Contractors insurance is important for various reasons. When you are a contractor, you need a License Bond for assurance of having a license to work as a contractor. However, this is not insurance, it is rather a way to ensure the protection of your customer for any mishap for which you may be responsible. Getting insurance for yourself and your company is extremely important. There are various types of contractors insurance in Kitchener, like general liability insurance, builder’s risk insurance, commercial auto insurance, worker’s compensation insurance, equipment and tools insurance, etc.
If you do not have a contractor’s insurance, read the following points to know why you need it:
To Secure the Job
If you want to offer your services for a job and get working on the same, you are expected to show a proof of your liability insurance. Previously it used to be optional but it has become more of a rule now. Not only government agencies but also general contractors will want you to possess the general liability insurance. If you fail to show a proof of the same, you stand a high chance to lose the job.
To Protect Your Asset
Any construction job site is prone to all kinds of mishap right from human error to faulty materials or weather related issues. Injuries and accidents which may be small or enormous are bound to happen. You would definitely not want to get involved in a court case with your client in case of some mishap. That could be avoided with a valid insurance policy. Moreover, if you are an employer, you are liable for sickness, injury or death of anybody you hire on the site. It is to be noted that be it your fault or not, the cost to defend yourself against a lawsuit can be much higher than the actual cost of damage or injury caused to the property or people. You can lose both your company’s and personal asset if somebody files a case against you for not having a contractor’s insurance.
Since it is the Law
Some states have also made it mandatory to have commercial general liability insurance to bid for a certain kind of job. Some other states have made it compulsory to disclose to homeowners whether you have an insurance policy or not. If the homeowners do not find what they need, they would not think for second to switch over to another contractor.
Contractors insurance in Kitchener has become more important than ever for a variety of reasons, especially for the safety of the people and materials involved in the process of work. If you do not want to lose valuable assets, your livelihood, and peace of mind, you ought to buy an insurance policy.