Winter Storm Uri brought catastrophic weather conditions to Texas, causing billions of dollars in damages to buildings across the region. As a result, thousands of property owners needed immediate repairs and contractors for their plumbing, electrical, and construction needs. Unfortunately, some property owners have fallen victim to scam artists and uninsured crews who claim to be professional contractors but end up creating bigger headaches for property owners. In today's Aegis blog post, we discuss the importance of Contractor Insurance, and how it helps protect both contractors and the customers in need of their services.
Coverage for Injuries
The majority of contractors work in dangerous conditions, whether it's an HVAC contractor working on rooftops, an electrical contractor working near high voltage areas, or a tree contractor pruning large trees. Because these jobs are riskier, it's important for contractors to carry coverage that protects themselves and their crew in the event of an injury or accident, such as Workers Compensation coverage. This policy covers medical expenses for injured workers, as well as lost wages and damages. Without Workers Compensation coverage, contractors who are hurt on the jobsite could sue the property owner for medical costs and lost wages.
Coverage for Property Damage
In addition to the risk of injuries, there is also a greater risk for contractors to damage structures or areas of the commercial or residential property. For example, a tree contractor could damage a nearby utility pole, resulting in power outages and property damage, or a plumber could cause a major leak that ruins walls and flooring. In these instances, having an insured contractor helps because their General Liability or Builders Risk coverage can help cover the costs of repairs so the property owner doesn't have to pay out of pocket for those repairs.
Coverage for Delays or Mistakes
Finally, contractors need insurance coverage to protect against delays or mistakes they've caused so the property owner isn't responsible. For example, Builders Risk Insurance can help cover losses or damages that occur during construction, such as vandalism or theft on a construction site. Alternatively, if a restaurant needs a contractor to build a patio and covering, hiring one that is License and Permit Bonded ensures that they are in compliance with local and state regulations. This can help avoid situations where the customer is left with shoddy or unsafe construction.
Aegis Insurance & Financial Services can help contractors gain the insurance coverage needed to protect themselves, their workers, and their clients when disaster strikes. Our team can help identify risk areas and create a customized package tailored to the contractor's specialty, such as HVAC, Plumbing, Electrical, and more. Contact Aegis today at 713-850-7622 for more information, or fill out our online form to request a free quote.