General Liability Insurance for Contractors

General Liability Insurance for Contractors in California

Contractors, whether carpenters, interior fitters, roofers, welders, or general contractors, are crucial players in California’s economy. Nonetheless, they encounter numerous risks in their line of work.

Even so, a contractor can manage the exposure to unforeseen events by acquiring general liability insurance for contractors. Contractors’ liability coverage is uniquely designed to protect players in the industry from claims caused by bodily injury and property damage.

A contractor who buys general liability insurance can continue operations without worrying about what would happen in an unforeseen event. 

Consider consulting a trusted general liability insurance provider on how to shield your contractor business from external threats.

Types of Businesses That Require General Liability Insurance for Contractors

Businesses in the contractor industry that require this type of general liability insurance include:

1. Trade contractors, including electricians, plumbers, roofers, welders, painters, and brick masons.
2. General contractors, drywall contractors, paving contractors, asphalt contractors, and home addition contractors
3. Repair contractors, tree service businesses, management contractors, principal contractors, and design and build contractors.

Most clients will require proof of general liability insurance (Certificate of Liability Insurance) before agreeing to work with you.

Risks Covered By General Liability Insurance for Contractors

The role of general liability insurance is to offer protection from claims arising from third-party bodily injury or property damage.

Here’s a breakdown of the risks covered by general liability insurance:

Property Damage

Contractor-related accidents can cause extensive property damage to your customers and third parties. For instance, a ladder may trip, resulting in extensive damage to a customer’s drywall installation.

General liability insurance can cover replacing or repairing the drywall installation. It can also cover the lawsuit cost if the client takes you to court for the damaged property.

Product Liability

Product liability coverage shields a contractor against loss or claims related to your finished work. For instance, a poorly done room addition causes water damage in other parts of the property. 

Consequently, the household develops respiratory problems.

The coverage will help pay the cost of fixing the water damage, medical expenses, and legal fees if the client decides to sue you.

Personal And Advertising Injury

It’s possible to accidentally copy your competitor’s slogan or mimic their advertising campaign. The competitor will likely sue you for causing advertising injuries through copyright infringement or defamation.

Fortunately, personal and advertising coverage can help cover the cost and claims associated with advertising injury. 

Other areas covered by general liability insurance include:

1. Bodily Injury coverage
2. Data breach coverage
3. Equipment coverage

Try Our General Liability Insurance Service for Contractors in Northridge, CA

If a customer trips over a toolbox and gets injured while you’re doing electrical or air conditioning repairs, you could be blamed for the injury.

You may also be called upon to pay medical expenses, legal fees, and damages if the injured victim files a court case.

If uninsured, the financial implications of an injury can drive you out of business, highlighting the need for general liability insurance coverage.

At Panorama Insurance Agency Northridge, CA, we’ve been in the business since 1973, highlighting our experience and vast knowledge in contractor insurance.

Contact us online or call us at 818.797.9896 to get a free quote.