Contractors Insurance in Eastern Ontario
If you are a contractor it is vital to have the right kind of insurance. This applies to small contractors as well as large ones. Whether you run a roofing service, home improvement service, or landscaping company, you carry many of the same risks as large companies with hundreds of employees and multi-million dollar projects. Take the case of Quinton P for example.
Quinton worked as a plumber for many years and dreamed of running his own local plumbing service. He finally made this dream come true, not long ago. Quinton had a way with customers and could easily establish a rapport. In addition, he did excellent work. In fact, the demand for his services became so great that he soon expanded and hired several workers.
Recently, Quinton was approached by a major contractor about installing plumbing in a new condo under construction. After checking out the job, Quinton agreed and he also checked with his insurance broker about Contractor Insurance. Quinton knew that his risk factors would change considerably when he took on this new job, and his insurance professional helped him with the updates.
Everything went fine and it didn't take Quinton and his crew very long to complete the plumbing job. However, a few weeks later he got a call from the condo builder. A plumbing connection behind a wall came loose and flooded the entire condo, causing an enormous amount of damage. Thankfully, Quinton had taken out professional liability insurance and it covered the damages.
So many local business owners like Quinton believe that general liability insurance will cover problems like errors and omissions. However, when Quinton and his insurance professional reviewed his needs, they discussed matters like Erros & Omissions coverage, builders risk insurance, and inland marine coverage. Thankfully, he heeded his insurance specialist's advice and took out the errors and omission coverage. The decision saved his business and this is just one reason to go with an insurance specialist.
What is Contractors Insurance?
Insurance for contractors is designed to protect you (as a contractor) against all kinds of problems that can happen. You face many kinds of risks each day in this business, and the more risks you have covered, the better chances you have of avoiding legal hassles and financial disasters.
Who Needs Contractor Insurance?
Any business in Ontario needs to be fully insured. You might run a large construction company or perhaps a local plumbing service. Here are some of the businesses that need this insurance.
- HVAC companies
- Handyman services
- Roofing contractors
- Painting contractors
- Siding contractors
- Excavating companies
- Electrical and plumbing contractors
- Commercial builders
Can I Take Out a Standard Insurance Policy?
A standard policy really doesn't exist, because it depends on the nature of your business and the risks you are exposed to. Here are some coverage items that most contractors should consider:
- General Liability Insurance - covers damage you may accidentally inflict on other's property. Also covers injuries that may result from you or your employees in the course of business. For example, a tree trimmer may accidentally cause a large tree to fall on a house, car, or person.
- Equipment coverage - protects your equipment from theft or vandalism while it is at the job site.
- Vehicle insurance - you must carry minimum liability coverage and you also may want to take out other coverage options.
There are several important options that you may need to consider. Your insurance specialist may talk to you about these options:
- Builders risk insurance (course of construction) - if you are working on a project and it becomes damaged before completion, this coverage will pay. This is especially important for contractors working on buildings and construction projects.
- Bid bonds - suppose you bid on a construction job but cannot perform the work. This is the coverage option you need.
- Performance bonds - you might be half-way done with a job and you cannot finish it. A performance bond takes care of this issue.
- Contractor's pollution - this is liability protection in case your work causes problems that pollute or poison the environment.
- Wrap-up liability - mostly for large contractors. Wrap-up coverage will take care of most of your needs, including subcontractors. Wrap-up policies may also include vehicle insurance, property insurance, and an umbrella liability policy.
Why You Need a Contractors Insurance Specialist
Your needs for insurance may be very different than other contractors in your business, and it's hard to assess all the risk factors you may encounter on a daily basis. That is why so many contractors rely on Upper Canada Commercial Insurance Group.
We understand Contractor Insurance needs. We belong to both the Eastern Ontario Construction Association and Home Builders Associations, and our insurance consultants have decades of experience in construction insurance. If you need bonds, we have people with experience in these matters. This includes Hydro One Bonds, CCDC, and PWGCS.
Upper Canada Commercial Insurance Group has three locations to serve you in Ontario, and we are well equipped to take care of local, regional, nationwide, and even international insurance needs. We can discuss issues like builders risk insurance, general liability, or any other insurance questions. We are there to serve your needs with expert and experienced professionals. We are an independent insurance broker and no other insurance broker in Upper Canada has access to all the different insurance companies that Upper Canada Commercial Insurance Group has. This ensures that you get affordable rates and the very best policy for your needs.
Click here to learn about the Contractor Protect Insurance Program