No one can deny that accidents can and do happen on the job, and when you�re a contractor running a business these accidents seem to happen more often. While working on a homeowner�s electrical wiring, you and your workers may accidentally cause a fire resulting in thousands of dollars in damages. In addition to this, maybe one of your workers accidentally injures themselves during the fire. Who�s going to pay to cover these damages? Without construction insurance insurance that person may end up being you!
Contractors Who Are Required To Have Insurance
Whether you�re the owner of a general contractors service or you�re a subcontractor you�ll likely be required to carry some type of insurance for your business. In fact, many cities around the country actually require all contractors to have coverage before they�re allowed to work on a project.
In many cases, a license or permit must be issued in order for a project to begin. Your business won�t be able to receive these documents until you provide proof of insurance. If you proceed with a project without insurance or a permit, you�re breaking the law and will likely be subjected to various fines.
Why Having Insurance Is So Important
Aside from it being required by law in most cities, having insurance provides a number of other benefits. For instance, with insurance, more clients may view your business as being more reliable and professional. Many contractors prefer not having insurance so that they can pass the savings down to their clients. However, not having insurance could be scaring your clients away. If an accident were to happen on the job and you didn�t have insurance, the client may be left holding the bag.
With contractors insurance you won�t have to worry about seeing your workers in court either. Why? Contractors operating without workers compensation insurance are at risk of getting sued. If one of your workers injures themselves, they might come after your business in order to pay for the damages they've sustained. However, if you had workers compensation, your insurance would cover medical bills, lost wages, and other things related to a worker�s on-the-job injuries. Look at this site to find out more details about protecting your workers.
As you can see, general contractors insurance is very important and works to benefit you, your workers, and your business. Make sure that you�re aware of the insurance and permit laws in your city before approaching a project. Also, remember that your business could see more clients with the help of these additional resources, and that your business will be protected in the event one of your workers is injured.