Texas contractor insurance
Texas is one of the leading states in terms of development and innovation. It is also ranked second as the healthiest economy in the United States. With the development and continuous improvement in different industries, how can businesses be protected?
If you are in the construction industry or any similar company, you need insurance to protect your business. It can help you secure your business against lawsuits and other financial responsibilities.
What is a Contractor?
A contractor is a representative who is responsible for coordinating and managing a construction project. Contractors work directly with architects and engineers. They are the ones who supervise and watch the construction site and the management of the supplies. In case of a problem, they also communicate and inform the vital information to the involved parties.
Given all the responsibilities that contractors have, they have the most significant risks in the project alone. With that in mind, an insurance policy can help them minimize their financial troubles. Another point to consider, some of the construction companies hire a contractor with enough and dependable insurance policy.
Contractor Insurance is the perfect business insurance for contractors. It can mitigate the enormous risks aligned with the work itself. All you need to do is shop for insurance to help you grow and protect your precious business.
What is Contractor Insurance?
Texas is one of the leading industries in contraction, making contractor insurance popular and necessary in the contraction industry. Contractor insurance helps your business against financial debts and any work-related accidents. In this process, companies should have a proper insurance policy that can adequately secure the business.
One of the primary roles of contractor insurance is protecting against lawsuits, property damage, and even accidents. With contractor insurance, you can also customize your policy to ensure that every coverage you have will contribute to the overall safety of your business and project.
Who Needs Contractor Insurance in Texas?
Texas contractor insurance is essential, especially for the independent tradesman, contractors, and subcontractors. It helps them secure their business and manage the potential risks. Here are the specific businesses that need contractors insurance:
- Carpenter
- Construction
- Electrician
- Painter
- Landscaper
- Heating and Air
- Handyman
Being insured gives you peace of mind, and it helps you be at ease and finishes the project without worrying about mishaps. With the increasing demands of the construction industry in Texas, Contractor Insurance is undoubtedly a must need in every sector.
What are the Coverages under Contractor Insurance Policy?
Here are the standard policies that general contractors have in their projects and must-have in every business.
Commercial General Liability Insurance
If you are a general contractor, you have different responsibilities. To protect yourself from liability claims that can happen at work, commercial general liability insurance is a must. It can cover bodily injury and even claims from property damage because of negligence during work. Another thing that this policy cover is the lawsuits against the company or court-ordered compensation and the expenses from legal fees.
Know that construction sites are prone to accidents, and as a contractor, you have all the responsibilities in the processes and management. For example, your worker can accidentally drop a hammer on a car or destroy some construction supplies. If these situations happen, your commercial liability insurance can help you financially to cover all the damages.
Professional Liability Insurance
Professional liability insurance helps you in case your workers did not do their work properly. For example, the waste and other materials are not properly disposed of and caused an accident. It will be a big problem and might cause financial liability on your part. With that process, professional liability can help you financially in the claims caused by these accidents.
There is also a high tendency that people can be exposed to hazardous chemicals and materials, which can lead to lawsuits. So, the best thing to do is anticipate what will happen and come up with possible solutions. Professional liability insurance helps you cover the problems that arise from negligence, errors, and miscalculations in work. It enables the contractors to from bearing the financial responsibility. It allows the contractors to pay for the damages caused and assist them during civil lawsuits.
Commercial Property Insurance
One of the essential properties a contractor must have is their equipment, tools, and supplies. It is their partner in completing their projects. Meaning it is the most vulnerable and needs to pay close attention to. With this, commercial property insurance is a must. It is a way to protect, repair, and replace your equipment, tools, and supplies from damages caused by theft, fire, and vandalism.
Texas contractor insurance with commercial property insurance helps your business from any damages that have been incurred during your business operations or projects.
Workers’ Compensation Insurance
No matter how careful you are in your work or how much you follow the safety protocols, you cannot avoid accidents. Workers’ compensation insurance can help you when your employees suffered from an accident or became ill because of work-related tasks. This insurance will help you cover the medical expenses and rehabilitation. It also allows you to cover the missed salary and funeral costs because of the injury or illness.
Workers’ compensation insurance is essential because you also hire subcontractors. You are protected in case a dispute and claim happen.
Commercial Auto Insurance
Vehicles are one of the essential aspects of the business. It is a way of transporting supplies, tools, equipment, and other materials needed for the project. Note that having vehicles also means exposure to different types of risks, like accidents or property damage. If this happens, your commercial auto insurance will help you cover the damages.
Commercial auto insurance also helps you in managing the legal cost incurred in an accident. They also help you in managing the financial demands of the involved individuals.
Business Owners Policy
It is a type of business insurance that combines general liability and commercial auto insurance. It is one of the popular insurance coverage in the market, especially for contractors.
Business Owners Policy assists you in case you need to cover your vehicle, tools, equipment, and materials.