In the not-so-distant past, the housing market was booming and contractors were better-equipped to handle crises both large and small. In a robust economy, a company may replace fleet vehicles out of its profits, or write off a loss because they have spare equipment. However, in a recession, profits and cash reserves have dropped, and a loss or a lawsuit could wipe out a business entirely. Having business insurance doesn’t have to be a drain on a construction company’s profits; to find the best rates, contractors should visit a website like Nepainsurance.com.
Selecting Business Insurance for General Contractors
Different companies need customized insurance options for both personal and business needs. The insurance a company needs depends largely upon the types of jobs it handles, the way the business operates, and upon the structure of the company. For instance, every contractor needs property damage insurance, workers’ compensation coverage and commercial vehicle coverage.
Key Person Insurance
Not every company needs key person insurance, but it’s a good option for construction partnerships because it can help businesses carry on if one partner is hurt and can no longer work. There are numerous types of speciality insurance for contractors, and an experienced agent can tell companies how to get the best value for their premiums.
General Liability Coverage
With the uncertainties inherent in the running of a construction business, general liability coverage is something a construction company can’t do without. Accidents happen between customers and workers, and they can happen anywhere, at any time. Liability coverage can pay court costs, medical bills and damages, and it can protect against unexpected situations.
Professional Liability Insurance
Any business that provides recommendations or opinions, offers a service or provides design solutions is vulnerable to a professional liability suit. Professional liability insurance helps businesses defend themselves in court, no matter who’s at fault, and it pays court costs, legal fees and settlements.
No business owner wants to think they’ll ever face disaster, and it can be easy to delay buying commercial insurance coverage. However, even the most careful contractors get into accidents, and a claim will happen eventually. Therefore, it makes sense to take the time to look for customized insurance options for both personal and business needs, and it’s wise to compare prices to get the best rate.
Watch our Video here!