The old saw – pun intended – among carpenters is measure twice, cut once. In other words, act with care to avoid errors and waste. If you’re an artisan contractor, the same can be said about the insurance policies you have in place.
Artisan contractors are typically those highly skilled custom cabinet makers, tile installers and others hired for intricate or high-end construction projects.
Their work, in short, isn’t cookie-cutter, and neither should their insurance be.
Why get artisan contractor insurance coverage?
As an independent artisan contractor, you’re the one who’s on the hook for any claims of damage or physical harm. Artisan contractors needs their own coverage because:
- It shows their clients they're responsible and proactive. In fact, most client will ask you to provide proof of insurance before agreeing to any work, particularly if you’re going to subcontract on a large project with a general contractor or property owner. Having that coverage in place can help you secure that contract faster.
- It gives you peace of mind, allowing you to focus on your work, especially in a day and age when everyone seems ready to sue at the drop of a hat.
- If an issue arises, your insurance team is there for you, working to find a resolution, and allowing you to continue running your business.
A typical artisan contractor insurance policy includes coverage for:
- General liability, which will pay in case you damage someone’s property or accidentally hurt someone, including in case your work somehow causes an injury after you’ve moved onto the next job.
- Professional liability, which covers you in claims accusing you of negligence or, simply put, helps pay for your mistakes on the job.
- Employment practices liability, also optional but more important than ever because it can help cover you in wrongful termination, discrimination, and sexual harassment claims.
- Cyber liability, an increasingly important coverage to have at a time when cybercrime is exploding.
- Commercial auto insurance, a must-have, especially given that you’re carting expensive, specialty tools and materials.
What other policies do artisan contractors need?
Each artisan contracting business is different, so you may need a more tailored plan to protect against specific risks.
Two policies you will want to consider closely include an inland marine policy, which includes equipment breakdown insurance, and workers’ compensation, even if you’re running a one-person show.
Why workers’ comp?
Because workers’ compensation insurance pays for medical expenses, it covers part of your income during periods of temporary disability, and, in some cases, provides permanent impairment benefits. A medical insurance policy does none of that.
An inland marine policy, meantime, will cover transportable equipment and tools wherever you’ve stored them. Typically, commercial property insurance only covers your equipment when kept within your premises. An inland marine policy will cover the cost of repairing or replacing tools that are damaged, stolen, or lost.
The right business insurance broker can help take the guesswork out of buying insurance and make sure you have the coverage you need at a price you can afford.
Ready to talk about artisan contractor insurance? The Mahoney Group is one of the largest independent insurance and employee benefits brokerages in the U.S. To contact us, leave a message here or call 877-440-3304.
This article is not intended to be exhaustive, nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel or an insurance professional for appropriate advice.