A slip, a fall, one misstep on the ladder. That’s all it takes. All it takes for one lawsuit to rob you of all of your earnings and efforts to get your small construction business off the ground. How? Because when someone is visiting your work site (or is on your work site) and they end up injured they can hold you liable for their injuries. And all of those medical bills can pile up fast. Luckily, there is a way to prevent litigation and other repercussions from accidents that may occur on your work site and it comes in the form of commercial general liability insurance. Here’s what you need to know.
Commercial General Liability Insurance – Who Needs It?
The short answer is… pretty much everyone. Commercial general liability is required by law in most states and, when it’s not, it’s typically included in the contractors’ contract. Why the inclusion? Because when you work as a contractor you are working in a high risk industry which means it doesn’t take much to go wrong if an untrained person has entered your work site. So, to reduce the possibility of someone injuring themselves (while you’re working) and then trying to sue you we highly recommend you looking into a commercial general liability insurance policy.
There are also some general liability perks that contractors get to enjoy that others (like small business owners and freelancers) may not get to enjoy. Primarily, contractors can avoid the extra coverage that a Business Owner’s Policy (BOP) may include. Of course you can still get a BOP if you so choose, as the amount of coverage you need may vary from contractor to contractor (a roofer will probably need more coverage than a plumber).
How do you get Commercial General Liability Insurance?
The key to getting a commercial general liability policy that is right for you is to first find an insurance agent that will advocate for your needs. We would suggest that you find an independent insurance agent as they will be able to provide you with a greater variety of policies (as they represent multiple insurance companies) ensuring that you will get the best coverage for the lowest price.