If you take money and execute a contract, you are opening your business entity up to liability. If you are negligent and legally required to pay damages, even if your subcontractors are the ones who caused the damage, you are still required to make the claimant whole by satisfying the terms of the judgment. Don't think of insurance as something that is required, and I don't believe it should be, but as a thick massive wall of $1,000,000 between you and your assets that costs pennies per $ of revenue. Financially competent customers will not deal with you if you cannot 1) provide them a certificate of insurance, and 2) name them as additional insureds under an ISO (or similar) general liability policy. Talk to an independent agent who will represent YOUR interests.
The term 'excess' insurance is usually for liability coverage. An excess liability policy is also commonly referred to as an 'umbrella' policy because it offers additional coverage over other liability coverages. In the case of a subcontractors insurance, it would be a policy which would extend higher limits than the base policy on general liability and auto liability.
Yes, you are required to have liability insurance if you wish to open, and have licensed, a small construction business.
Condos and apartments in California are high risk construction projects and the construction defect statute of limitations of work like this done in California is 10 years. We frequently see on site liability claims and construction defect claims for this type of work in California. New condos or apartments require a WRAP insurance policy in order to be covered, remodel work can be covered by a normal construction liability policy. Make sure you get certs and signed subcontracts from all your subcontractors so their liability flow to them not you.
Some insurance companies that offer construction liability insurance include Goodman Insurance and Progressive. You can learn more about these companies and their insurance plans at their official websites.
F. N. Eaglestone has written: 'Insurance for the construction industry' -- subject(s): Business Insurance, Construction industry, Contractors, Insurance, Insurance requirements, Insurance, Business, Insurance, Liability, Liability Insurance
Well it depends on the company providing the policy. Most will calculate the premium based on your direct payroll and they could also add in payroll for your subcontractors. If you don't want to pick up the premium charge for your subcontractors you will have to show the insurance company that the subs carry their own liability insurance policy. Hope this helps. By the way NY is a difficult state to even find reasonable liability insurance for general contractors.
Contractors general liability insurance is based on one of two things, total receipts or payroll and cost of subcontractors. Contractors general liability insurance covers a company if their employees get hurt on the job or cause damage to a property while working.
Yes. When self employed. Since an architect draws plans for construction, he/she carries a great deal of responsibility in regards to post construction situations. If the architect draws plans for a building, that later collapses, professional liability may provide protection for the suit.
Liability insurance covers third party lawsuits resulting from a contractors operations. This includes parties injured by faulty construction and also property damage resulting from faulty construction. Liability insurance DOES NOT cover the contractors property that is "their work" which needs to be covered by builders risk insurance. Construction insurance policies are complex so make sure you work with a construction insurance broker to get quotes and understand what you are buying. Policies can be written to exclude types of work, certain projects, certain types of claims, and prior work performed.
Very local answer from a former owner builder. I was advised to take out general public liability insurance, construction insurance and with all contractors who entered and worked on the site, I demanded they produce their own valid liability insurance documents. If I employed a labourer I needed work cover (compensation) insurance.
Commercial Liability Insurance is a must when you own a construction business. I would suggest you use Boggus Insurance Company. They are one of top leaders in the field.
Construction liability insurance costs depend on exactly what in your construction business you want to be protected against. You can choose policies that cover every aspect of building and which cost more depending on the actual cost of your building project. You can also opt for more restricted policies which provide liability insurance on certain portions of your building projects. Most major insurance carriers offer liability insurance, and you may first want to start by calling the carriers that are listed in the yellow pages of your phone book. If they do not carry the type of liability insurance you need, they can often refer you to a company that has just what you need.