Friday 24 October 2014

Protect Yourself With Contractors General Liability Insurance California

By Dominique Martin


Contractors offer a wide variety of services and their work involves some risks. As a contractor you can protect yourself from losses if you buy general liability insurance. An accident can happen in your worksite and result in an expensive lawsuit. By choosing to buy contractors general liability insurance California dwellers can protect their businesses as well as themselves from unexpected events.

General liability policies protect business assets. If you have this coverage, you can rest assured that the working capital of your contracting business will not be affected by costly lawsuits. These policies also provide coverage for legal fees that may make your business go bankrupt. These include the costs of court expenses, witness fees and lawyer fees among others.

Another thing that is covered by a general liability policy is bodily injury claims. It does not matter how careful you are when carrying out contracting operations, accidents can occur especially to untrained workers. If you have such coverage, you will not suffer heavy losses due to a lawsuit that involves bodily injury. If an injury occurs, your policy can pay for the funeral expenses of any individual who was seriously injured at a worksite and died. It can also pay for court awarded compensation as well as medical bills of injured individuals.

The policy of a contractor can also pay for property damage claims. It can protect the contracting business against the cost of a lawsuit where a client alleges that the contractor damaged his or her property. It also protects a contracting business against claims related to the products it has produced or the services it has offered. For instance, if a contractor installs cabinets that have unstable shelving that ends up injuring a homeowner, the legal expenses resulting from such a case can be covered.

People who advertise their contracting businesses should purchase a policy that provides coverage for infringing on brands or copyrights or copying the advertising methods of another business. Allegations that a contracting enterprise caused nonphysical damages to another entity are common due to competition between enterprises in the same industry. Licensed insurance agents can help contractors to assess the risks associated with contracting and ensure that their businesses are not vulnerable to lawsuits.

To apply for general liability coverage for contractors, California dwellers should consider the gross income of their contracting businesses, their contractor class, the kind of contracting work they do and the amount of coverage they want among other things. They should then compare quotes from different insurers. They should also consider if an insurer has a good insurance rating such as an A minus and above.

You should be willing to honestly answer the questions that insurers ask in order for them to provide you with quotes. You should create a record of every quote, noting how much each insurer charges. You should also find out more about the performance of different insurers from other contractors.

Quotes will enable you to estimate how much you will pay. You will therefore be able to make a wise decision about the firm to purchase a policy from. After you choose the most suitable policy, you should make a down payment and ensure that you pay the monthly premiums. The insurer will provide you with a certificate of insurance.




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