Contractors Insurance in South and North Carolina
If you are in the construction business in South or North Carolina you probably have a great deal of time and money invested in your company, and it's in your best interest to protect your large investments with the right contractors insurance. No matter if you are big corporation or a small local contractor, it only takes one injury or serious incident to cause an enormous financial loss. Although there is no way to avoid some types of trouble, you can at least have the necessary insurance so you won't be dealing with a financial nightmare. Let's take a look at Robert L for an example.
Robert had a successful siding and roofing business and there was no shortage of work available. After a large storm, many people had roofing problems and Robert and his crew were there to the rescue. However, during one job, the unexpected occurred. One of Robert's workers was on the roof (talking to a customer on the ground) when he suddenly lost his footing and fell. Unfortunately the customer could not get out of the way and both men ended up with substantial injuries.
Robert had to deal with injury claims from his worker and the customer, and both had significant medical bills. In addition, the customer was unable to work for months and someone had to make up for his lost income. This could have been serious problem for Robert, but he trusted his insurance professional and knew all his risk factors were covered. Sure enough, the medical bills were paid and satisfactory settlements were reached. This stresses the importance of having the right risk management professionals on your team.
Defining Contractor Insurance?
Insurance for contractors covers important things that can happen to a business. This is the only way most construction companies can stay in operation. In other words, potential losses could spell the end of a company quickly. You could be dealing with damage claims as well as lawsuits and legal expenses.
Who Needs Contractors Insurance?
If your business builds or renovates houses, you are a contractor. Plus, these other businesses also need special insurance coverage:
- Electrical contractors
- Landscape businesses
- AC contractors
- Home improvement contractors
What is a Standard Contractor Insurance Policy Like?
A standard policy for a contractor usually includes general liability protection. Legal liability protects you from personal injury claims like slip and fall accidents on your premises. It may also cover damages caused by your crew while in the act of construction. This coverage is vital if you do not want to be vulnerable to lawsuits. You also will need these coverage items:
- Commercial property - essential for contractors. This covers your offices and other company owned real estate.
- Business vehicle insurance - similar to auto insurance for your cars, trucks, or vans
- Workers compensation - this is mandatory and is there to provide protection for the people you hire. For example, if someone was hurt on the job, workers compensation provides payments while the injured employee is off work.
What Options Do I Have?
You have a lot of different options depending on what you do for a living. Here are some examples:
Errors and Omission Coverage
Suppose you are a roofing contractor and shoddy workmanship caused a major leak, ruining a customer's home interior. You could be responsible for thousands of dollars in damage without E&O coverage.
Increased Liability Insurance
You may have the need for more liability protection than most businesses. It could be auto liability or you might want to consider an umbrella policy. Umbrella insurance can be added to your contractors insurance and covers a wide range of claims and can take over when your maximum liability limits are reached on your general or auto liability policy.
Do you bid on construction jobs? If so, you need a way to ensure the client you can fulfill all of your legal obligations when you are the top bidder for the job. Surety bonds take care of this issue. In fact, there are four basic bond types you may need:
- Payment - this type of bond guarantees your subcontractors, vendors, and suppliers are paid in case you can't pay them.
- Bid - a bid bond assures the customer you will be there to take care of the job you bid on.
- Performance - performance bonds guarantee you can not only start but finish the project on time.
- Ancillary - these bonds cover other contractual obligations you may have.
Suppose you were working on a major project when it became damaged? It could be from an act of nature or vandalism. Without course of construction or builders risk coverage you would be responsible for all the damages and this could be much more than you can handle. That is what construction insurance is for.
Why Choose Charlotte Insurance in North Carolina?
When you need to insure your construction business, it's important to have the right kind of coverage in place. It's also important to have a policy you can afford. At Charlotte Insurance you have an insurance specialist working for you. This person is experienced in risk management and understands exactly what kind of coverage you need.
As an independent insurance agent, your Charlotte Insurance specialist can find you the lowest contractor insurance premiums because he or she is not tied to a single insurance company. An independent broker checks with many different companies and compares all the coverage options and premiums.
To find out what Charlotte Insurance can do for you and your business, contact us today.