The art of construction can be an expensive undertaking. It can involve large financial investments, manpower, and support. Workers may need to use expensive and dangerous tools, equipment or materials. Any accident or delay in construction can be dangerous and expensive.
Construction insurance needs to be flexible. It has to cover many different risks and areas throughout the entire process (start to finish) and cover everyone from building owners down to contractors and part-time workers.
Construction insurance covers the financial costs that could occur in the event of an accident or injury to people, property, equipment, or the environment while connected to the job site. It will not only protect the company owner, but the workers, employees, sub-contractors, tenants, and even business partners, managers, and sole-proprietors.
Job sites and construction areas can be extremely dangerous. Employers are liable (financially responsible) for the health and safety of everyone within the construction area. If a worker is injured, the contractor or business owner may be required to pay for the medical treatment costs. The death of a worker on-site could result in needing to pay financial compensation to the family. In the event of poor construction, the business owner could be held financially accountable for repairs or remodeling.
With construction insurance, the financial assistance comes from the insurance company, and not your own pocket.
This type of insurance package also covers equipment or goods stored on or off premises, or being transported to or from the job site, and commercial vehicle coverage for trucks and other company vehicles should an employee have an accident while driving one, or if driving their own vehicle on company time.
Primary types of risk construction companies face:
- Employee injuries (injuries to employees on the job or job-related, illnesses or death)
- Property Damage (damages to company tools, equipment, or property)
- Income Loss (loss of income from events that cause the work to stop such as a fire or storm damage)
- Liability Risks (injuries or property damage caused to someone outside the company or not part of the crew)
Construction insurance is not just for big companies and business owners. Any person working in the construction industry or trades should have insurance, including electricians, plumbers, drywallers, handymen, carpenters, and more.
Construction insurance does not exempt you from keeping a safe and secure workplace. Many policies require a strict set of health and safety guidelines are followed.
Aboriginal Insurance Services works directly with community contractors, workers, and business owners to train and empower community members in work safety. Our program continues to work for you even after the job is done, protecting you from any faults or accidents that may occur after you’ve moved on to the next project or job site.