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Contractors Insurance

contractors_insuranceAs a contractor with your own equipment and tools of trade, you are essentially operating you own business and it’s only sensible to protect your business assets from theft or damage. Naturally, if you have a vehicle you use for work, it would be wise to take out a commercial auto insurance policy. Insurance for contractors can be a confusing area. If you’re unsure as to whether you are considered a contractor or employee for workers’ compensation insurance, or uncertain as to the types of insurance coverage you need as a contractor. United Direct Insurance Services has a variety of insurance options for contractors.

When it comes to contractors insurance in many ways, contractors have been left to fend for themselves.  Employment laws such as workers’ compensation do not apply to contractors.  This is no way should be taken as a reason to look over contractor liability insurance.  Regardless if you are a business operator with contract workers or a homeowner who has contracted someone to make repairs to your house, you want to make sure you are working with contractors who have the coverage that will protect you from any liability related to on-site of on-job accidents, products sold by the contractors and other forms of liability including the contract itself.  From a business perspective, contractor liability insurance is beneficial in every way from a business point-of-view.  At United Direct Insurance Services, our qualified agent brokers can find you the right contractors policy at the best “price-point”.

Does My Contractor Need Insurance?
Yes.  Workers’ compensation nor employers liability insurance will protect you from liability for a contract worker.  If a worker under contract for a month becomes injured on the job in your shop while making repairs, the worker may choose to take legal action to collect their medical expenses, lost income, negligence and so forth.  Should you sign a contact for someone to remodel your kitchen, and the worker becomes injured from a structural defect in your home, you need to make sure that you are protected from legal action.  Lawsuits are a daily occurrence and without proper insurance coverage a lawsuit can cost you or your business millions of dollars.

I am a Contractor, what do I do next?
Give United Direct Insurance Services a call and one of our professional agent/brokers will walk you through the process of becoming a properly insured contractor.  Most people who you do work for want to know that you have the right business/contractors insurance.  If a client knows that you are well protected, you have a greatest chance at being hired to do the job.

How Much Does Contractor Liability Insurance Cost?
It all depends on the coverage you select. First, you will need to determine that amount of coverage you need. or example you may opt for $500,000 in bodily injury and $100,000 for property loss. After that, your premiums will be controlled by factors such as the type of work you’re doing, payroll expenses, and gross receipts. The problem plaguing many contractors recently is a steep rise in costs. Part of the reason is the high number of claims –which is also a door to lower rates for you. If you can afford a minor loss, and decide not to file a claim for that loss, you may save money in the long run through lower contractor liability insurance premiums. In any event, you’ll need to search far and wide for the right policy, as many insurers are deciding not to renew, or to limit coverage, sue to the number of claims and lawsuits. Fortunately, our business Agent/brokers can do all the searching for you, insuring the lowest price-point for the exact coverage you need, that way your quality time can be best directed to your core business.

Find out how much you can save on a Contractors Liability Insurance Policy and start saving money today!


United Direct Insurance Services is a local California Insurance Agency located in Encino, Los Angeles County, offering affordable Contractors Insurance. Contact us today for a free quote and see how much you can save!