If you’re a contractor, your business might be slightly different from others. Contracting, whether it involves building property or preparing legal documents, means that you undertake a task at the request of another client.
A contract guarantees a client that you will provide a service in a certain amount of time, at a certain price, and to certain specifications. However, a variety of circumstances could impact your ability to complete the job.
Contractors pose risks to contracts and to their clients. Therefore, it is important that you safeguard your liabilities toward clients with insurance. Insurance can help protect you and employees who work under you to complete the contract. By default, liability coverage can help you provide a better service to your clients.
Professional Liability Coverage
Contractors can pose risks by providing services. If you are a construction contractor, your clients might expect you to design and execute a new project using proper professional safeguards.
If you give bad professional advice, or use practices that cause problems, you pose a risk. Your proposed blueprints may fail, or certain aspects of construction may fail. These may cause cost risks to the client. This insurance coverage can help you cover losses that inadvertent mistakes may cause.
General Liability Coverage
You always face a chance that your contracting work could cause damage. Your actions or your team’s work may cause a client or other party to get injured or hurt in the course of work.
If you are a construction worker, your site poses injury risks to clients. Your general liability coverage can help you compensate clients for injury or financial loss because of accidents on the contracting property.
Surety bonds are similar to liability coverage. They are essentially a guarantee that you will complete your work. If you don’t, the bond ensures that you compensate the client. Many contracting clients request bond coverage before they make a contract.
If you’re building a home, material shortages may impede your ability to complete the job. Bonds stipulate a certain amount of compensation in case you cannot complete your work as specified by the contract. A bond requires that you will provide a financial sum in case you can’t complete your contract. Your financial compensation is an important protector for clients.
We’ve got you covered. Insurance Agent2000 can help you get the Concord contractors insurance you need for your contracting business. Call us at (925) 827-0510 for more information.