Builders insurance or contractors insurance is a type of insurance product that protects a contractor from paying from out-of-pocket any claims to damages related to a construction project.
Builders insurance has two types of coverage: Protection of the property and its contents, and claims of damage by third parties and their interest that arise from the construction project.
Tradesman saver suggests that builder’s insurance isn’t legally required, however, it is a must for any builder doing active construction work.
If you are a contractor, you absolutely need to have this type of coverage in place. Definitely, paying for premiums is cheaper than paying for damages from the company’s coffers.
If you search for contractors insurance online, you will see that here are many insurance companies providing more or less the same thing. How do you choose which company to get coverage from?
From our perspective, insurance is all about getting the right amount of insurance at the most reasonable price. Reasonable may not be cheap. In fact, it can even be expensive.
However, there’s a big difference between it and paying for an insurance plan that is cheap but doesn’t give you all the coverage you need.
Before you sign up for any insurance plan, make sure to compare the products of at least three insurers. You might want to check and use insurance quotes websites to make your life easier.
Aside from making sure that all the items that need insurance are covered, you also need to make sure that there is adequate insurance for each.
Heavy equipment needs to be covered for full repairs while they are being used for projects and so you need to make sure the insurance amount for repairs is over a thousand dollars.
As you can see from above, choosing insurance is not rocket science.