of pocket.
Have Questions? Contact Charlotte Insurance
Want to learn more about professional liability insurance for your construction company? Contact Charlotte Insurance. Our agents can explore and explain all available options and put together the insurance coverage plan your business needs.