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Key Takeaways:
- General Liability Insurance: Understand the key role of general liability insurance in protecting contractors from claims of bodily injury, property damage, and more.
- Customize Coverage: Learn how insurance solutions can be tailored for the construction industry to save time and money.
- Financing Options: Explore financing options for general liability insurance that suit the cash flow challenges of the construction sector.
- Expertise: Discover the benefits of partnering with general contractor specialists with over 20 years of experience in the industry.
Looking for California contractor’s general liability insurance? Good idea.
Accidents happen.
Even a minor accident can be disastrous for general contractors and artisan contractors.
You likely already have commercial auto insurance for your work vehicles. However, general liability insurance in California
can protect contractors from third-party liability claims resulting from accidents or injuries.
If an accident results in a suit against your business, you may be found responsible for the claimant’s medical bills and legal expenses.
Contractor’s liability insurance is a safeguard for your livelihood.
Why Us For Contractor’s General Liability Insurance?
We are California contractor insurance specialists who cater to the unique needs of the construction industry and have access to over 50 carriers to ensure contractors have proper insurance coverage at an affordable rate.
We are an experienced team of brokers and specialists with over 20 years of experience. Our extensive contacts, tools, and access to multiple underwriting markets allow us to customize your unique solution.
Call us today to get a comprehensive general contractor insurance policy at the most competitive rates.
We offer various programs for contractors with any credit score, providing favorable terms for 99.9% of California contractors who contact us. To address cash flow concerns in the construction industry, we also offer competitive financing options to minimize your upfront costs.
Click the following link to find out how much a contractor bond costs.
What Does A General Liability Policy Cover?
While business insurance requirements may change depending on the project, most contractor general liability covers the following:
- Bodily Injury
- Property Damage
- Product and Completed Operations
- Medical Costs or Bills
- Personal and Advertising Injury or Copyright infringement
If you need contractor’s and general liability coverage or a contractor license bond in California, call us at our toll-free phone number (888) 770-5834 to request a no-obligation, free quote from our team of experts. We have policies to suit the needs of contractors like you. Get the California business insurance that you need at the right price.
Why do Contractors Need a General Liability Insurance Policy?
California contractors with general liability insurance are in a much better position than those without it. When a single incident could cost you thousands of dollars, many contractors could not stay in business.
If you’re a sub-contractor, most general contractors in California will likely require you to have general liability insurance before they hire you. Some companies require that they are added as an “Additional Insured” on your policy as a requirement of working with them.
Contact our licensed specialists regarding any project-specific general contractor insurance requirements you may have to ensure your policy limits are quoted correctly the first time.
How Much Does General Liability Insurance Cost?
For contractors in California seeking general liability insurance, the cost can be as nuanced as the work you do. The price fluctuates based on business size, payroll amounts, and your operations. This crucial coverage helps protect against liabilities such as job site or client injuries.
We provide competitive rates tailored to your business’s unique needs. Below is a general pricing guide, and is subject to change depending on your operations:
- $0 Payroll: $895/Year
- $1 – $30k Payroll: $1,195/Year
- $30k – $60k Payroll: $1,495/Year
- $60k – $100k Payroll: $1,995/Year
- $100k+ Payroll: $2,000+/Year
Please contact us for a quote; we’re here to help you secure your certificate of insurance with the right coverage at the right price.
How Do Claims Work For Contractor General Liability Insurance?
When understanding how claims work for general contractor’s business insurance policies, it’s essential to grasp the basics. If an incident occurs where your business is at fault, this is where your business policy steps in. The claims process usually follows these key steps:
- Report the Incident: Immediately notify your insurance provider about the accident or incident.
- Claim Evaluation: The insurer assesses the details, damage, and how the general liability coverage applies.
- Resolution and Payment: If approved, the insurance covers costs up to the policy limit, including legal and medical expenses.
It’s important for contractors to understand this process to be prepared in case of a claim.
Understanding this process is vital for every contractor. It ensures that in the face of a claim, you’re prepared and knowledgeable about how your business coverage will support you.
General Liability Insurance Requirements For Contractors in California
California contractor’s coverage can be complex, but knowing the general contractor insurance requirements is crucial for compliance and protection.
Here’s a concise breakdown of what’s typically required:
- Commercial General Liability Insurance Policy
- Certificate of Insurance: Contractors must be able to provide evidence of their coverage when requested, especially when working on new projects or with new clients.
- Coverage Limits: There are often specified minimum limits for business insurance coverages. These limits can vary depending on the project size or client requirements. We always recommend forwarding us a sample certificate to make sure we quote and issue the necessary coverage.
- Additional Insured Endorsements: In many cases, contractors must add their clients or partners as an ‘Additional Insured’ on their policy.
Contractors in California can meet legal requirements and protect their small businesses by following these requirements. This approach to construction insurance also meets regulatory demands and builds client confidence in small businesses, demonstrating a commitment to professional and responsible business practices.
California general contractor insurance encompasses several policies, each designed to address specific risks associated with construction work.
What Other Forms of Insurance are Most Common for Contractors?
Workers’ Compensation Insurance: Mandatory in California, this insurance covers medical costs and lost wages for injured employees. It’s vital for protecting your workforce and complying with state laws.
Commercial Auto Insurance: If your business uses vehicles, this policy covers damages from accidents, theft, and vandalism. It’s essential for contractors who rely on transportation for their operations.
Tools and Equipment Coverage: This insurance protects your investment in tools and machinery from theft, damage, or loss. It’s a must-have for contractors whose operations depend on specialized equipment.
Professional Liability Insurance: Errors and Omissions (E&O) insurance covers legal fees and damages if you’re sued for professional mistakes or negligence.
A Contractor Bonds is also required my the CSLB to maintain an active contractor’s license.
What are some common examples of how general contractor’s insurance can protect your company?
Accidental Property Damage
Scenario:
John’s Construction Co., a small San Diego contracting firm, was hired for a home renovation project. During the renovation, one of the employees accidentally damaged an expensive antique vase, a family heirloom of the homeowner.
Outcome:
The homeowner filed a claim against John’s Construction Co. for the vase’s value. Fortunately, the company had a comprehensive general contractor insurance policy that covered property damage. The contractor’s liability insurance company assessed the claim, valued the vase, and compensated the homeowner for the loss.
Lesson:
This example highlights the importance of having property damage coverage as part of a general liability insurance policy. It protected John’s Construction Co. from a potentially significant out-of-pocket expense and maintained its good relationship with the client.
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Secure Your Business Today
Don’t leave your business exposed to unforeseen risks. Contact our licensed specialists to ensure your contractors general liability insurance and contractor license bond is tailored to your specific needs.
Call us at (888) 770-5834 for a no-obligation, free quote, and secure the right coverage at the right price. Whether you’re a seasoned contractor or just starting, we’re here to provide the protection you need.
We also offer trade-specific contractor insurance for HVAC.