Don't do it, unless you know and absolutely trust the person. A good reputable contractor will be licensed and insured. He will also not be offended if you ask him to provide documentation. You need to protect your self. Saving a few bucks is not worth putting your life and potentially your financial future at risk by hiring a shady contractor.
yes
no
What are the Underwriting guideline's for general liability insurance when hiring employee's and considering their Motor Vehicle Reports?
It depends if the builder's risk policy is just for property or for property and liability. You can have a builder's risk policy, which includes general liability. If the insured is owner of the building, the general liability exposure is the cost of the project and will classes under subcontractor.
The company who bided on the job is who determines if they are hiring outside their company. If they do this is generally called sub contracting.
No, there is no legal requirement at the time of this answer. There is however a requirement for registration with the state of Texas. Having General Liability Insurance though is the first sign that you are hiring a responsible and perhaps reputable Contractor.
General liability covers Public and Producs Liability, therefore by having General Liability cover, public liability is covered also.
This is not as simple a question as it may seem. Subcontractors generally carry their own liability insurance. The General Contractor should verify that the sub contractors insurance either matches or exceeds their own policy limits as this is part of the contract terms for almost every general liability policy. In effect if you let an uninsured subcontractor work on your job, unless you endorse your own policy to cover the subcontractor and pay the additional premium, their would be no coverage under the General Contractors insurance policy for liabilities of the Subcontractor. Basically if you get this wrong, the General contractor will be on the hook and out of pocket for all the subs damages with no coverage for it. If you want the subcontractors covered under the General Contractors insurance policy it can certainly be done but will be significantly more expensive as you would be asking to insure a third party''s work.
Do you mean a contractor? Normally a contractor will hire a subcontractor to perform a portion of the entire scope of work. An example is that a general contractor will hire an electrician to install the wiring in a house.
Get StartedA Subcontractor Agreement is an agreement between a general contractor (the "General Contractor") and another party who has subcontracted to perform work and services for the General Contractor (the "Subcontractor"). The General Contractor is the party who will contract directly with the owner of the property on which the Subcontractor will be working. Frequently, the General Contractor has portions of the larger project that the General Contractor prefers not to do. Therefore, the General Contractor contracts those portions out to another party, the Subcontractor.If it is available, the Subcontractor may wish to review the Original Contract between the Owner and the General Contractor to be sure that there are no conflicting terms between it and the anticipated Subcontractor Agreement.This agreement allows the parties to describe which services and materials the Subcontractor will provide, specify the price for the work, and assign various rights and liabilities between the parties. Important provisions regarding indemnification, insurance, change orders, unforeseen conditions, defaults, the nature of the parties' relationship and miscellaneous concerns are also included.This agreement should be signed by both parties and becomes effective as of the date inserted at the beginning of the agreement.
So they can work as a general contractor and not have to work for someone else.
Not likely. There is no privity of contract between the homeowner and the subcontractor. The homeowner had an agreement with the general contractor, and that's the only person they have a duty to pay. The subcontractor can only pursue payment from the general contractor - to put a lien on the home would be to punish an innocent party - the homeowner. This is between the subcontractor and the general contractor, and there's no reason to bring the homeowner into this, since the homeowner doesn't owe the subcontractor anything.