Contractor’s Liability
Insurance
Contractor's Liability Insurance | Built for You
Contracting work comes with its own set of risks—accidents, property damage, and injuries can all occur in the blink of an eye. Contractor’s Liability Insurance is designed to provide essential protection against the financial consequences of these incidents. Whether you’re an independent contractor or managing a team, having the right liability coverage helps safeguard your operations so you can focus on getting the job done right without worrying about unexpected setbacks.
At TIS Insurance Services, we have over a decade of experience protecting contractors with tailored liability insurance solutions. Let us provide the coverage you need to focus on what you do best. Reach out to learn more about how we can protect your business.
Who Needs Contractor Liability Insurance?
Types of contractors that can benefit from the Contractor’s Liability Insurance include:
- General Contractors: Protect your operations from the risks of managing complex projects and numerous subcontractors.
- Specialty Contractors: Electricians, plumbers, painters, and other specialized trades require liability coverage to protect against accidents or property damage on the job.
- Independent Contractors: Even if you work alone, having liability coverage ensures you’re financially protected in case of unexpected incidents.
- Subcontractors: Many general contractors require subcontractors to carry liability insurance to work on their projects.
TIS Insurance Services – Get Robust Coverage Solutionsfor Your Construction Company
Considerations
What types of contracting services do you provide?
How many projects do you work on annually?
What is your safety record, and what safety measures are in place?
Have you had any previous liability claims filed against your business?
Where are your projects located, and do they pose unique risks?
What level of coverage do you need to protect your assets fully?
Premium Basis
Business Size and Annual Revenue
Type of Contracting Work
Experience and Safety Record
Level of Coverage
Location and Geographic Risks
Level of Coverage Needed
Number of Employees
Why Contractor’s Liability Insurance?
Contractor’s Liability Insurance is a type of General Liability Insurance for individuals working as carpenters, plumbers, painters, or similar professions. This liability insurance is a custom-built policy that addresses a wide range of specific risks that come with these lines of work. A robust contractor insurance policy covers several types of coverage options that will safeguard your business from the financial pitfalls that come with lawsuits, lost income, accidents, and stolen or damaged tools.
For example, if you or one of your workers accidentally damage someone’s property while working on a project, this liability coverage solution will kick in and pay for the repairs.
Our Key Coverage
Here is a quick breakdown of whatContractor’s Liability Insurance covers:
General Liability
General Liability Insurance is the most essential aspect of Contractor’sLiability Insurance. It acts as your first line of defense against financial burdens arising from injuries or property damage sustained by members of the public during your projects. If a visitor trips on the uneven pavement at your worksite or a neighbor’s property gets damaged due to construction activities, General Liability Insurance can cover the legal and financial repercussions. This essential coverage shields your business from lawsuits and helps maintain positive relationships with the community.
Builder's Risk
Imagine a fire ravaging a half-built structure. The financial implications could be devastating. Builder’s risk insurance steps in during such unforeseen circumstances, providing coverage for the costs of replacing the unfinished building or damaged building materials. This important insurance ensures your project can resume with minimal financial setbacks, allowing you to focus on rebuilding and completing the project.
Installation Floater
Construction materials are often in transit, stored at temporary locations, or awaiting installation. These valuable resources are vulnerable to theft, damage, or loss during this period. Installation floater coverage acts as a safety net, providing financial protection for your materials throughout this critical phase of the project. This ensures your project runs smoothly without unexpected delays or financial setbacks caused by missing materials.
Completed Operations
Provides coverage for claims related to work performed after a project is completed. If your work results in damage or injury after completion, this coverage can help pay for the resulting expenses.
Products Liability
Protects against claims of injury or property damage caused by products you use or provide in your contracting services.
Contractual Liability
Covers liabilities you may assume under a contract, providing an extra layer of protection when working with clients.
This not only protects your employees but also promotes a safe working environment, fostering trust and loyalty within your workforce.
Auto/Fleet Coverage Keeping Your Business Moving
Construction projects often involve multiple vehicles and drivers. Auto/fleet insurance provides liability protection in case of accidents involving your company vehicles. Imagine a scenario where a company truck causes an accident – auto/fleet insurance would ensure your business is financially protected. It can also cover physical damage to your vehicles, ensuring your operations continue smoothly without interruptions caused by damaged or inoperable vehicles.
Tools and Equipment Coverage
Tools and Equipment Coverage protects the tools and machinery you use for contracting work, whether they are on the job site, in transit, or temporarily stored elsewhere. This coverage is essential for contractors, as it helps cover the cost of repairing or replacing stolen or damaged equipment. Without the right protection, replacing specialized tools can be costly and disrupt project timelines. Tools and Equipment Coverage ensures that your projects can continue smoothly, even in the event of unexpected losses or damages.
Workers' Compensation
Workers’ Compensation Insurance provides financial protection for medical expenses, rehabilitation costs, and lost wages if an employee is injured while working. For contractors, job sites can be hazardous, and injuries can happen despite the best safety measures. Workers’ Compensation not only ensures that injured employees receive the care they need but also protects your business from potential lawsuits arising from workplace injuries. It’s vital coverage for contractors to ensure employee well-being and maintain compliance with legal requirements.
Directors & Officers (D&O)
This safeguards your company’s leadership from lawsuits alleging mismanagement, breach of fiduciary duty, or other wrongful acts committed during their tenure.
Cyber Liability
Data breaches and cyberattacks are a growing threat. This coverage helps you manage the financial repercussions of such incidents, including data recovery, legal fees, and notification costs.
Crime
Employee dishonesty can devastate a business. Crime coverage protects you from financial losses due to employee theft, forgery, or embezzlement.
Contractor's Professional Liability (Errors & Omissions)
This safeguards your business from claims alleging negligence, misrepresentation, or faulty advice provided during your services.
Contractor's Pollution Liability
Unexpected spills or leaks can lead to environmental damage and hefty fines. This coverage helps you address the costs associated with cleaning up and remediating pollution incidents.
Project Loss
A single disastrous project can cripple your business. Project loss coverage offers a financial safety net in case a particular project results in significant losses.
Employment Practices Liability Insurance (EPLI)
Wrongful termination, discrimination, or harassment lawsuits can be costly. EPLI provides coverage for legal defense and settlements related to such employment-related claims.
Business Income / Loss of Income
This short-term policy helps you recover financially if an unexpected event forces you to temporarily suspend operations, ensuring you can continue meeting your business obligations.
Frequently Asked Questions (FAQs) About
Contractor’s Liability Insurance
Do I need construction liability insurance if I’m a small contractor?
Yes, even small contractors need construction liability insurance. It protects you from financial losses if someone gets injured, property is damaged, or a lawsuit is filed against your business during a project. Even a minor incident can result in expensive medical bills or legal fees that could cripple your business financially.
What does construction liability insurance cover?
Construction liability insurance typically covers three main areas:
Bodily Injury: This covers medical expenses and lost wages if someone (other than your employees) is injured on the job site due to your negligence.
Property Damage: This covers costs associated with repairing or replacing property damaged by your work or negligence (e.g. if you accidentally damage a client’s existing structure).
Legal Defense Costs: This covers your legal fees in case of a lawsuit, even if the lawsuit is ultimately unfounded.
What does Contractor's Liability Insurance cover?
Contractor’s Liability Insurance covers claims related to bodily injury, property damage, and personal injury that occur during the course of your work. It also includes legal defense costs if you are sued.
Who needs Contractor's Liability Insurance?
Any contractor, including general contractors, specialty contractors, independent contractors, and subcontractors, needs Contractor’s Liability Insurance to protect against the financial risks of accidents and damages.
How is the premium for Contractor's Liability Insurance determined?
The premium is based on factors such as business size, type of work, experience, location, and safety record.
Does Contractor's Liability Insurance cover subcontractors?
Yes, it can cover subcontractors, but it’s often recommended that subcontractors carry their own liability insurance as well.
What is Completed Operations coverage?
Completed Operations coverage provides protection for claims that arise after a project has been completed, such as damage or injury caused by your work after it is finished.
Why is Tools and Equipment Coverage important for contractors?
Tools and Equipment Coverage protects against the costs of repairing or replacing tools and machinery used for contracting work, ensuring that project timelines are not disrupted by unexpected losses.
Safeguard Your Business with TIS Today
Our insurance services go beyond the standard core coverage. We provide the flexibility to add supplemental options to create a truly comprehensive solution that is crafted to meet your specific needs.
By choosing TIS Insurance Services, you are gaining a partner who understands the construction industry and is dedicated to protecting your business with solid contractor liability insurance solutions.
