Contractors or builders need not shop separately for all of their insurance needs. Providers of insurance cover understand that builders all require the same cover, and will provide quotes for packages of insurance that include:
Employer's Liability Insurance
General Liability Insurance
Professional Indemnity Insurance
Contract Works Cover
Business Interruption Insurance
Product Liability Insurance
Purchasing all of these forms of cover in one package may cost a little more than if a contractor were to get quotes for each policy, but these costs would most likely be more than compensated through the time and administrative costs of getting separate quotes for each type of cover that is necessary for a building project. Moreover, an insurance firm can provide the builder with all of the documentation necessary to demonstrate to customers, subcontractors, vendors, employees and government agencies that all of the required cover has been obtained. Many insurance companies will provide stickers or other forms of proof that can be prominently displayed and easily seen.
Risk management is one of the greatest challenges faced by contractors. Employees work with equipment that can amputate limbs or cause other serious injury or death. Employees often work high above the ground, creating the risk of falling or dropping objects on others. Employers liability insurance can often be a significant expense for any building project. Since construction sites are outdoors, securing equipment and building materials against theft can be difficult and expensive.
Insurance firms that provide cover to builders understand these challenges, and can provide quotes that reflect the steps that conscientious builders have taken to reduce or eliminate hazards. In many cases, insurers can provide advice or information to help contractors reduce risk when undertaking a new project.