Contractors face a range of risks in their daily operations, from injuries to workers and third-party property damage to legal disputes with clients.
That’s why it’s essential for contractors to have general liability insurance.
In this article, we’ll discuss the best general liability insurance for contractors, including what to look for in a policy and some of the top insurance providers for contractors.
What is General Liability Insurance for Contractors?
General liability insurance for contractors is a policy that provides coverage for third-party claims of bodily injury, property damage, and advertising injury.
This type of insurance can protect contractors from costly legal fees, settlements, and judgments that may result from accidents or incidents that occur on the job.
What to Look for in a General Liability Insurance Policy for Contractors
When shopping for general liability insurance for contractors, there are several key factors to consider. Here are a few things to look for in a policy:
Limits of Liability: The limits of liability on a policy refer to the maximum amount the insurance company will pay out for claims.
Contractors should make sure they have adequate coverage limits to protect their business in the event of a significant claim.
Coverage Exclusions: Review the policy exclusions to make sure you understand what isn’t covered. Some policies may exclude certain types of work, such as roofing or asbestos removal, for example.
Deductibles: The deductible is the amount the contractor must pay out of pocket before the insurance company will pay out on a claim. Make sure you choose a deductible that you can afford in the event of a claim.
Premiums: The premium is the cost of the insurance policy. Contractors should compare quotes from multiple insurance providers to find the best coverage at a price they can afford.
Top General Liability Insurance Providers for Contractors
There are many insurance providers that offer general liability insurance for contractors. Here are a few of the top providers to consider:
Hiscox: Hiscox offers customized insurance policies for small businesses, including general liability insurance for contractors.
Their policies can provide coverage for up to $1 million per occurrence and $2 million in aggregate.
Nationwide: Nationwide offers general liability insurance for contractors with coverage limits up to $2 million per occurrence and $4 million in aggregate.
They also offer additional coverage options, such as equipment breakdown coverage.
Progressive: Progressive offers general liability insurance for contractors with coverage limits up to $1 million per occurrence and $2 million in aggregate.
They also offer additional coverage options, such as inland marine coverage for tools and equipment.
Travelers: Travelers offers general liability insurance for contractors with coverage limits up to $1 million per occurrence and $2 million in aggregate.
They also offer additional coverage options, such as professional liability insurance.
Final Words
In conclusion, general liability insurance is a crucial investment for contractors. When shopping for a policy, contractors should consider factors such as limits of liability, coverage exclusions, deductibles, and premiums.
By working with a reputable insurance provider and choosing a policy that meets their specific needs, contractors can protect their business from the financial risks associated with accidents, injuries, and legal disputes.