Are you looking for contractor coverage? These policies vary in coverage and policy levels, so it is important to choose the best.
The purpose of contractor insurance is protection for your clients, employees, clients, and yourself against high costs due to accidents. Consider these questions when looking for the right insurance policy.
These are the top three questions that you should ask before you invest in or purchase contractor insurance.
1. DOES IT PROVIDE DAMAGES INSURANCE?
Before purchasing contractor coverage, you need to know if the policy will cover damages. Even the most meticulous professionals are vulnerable to accidental events.
Even though general liability doesn’t have to be a requirement in most states, it is a smart choice for any company. Any employee who causes damage to customer property during the course of their job will be held responsible.
General liability coverage on the other hand is meant to cover legal defense costs and any damages that are caused by a third person. Even if an accident doesn’t occur, your business can still benefit from this coverage and show potential clients your professionalism. There is a greater chance that clients will trust you because they know you are covered.
proofsofinsurance show that you are concerned about both your clients and yourself. To learn more about California contractors’ insurance needs, make sure to visit this site. Customers also desire proof of licenses as this further proves contractors reliability and reputation. By passing an exam, and then continuing with credits each year, you can earn your license from the state boards.
Licenses show that you keep up to date on industry changes and best practices. You need to be updated on industry trends as they change quickly. Your license should be applicable for the types of clients’ projects.
2. WORKING ALONE – DO YOU NEED WORKERS’ COMPENSATIONS?
Before you purchase contractor insurance, it is important to determine whether you will need workers’ comp if employed alone. Workers’ compensation insurance can be compulsory in certain states. California law makes it mandatory for employers to purchase workers’ compensation insurance even if there is only one employee.
California contractors will only be able to reactivate or renew their licenses if they can provide a valid certificate proving workers’ comp coverage. Even if working independently, you might still need to provide this certificate.
California State Licensing Board obligates roof licensees, regardless of whether or not they have employees, to have valid selfinsurance or a workers’ compensation certificate.
For roofers and electricians, who work independently, it is important to have coverage in place for medical expenses. It is vital that you protect your business from the worst.
Imagine the situation of being forced to pay your medical bills after an injury that leaves you permanently unable or unable to work. Paying medical bills for employees who get hurt inadvertently is also possible.
3. WHAT KIND CONTRACTOR INSURANCE ARE YOU REQUIRED FOR YOUR WORK TRUCK?
Before purchasing contractor insurance, you should first ask yourself what type of policy you need for your truck.
All vehicles used for contracting work, including transporting equipment, employees and tools, require commercial auto coverage. It is important to note that personal auto policies do NOT cover vehicles used for contracting.
Many businesses use vehicles to transport heavy and expensive equipment. Some vehicles are modified for the specific needs of contractors. The equipment is also part of their vehicles.
Commercial coverage is preferred over personal auto coverage if you have a variety of vehicles owned by your business.