As a contractor you need to have liability insurance for your business. Let’s go over the information you need to know so you can make an informed choice for the best insurance for you.
Liability insurance is put in place to protect your assets. In the case of an issue, you don’t want to be paying out of pocket for legal fees or anything else.
If you have an injury occur or a customer is unhappy, they can file a lawsuit against you and may win that suite. Another way you can be sued is if someone thinks that you advertised falsely about what you do in your business or how you can help someone.
General liability insurance covers the costs of attorneys, court filing fees, and settlements.
The cost of liability insurance depends on your business type, the way it operates and its location. It is also based o the number of employees you have and any insurance claims that have previously been filed against your business.
If you operate heavy machinery or are located in a dangerous area, you are considered a high risk business as well and the premium for your insurance will be higher.
Another factor when pricing your insurance is to take into account how much coverage you will need.
Be sure that you separate your business insurance and your personal insurance.
Know the AM Best and Standard & Poor’s ratings for prospective insurance you are considering. You should require they have a B rating or above.
Always read the fine print also and make sure you are aware of not only what is covered, but what isn’t covered. Here at Contractor’s Insurance Agency, we are happy to help you sort through all the information, compare your options and choose the one that is best for you. Just reach out to us!