For general contractors, doing business in any state requires that you have contractors insurance, which refers to multiple policies covering the risks that contractors face, such as general liability and commercial property. Many insurance companies are not going to offer you contractors insurance. Instead, they are going to various policies and you can pick the ones that best fit your business needs.

In California, licensed residential contractors must carry workers’ compensation insurance if they have employees, and general liability insurance is encouraged, even though the state does not require it. Once you work in different areas of construction, however, your insurance requirements may change.

Banks may also require you to carry specific levels of insurance for the projects that you are working on, depending on the type of project and loan.

Still, you might be wondering how much insurance is the right amount for residential contractors, especially since you are not working on commercial properties. Let’s find out the options of contractors insurance near you.

Defining Your Insurance Coverage

The first thing you need to know is what type of insurance and the minimum amount that your state requires. Working with your insurance agency, you can find out what that amount is and the policies that you need to carry.

Once you have met the state’s requirements, then you need to look at the type of residential properties you are working on, to determine the right amount of liability insurance for your business.

Plus, there are policies covering your builder’s risk, which may come into play if you are building new residential housing.

What Types of Insurance Will You Need?

There are several types of insurance offered that fall under contractors insurance. One of these is liability insurance that covers any type of property damage or injuries that may occur but doesn’t cover the cost of repairs or work done incorrectly.

Another type of insurance is worker’s compensation, which covers any injuries incurred by workers, including their lost wages and any medical expenses. This insurance will also cover death benefits for the worker’s family if their loved one is killed while on the job site.

Builder’s risk insurance is a property insurance that covers you if damage occurs to buildings while they are under construction. It may cover things such as fire, wind, theft, and vandalism, as well as other types of damage that can occur on a construction site.

Other insurance options can include coverage for your commercial vehicles and bond insurance. Both can be part of your overall business insurance coverage, allowing you to protect your residential contractor business.

Contractors insurance near me is a search option to find the insurance carriers offering these types of contractors insurance and other resources. Another option is to use a service, such as Top Contractors Insurance Services, Inc. to get quotes and find the right policies to fit your license requirements. Our experienced and knowledgeable staff can assist you in creating the right mix of insurance coverage to meet the needs of your business at an affordable price. Contact us today for a quote.

Top Contractors Insurance Services is a full-service contractor insurance agency handling workers compensation, general liability, construction bonds, and auto quotes.