You may need builders risk insurance in addition to contractors insurance if you’re in the construction business. Both of these coverages would help protect you against many potential losses.
Uniamerica Insurance is with you step by step of the way, read on to find out more.
So What is Builders Risk Insurance?
Builders risk insurance covers contractor’s equipment, materials, and property related to the construction of a building. Coverage continues until the project is complete and the owner signs off. It can provide protection against:
- Mechanical breakdown
- Water damage
- Government action
What is Contractors Insurance?
Contractors general liability insurance is essential for anyone in the construction industry. It provides protection from liability for bodily injuries or property damage. It does not cover your own property or equipment but it protects you in case of an accident and any liability that may arise as a result, including legal fees to defend yourself in court, if necessary. For example, contractors insurance covers:
- You or your employees cause injury or property damage to others
- Others injured on your property
- Damaged rented spaces
- You in case you are sued for libel, slander, copyright infringement, or false advertising
Contractors Insurance & Builders Risk Insurance: Which Policy Covers What?
General contractors, developers, and property owners purchase contractors general liability insurance to protect building materials and equipment and structures while they are being built. You may be required to carry this coverage as a safeguard, as general contractors are often held liable for work their subcontractors perform.
Generally, builders risk insurance covers damage related to external events – not related to the construction work. However, policies vary.
What Insurance Coverage Do You Really Need As A Contractor?
To figure out the best coverage for your particular situation, contact an agent at Uniamerica Insurance.
For more ideas, read our recent article “How to Build an Emergency Fund.”
Let Uniamericainc.com help you with insurance today!
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