3. Contractor Liability Insurance Shows You’re Reliable
From a risk management perspective, it’s common sense for a contractor to have insurance, but it’s also good business sense. For large commercial contracts, project managers will often ask for proof of insurance before making a hiring decision.
Having contractor insurance could be the difference between whether or not you secure a contract.
4. Your Subcontractors Need Coverage, Too
As a general contractor, you may hire subcontractors to perform specific tasks. By enforcing that your subcontractors have their own insurance coverage, you limit the liability to yourself in case their work results in injury or property damage.
Keep in mind; your policy coverage limit applies to all employees of your business, not each employee. One option to accommodate all of your employees is to increase your limit. However, hiring subcontractors with liability insurance ensures all parties have adequate coverage.
When it comes to protecting your contracting business, we’re here to help.