Trying to find the basic insurance policies you need to run your small business can be a bit like finding a needle in a haystack. Companies may try to sell you a thousand policies at once or focus entirely on one specific coverage but, there are very few basic insurance breakdowns out there. That’s why we decided to put together this list of HVAC contractor policies that you can use to establish a strong insurance foundation.
HVAC Contractor Insurance – The 3 Basic Policies Every HVAC Contractor Needs
1. Contractors General Liability Insurance
General liability insurance is an essential asset for any small business owner (especially if you own a contracting business). In this industry there are more than a handful of ways for you to lose quite a large sum of money in a very short period of time. General liability insurance is designed to reduce that peril. Defined as an insurance policy that offers protection against third-party claims of property damage, injury or bodily harm, loss of life or limb, or negligence, general liability insurance has the stopping power you need to protect your business from lawsuit-induced financial loss. It is also required by law in most states which is why we would consider this the most important HVAC contractor insurance policy on this list.
2. Contractors Workers Compensation Insurance
Well, workers compensation insurance may give general liability a run for its’ money (at least in terms of importance). Like the aforementioned policy, workers comp is required by law in most states (except for Texas) making it an essential component of HVAC contractor insurance. It is designed to cover everything from injury or loss of limb, repetitive motion injuries, medical treatment and lost wages to death and emphysema. Needless to say it covers a lot (a lot more than we can cover in this post), so if you would like more information, please check out our page on workers compensation.
3. Commercial Auto and Truck Insurance
Commercial auto and truck insurance might not have the same legal requirements as general liability insurance or workers comp but, it’s still a necessary piece of HVAC contractor insurance. If you use a vehicle to transport goods, people or perform other business related tasks then you may want to consider acquiring this policy. It will not only protect you (the driver) but the goods and employees you are transporting. Two things that your personal policy will not cover.