Six Top Reasons Why Contractors Need Insurance

Six Top Reasons Why Contractors Need Insurance

If you are a contractor then you know of the many hazards that the job can bring. In order to protect yourself, your employees, clients and tools then you need to look into the proper insurance. Keep reading to learn six top reasons why contractors need insurance.

1-Business Income Extension for Off-Premises Operations

This type of insurance coverage can provide lost income in the event that you are unable to operate your business. If you are unable to work due to damaged or lost equipment, this coverage can give you an income as you wait on a replacement. 

2-Contractors Tools

A contractor’s tools are very important as they are a part of your livelihood. Without tools, you are unable to do your work. Tools that become damaged, lost, or stolen are detrimental to your work. With the right insurance policy, your tools are covered and protected, giving you the ability to get replacement tools whenever necessary.

3-Inland Marine

This type of insurance can cover items such as equipment and materials that are being shipped by a third party. Coverage may provide protection from damage while they are being transported or are being stored in a warehouse. For those who often have items shipped, consider having this coverage included in your insurance policy as it can provide protection of specialty equipment and products.

4-Installation Coverage

Accidents happen and serious ones can take place on the job site. If an accident occurs when installing a product and causes damage, this can result in a lawsuit. In order to provide protection in case of a  lawsuit, this type of coverage will help cover the legal costs.

5-Data Breach Coverage

Like most businesses, contractors store personal information from their customers as well as their employees. This information includes social security numbers, credit card information, tax information, and other sensitive items. If that information were to be hacked and stolen, this would cause problems for the customers, employees, and you as the business owner. You may experience lawsuits as well as a poor reputation. Data breach coverage can help you provide good-faith advertising and alert those whose identity may be compromised.


6-Employment Practices Liability Insurance

Contractors can experience employee liability claims from former or current employees. Some reasons that this can occur include wrongful termination, discrimination, harassment, or retaliation. If a lawsuit were to occur due to any of these issues, employment practices liability insurance can help cover the costs.

In order to discover the best insurance policy for you, contact us at Northeast Metrowest to speak with an educated insurance professional. For more information on your business insurance options check us out at Northeast Metrowest Insurance

Please note in the “Six Top Reasons”  above that we use the words “may” and “can”, Northeast Metrowest Insurance works with over 25 Insurance Carriers to provide coverage custom fit to our client’s specific needs and budget. It is always recommended to speak with one of our Profesional Insurance Agents to assure you are purchasing the coverage you require. 

Leave a Reply

Your email address will not be published. Required fields are marked *