Best General Liability Insurance For Contractors

Do you want to learn about the best general liability insurance for contractors? Then keep reading this article for more understanding. 

As a contractor, you know unexpected things can happen. Maybe you misplaced a hammer that damaged a client’s property or it slipped and fell on the job. 

You are responsible for any injuries or property damage that occurs on your projects. This is why you need the best general liability insurance for any of your construction business. 

READ MORE: Best General Liability Insurance For Small Business

What Is General Liability Insurance? 

General liability insurance safeguards your business from financial losses caused by third-party bodily injury and property damage claims. 

This can cover the cost of legal fees, medical expenses and repairs if someone gets injured or property damaged when working. 

What Does General Liability Insurance Cover For Contractors?

The insurance covers the following: 

• Body Injury 

When someone gets injured while working at the job site, your insurance will assist with the payment for the medical expenses. 

• Property Damage 

When there is damage to someone’s property while working on a project, your insurance will help with the payment of repairs. 

• Personal And Advertising Injury 

This insurance covers you from claims of libel, slander and false advertising. 

Best General Insurance Liability Insurance For Contractors 

• Hiscox 

Hiscox is popular for its good policies catering for some specific needs of business. With a strong online presence, they offer an easy application process and competitive rates, to have a choice for numerous small and medium-sized enterprises.  

• Nationwide 

Nationwide gives detailed general liability coverage with the additional benefit of diverse business insurance products. 

Also, they are well known for flexibility in policies, to allow businesses to have coverage for their unique requirements. 

• Chubb

Chubb is a global insurance leader that gives numerous general liability coverage with a focus on risk management services. 

Moreover, their policies are features to address emerging risks in the environment of the business.  

• The Hartford 

Hartford is well known for last longing commitment to small businesses. They offer diverse insurance options along with excellent customer service and educational resources that will help businesses understand and manage risks effectively. 

• Progressive Business Insurance 

Progressive is exceptional among other insurance in that they have a friendly approach and competitive rates.  

Furthermore, their general liability insurance is designed to accept the needs of various businesses to make it an attractive option for startups and growing enterprises. 

READ MORE: Best General Liability Insurance for Contractors in 2024

How Much General Liability Do I Need?

The cost of general liability insurance you need depends on many factors like the size of your business, the kind of work you do, and your project size. A good rule of thumb is to begin with at least $1 million in coverage. 

How To Get This Insurance 

You can get general liability insurance from diverse insurers which are: 

• Traditional Insurance Companies 

These are top insurers that you know as they offer diverse coverage options but they can be more costly. 

• Captive Insurance Companies 

They are owned by a group of businesses that have similar risks. Also, it offers lower rates than traditional insurance companies but they may not be available. 

• Online Insurance Brokers 

These brokers will assist you to compare quotes from different insurers and find the best policy for your needs.  

Tips For Choosing a Liability Insurance Policy 

When selecting your general liability insurance policy, make sure you consider the following: 

• Ensure you have sufficient coverage to protect your business from financial losses. 
• You need to pay the deductible out of pocket before you begin your insurance. 
• However, make sure you understand the fine print on what your policy doesn’t cover. 
• Furthermore, you need to understand how to file a claim when you need it. 

General liability insurance is an important investment for any construction business. When selecting the right policy, you can guard your business from financial losses and give yourself peace of mind. 

What It Doesn’t Cover?

There are many types of claims that this insurance for contractors won’t cover, which are: 

• Damage of property to the contractor’s equipment, tools or business location.
• When the contractor’s work vehicles are involved in an auto accident when the contractor is driving or his employees. 
• While doing the job maybe you for ill or get injured.
• When there is an error or omission by the employees or contractors, like making construction mistakes or not meeting the deadline. 

In addition, there are gaps that general liability insurance can’t fill, as contractors who wish to cover diverse kinds of scenarios can purchase additional business insurance policies to give coverage for these types of claims. 

What Business Insurance Should Contractors Have? 

Apart from general liability insurance, contractors should consider having business insurance policies. This depends on their business structure and maybe they have employees. It can include commercial auto and property insurance, professional liability, workers’ compensation and business income insurance. 

READ MORE: How Much Is General Liability Insurance For A Small Business

Conclusion 

To have the best general liability insurance is an important step for businesses that want to protect their financial well-being and reputation. When you understand the key coverage offered explore reputable providers such as Hiscox, Nationwide, Chubb, The Hartford and progressive businesses that tailor their insurance policies to meet your needs.