May 15, 2020 Importance of Contractors General Liability Insurance

Contractors needs general liability insurance to protect themselves and their business.

As a contractor, the last thing you want to experience is any kind of an injury or a setback. However, while you don’t want to even think about this, the truth is – you need to. In order to stay protected in all kinds of situations, you will need to take those situations into consideration. Just because you refuse to think about something, it doesn’t mean that it won’t happen.

The danger of injuries always exists and the best thing you can do about it is get yourself some good California contractors liability insurance that will keep you protected. If you are still on the fence about whether you need such a thing, I suggest you start doing your research right away. Once you understand what insurance actually means for you and your business, I have no doubt that you will start seeing it as a great idea.

In order to help you finally make that decision and take this important step, I will try to explain just how important liability insurance is and how it can be of help to your company. There’s a bit more to it than you might have expected. So, stay tuned and read on, because it would really be a shame to miss out on all the benefits that come with getting properly insured.

It Protects You

Unsurprisingly, the first reason why contractors decide to get insured is closely connected with the idea of protecting themselves and their business. Accidents are hardly a rarity in any line of work. And, as a contractor, you simply cannot afford to cover every single bill that occurs this way. Liability insurance helps you ensure all the assets against injuries and accidents. What’s more, it protects you in the event of a catastrophe that you could not have predicted.

I am pretty sure that you wouldn’t like to be held accountable for something that isn’t your fault at all. However, that might easily happen, especially when construction is in question. Naturally, everybody wants to protect their own pocket, and you should do the same. It is your right and your responsibility. So, I suggest you stop wondering whether you should get insured, and start actually doing something about it.

contractors general liability insurance

It Helps You Stay In Business

How can this be connected to your work flow and the success of your business? Well, I suppose that is a logical question to ask. However, there is also a logical answer to the question. In order to understand this, you need to put yourself in the shoes of your clients, while also taking your competitors into account. Let me explain.

A lot of clients may require you to have liability insurance before they decide to sign a contract with you, because they don’t want to risk being accountable for accidents caused by your work. And, what do you assume will happen if you tell them that you don’t have this insurance? Don’t take my word for it, but I’m pretty sure they will choose to sign the contract with your competitor who is able to meet this requirement.

Here’s some more useful info on this topic: https://www.thebalancesmb.com/contractor-liability-insurance-coverage-explained-844793

It May Be Required By Law

For some contractors, this might be a matter of pure choice. For others, however, it can become a matter of law. The construction industry, for example, requires contractors to have liability coverage. Check the laws in California in order to know what it is exactly that’s expected from you. In the construction business, liability insurance covers property damage, defects in construction, improper pipe systems, and all kinds of infrastructure issues.

When you think about it closely, you will see that the law is on the side of the contractor in this particular case. If it weren’t required, you might be tempted to skip this important step, which could lead to potential negative consequences in the future. This way, you know that this is something you must do, so you don’t even question it. And, later on, once you realize that accidents are bound to occur, you will probably feel grateful for having had this obligation.

It Gives You Peace Of Mind

As a contractor, you do have a lot to worry about, don’t you? So, why would you want to add another worrying thought to this mix? Better yet, why wouldn’t you use the opportunity to ease the burden that you carry on your shoulders, even if just a little bit? That’s exactly the kind of an opportunity that liability insurance offers.

Of course, I am not saying that you will instantly stop worrying about everything regarding your business. Telling you that would be like telling you a fairy tale. However, by getting liability insurance, you will be able to get at least some peace of mind. And we all know you need it.

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