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Scope of coverage in contractor’s liability insurance packages

Scope of coverage in contractor’s liability insurance packages

Contractors usually face a lot of risks in the field of construction due to the diversity of the jobs. One can easily be drawn into a lawsuit either through their damages incurred by their own employees or by a client’s accident within these construction areas. General insurance liability ensures that a contractor is protected from these unforeseen lawsuit circumstances that result from injuries, accidents, work-related errors, etc. A contractor can face a big financial setback if he or she doesn’t have the protection of a liability insurance.

When signing up for these liability insurance covers, a contractor should be aware of the coverage criteria as well as the liabilities that are not part of the insurance cover. Some of the typical covers provided by a general liability insurance are as follows:

Property damage
In a general liability insurance cover, a contractor is potentially protected from third-party lawsuits against the damages caused by your business. This may have occurred as a result of constructional changes, remodeling, etc.

Completed projects
These insurance covers protect contractors from being sued on their completed services or products when a third party claims of injury or such. A properly executed insurance cover can essentially aid with both the legal and damage expenses incurred within the limits of the insured amount and policy.

Faulty workmanship
There are instances when a contractor can be potentially sued for incomplete work, time delays in the completion of a project, or even over budgeting. In such cases, a general liability insurance that includes this coverage can provide immunity to a business in order to contest the lawsuit efficiently without suffering damages.

Physical injury
Most contractors who work in a labor-intensive platform are prone to injuries that happen as a result of accidents and, sometimes, end up with third-party lawsuits that blame the business for its injury. Having the best general liability insurance for your line of business ensures that all common lawsuits and damage claims are appropriately addressed to cover any form of costs incurred.

There are specific provisions in liability insurance that also take care of immediate medical expense claims as well as provide immunity against any advertising claims that occur on social media.

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