How important is General Liability Insurance for Contractors in 2020? Industry experts agree that this is one of the most essential forms of protection your company needs. But why do you need it? And what else do you need?

Why do you need General Liability Insurance for Contractors?

The purpose of liability coverage is to protect your company and assets if someone sues you for negligence.  This means a third party or client claims that your actions or negligence resulted in them suffering an injury or damage to their property.  They are seeking financial compensation for the loss they have suffered. As such, this coverage will provide the money required for your legal defence as well as the settlement costs. Isn’t this a sound of relief rather than you spending for costly lawsuits?

General Liability Insurance includes these damages


General Liability covers these types of damages:

• Property damage
• Bodily injury
• Damage to a property you rent
• Advertising or Marketing Damages
• Reputational damages
• Medical payments

Why do you need General Liability Insurance for Contractors?

Some of the reasons why you need General Liability Insurance are:

• It is mandatory.  Most states require that you have this coverage. As such, many clients will insist on seeing proof you have it before you can begin on their project.
• You’ll protect your business. The costs of litigation are very high. As a result, the settlement amounts in liability cases can run into millions.
• Accidents happen.  As such, someone can still sue you, even when you take all the necessary precautions and an incident occurs. Thus, Liability coverage covers you for this risk.

What else do you need?

There are many risks that you face as a company involved in construction. Consequently, liability is only one of the common risks. Let’s consider your overall insurance needs. Have a read on the following coverages:

• Professional Liability.  This is also known as Errors and Omissions Insurance. Hence, it covers you for the mistakes you make in your professional services.
• Workers Compensation.  You need to have this insurance as an employer. Thus, it covers your employees when hurt in the course of their work. Moreover, General Liability Insurance excludes injuries to employees.
• Commercial Auto. This insurance is for the vehicles for in your business, whether driven by yourself or employees.
• Builder’s Risk Insurance.  Also known as Course of Construction Insurance, this is property coverage.  It protects your property, materials and equipment from unforeseen events. It meets your needs but in general covers losses from fire, theft, vandalism and weather events.

Where to get your General Liability Insurance for Contractors

At Contractors Liability we can offer you more than General Liability insurance. We will tailor a solution for your needs, starting with customized liability coverage.  This means you don’t pay for things that you don’t need.  We can also provide your unique business with the other coverage it needs. Contractors Liability works with many A-class carriers. This means we can give you the right coverage at the best rates.  Call Contractors Liability on 866-225-1950.