What to Expect With Construction Liability Insurance


If you own and run a construction business, you’ve got a lot on your plate already. Whether it’s managing your employees on a work site or growing your business outside of it, construction is a difficult industry to be in. It’s even more difficult when you have to consider buying construction liability insurance for your business on top of running the business itself, especially if you have no prior experience buying construction liability insurance. That’s why you should know what to expect when you buy it, whether you’re buying construction liability insurance in Massachusetts through a company like Murphy Insurance Agency or elsewhere.

One thing you may be wondering is why you even need construction liability insurance. First, all businesses need to maintain some form of general liability insurance. The construction work site can be a dangerous place. With so many materials, equipment, and employees, it’s very easy for accidents to occur, and if that happens, getting sued can be a serious risk to the financial stability of a construction business. Getting sued is a risk to any business, large or small, and if you’re unprepared for it, it could well spell out the end of your business.

General liability insurance for businesses is meant to cover some of those risks in the event that you are sued for an accident. This goes hand in hand with workers’ compensation insurance, which covers your employees for any accidents that may happen while they are working. It enables you to pay them lost wages as well as medical bills with less risk to your business. This type of coverage is often bundled in with construction liability insurance.

Another type of coverage you will likely need is vehicle coverage for any of your company vehicles. Most personal auto insurance companies do not offer commercial coverage for vehicles used in business. Commercial vehicle coverage also covers such vehicles as cement mixers, pump trucks, and more, on top of pickup trucks and other vehicles used by your employees. Vehicles are an important and costly asset for construction companies, so making sure that yours are covered if they are damaged will protect these assets.

In fact, a wide variety of contractors can benefit from the coverage that construction liability insurance offers. Any businesses in the industry, whether it be heavy construction, home improvement, and more can benefit from these types of coverage. When you’re searching for construction liability insurance, be sure to consider the needs and goals of your business so that you can tailor your insurance package to these needs.

Above all, before buying insurance, always do your research. You should always research the company via A.M. Best or another third-party service to discover their ratings and credentials, as well as use customer reviews to get an idea of what you can expect from a company. There are also many services that enable you to compare rates for many different insurance companies, so you can be sure that you are getting the best price for the package you need.