How Do I Check If A Contractor is Insured?
When searching for a contractor, you may just be comparing quotes, but one of the most important things you should be looking for is contractor liability insurance. This type of coverage handles any mistakes, damages, or injuries that may occur while the contractor completes your job. Even if you feel confident in your contractor, you should still take the steps to verify their coverage. In the case of injuries or damages resulting from a contractor without insurance, you may be held financially responsible.
Why Do Contractors Need Insurance
In most states, contractor liability insurance is required by law. If something goes wrong during a job, contractor insurance can protect contractors and their customers from any damages or injuries that may have occurred. Regulations vary by state, so be sure to look up your area’s specific insurance requirements. Penalties for not having insurance could include large fines that could affect the stability of the contractor’s business. Contractor insurance can also provide protection during customer disputes. If a mistake has been made, contractor insurance can help with the financial requirements needed to make the proper adjustments. Customer disputes can be timely and don’t always end with finished results, however, a contractor with insurance will be more likely to follow through on your job. With a proper insurance policy, contractor’s can feel safe to protect their reputation and customer’s can feel secure knowing their job will be completed correctly.
Start With These Tips
Ask your contractor for the name of their insurance carrier, their agent’s name, and a phone number to contact them. When contacting the insurance company, request their certificate of insurance, which certifies their liability insurance. Alternatively, you can also ask for a license number and verify it with the state’s licensing board.
Whether you are a contractor or client, taking these extra steps can ensure you will get your job done with peace of mind. Accidents happen, and while we can’t prevent them, we can prepare for them. If you have insurance needs of any kind, contact one of our TCE professionals at 718-370-3131.