The type and amount of insurance coverage general contractors should have will vary. Several types of commercial insurance coverage are typically available for contractors. Coverages may include:
General liability insurance—General liability insurance may provide coverage for property damage or injuries to third parties. It may help compensate them for their losses if your business is held legally responsible, and it may help cover associated legal fees.
Commercial property insurance—If your company’s property (e.g., your building) is damaged by covered perils such as fires or storms, property insurance may compensate for those losses.
Contractor’s tools and equipment insurance—This coverage may protect your business’s movable tools and equipment. It may provide repair or replacement costs if they are damaged, lost or stolen.
Workers’ compensation—Workers’ compensation may provide wage replacement or payments for medical expenses to an employee after an on-the-job injury.
Builder’s risk insurance—Builder’s risk insurance may provide coverage while a project is in progress. It may provide compensation if the building under construction, materials or supplies are damaged by a covered peril (e.g., fire).
Commercial auto insurance—If your business owns, leases or operates vehicles, commercial auto insurance may provide coverage if they are damaged or in an accident.
Pollution liability insurance—Pollution liability insurance may provide coverage if your business is responsible for releasing a pollutant that caused a third party’s property damage or injury or requires cleanup.
Umbrella insurance—Umbrella insurance may help fill in the financial gap if a liability claim exceeds the limits of your other liability policies.
Additional policies and endorsements may be available. Our agents can provide more information regarding options, limits and exclusions.