What would you do if a contractor you had hired fell from your roof while making repairs? Do you know who would be held responsible for damages if the worker was injured during the fall? While your homeowner’s insurance coverage is great at providing coverage for common accidents and inclement weather, you shouldn’t have to pay in the event of an accident or another issue on your property. Unfortunately, in certain cases, if a contractor doesn’t carry the right level of insurance protection, you could be found liable for damages. So before you hire a contractor to help out on your next home maintenance or renovation project, be sure they have complete insurance coverage.
What Type of Insurance Should a Contractor Have?
It’s no secret that those construction and maintenance workers are at risk of becoming injured on the job. Each time that your HVAC technician, pool cleaner or home maintenance technician visits your home, they could end up hurt or cause damage to your property. These are some of the main reasons that contractors need to carry specialized business insurance policies to help protect their workers, their business and their clients.
At the very minimum, each contractor that you hire should carry general liability insurance. This type of coverage is designed to provide protection against bodily injury or property damage claims. With this extra layer of protection, even the most prepared and safe contractors can rest easy knowing that they won’t have to pay out-of-pocket in the event of an accident or risk losing valuable clients over a liability claim.
In most cases, contractors will also carry a few other specialized types of coverage to protect their business. Depending on the type of contractor you have hired, they may carry one or more of the following additional insurance coverage options, including:
- Builder’s Risk
- Workers’ Compensation
- Commercial Auto
- Installation Coverage
- Equipment and Tool Coverage
Is Workers’ Compensation Coverage Important?
Workers’ compensation insurance provides medical benefits coverage and wage replacement for employees who are injured on the job. In the state of Arizona, workers’ compensation insurance is mandatory for all business types that regularly hire or employ at least one employee. This rule also includes sole proprietors, part-time workers, full-time workers, minors, aliens and/or family members. However, sole proprietors do have the option of declining coverage if they do not have any employees.
How to Verify Coverage with Your Contractors
It’s important that all Mesa homeowners work to verify that the contractors they hire have the appropriate level of insurance protection before letting them work on their home or surrounding property. Never assume that a contractor has insurance or simply take them at their word. Any contractor that you work with can prove that they have coverage by presenting a Certificate of Insurance.
However, it’s up to you as the homeowner to verify that their insurance policy is up-to-date. You can do this by simply reaching out to the insurance provider outlined on the certificate. Keep in mind that an expired insurance policy means the same as having no insurance at all – you could be held responsible for damages in the event of an accident. But once you have the all clear from the insurance company, you can feel free to let them begin work on your home.
Contact Harnish Insurance Group Today
Interested in learning more about the benefits of investing in comprehensive insurance protection? Call (480) 839-9077 or visit our friendly independent insurance agents online for more information and be sure to request a quote today.