Coast to Coast
& CannaShield Insurance Services
General & Artisan Contractors
As an General or Artisan Contractor I know you're dealing with issues on a daily bases regarding workplace injuries or accidents, property damage or defective workmanship that can result in claims, or your equipment may be stollen or damaged which can lead to delays, impacting your financial stability.
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Insurance can help you reduce your exposure to unforeseen losses! Remember Insurance is a la carte you can pick and choose the coverages that fit your needs.
Why You Need Insurance for Your
Construction Related Business
Property Insurance For Your Automotive Shop Safeguard Your Building - Your Equipment - Your Assets
Key Property Coverages Explained
Inland Marine Insurance - For Your tools
If you own your shop building, this insures it against things like fire, theft, storms, or vandalism, helping you rebuild or repair without draining your savings. •Example: An electrical fire guts your office area overnight. Property coverage pays to fix the structure and get you back in business. •Example: A hailstorm smashes your roof and windows. This policy covers the repairs so you can keep your doors open.
Scheduled Property Coverage - For Your Equipment
When you have to shut down your business for repairs do to a covered risk such as fire or flood, loss of income provides coverage for ongoing expenses like rent or leased equipment. No shop means no revenue. Business Income helps pay bills during the repair/rebuild process. Consider "extended business income" to cover losses until customers return. •Example: Fire Damage to the Shop: A fire breaks out in the auto repair shop overnight, causing significant damage to the facility and equipment, rendering the shop inoperable for three months during repairs. Loss of income insurance would cover ongoing expenses like payroll for technicians and staff, rent, and utilities, as well as compensate for the lost revenue from repair services during the closure. This helps the shop maintain financial stability until it can reopen. •Example: Flood-Related Closure: A severe flood inundates the shop’s premises, making it impossible to perform repairs for six weeks while cleanup and restoration take place. Loss of income insurance would cover continuing expenses such as employee wages, lease payments, and taxes, along with the income lost from being unable to service vehicles during this period, ensuring the business can stay .
Loss of Income Coverage
Scheduled Equipment Coverage For your high-value, specialized gear (like alignment machines or welders), this lists them specifically on your policy for full coverage against breakdowns or damage. •Example: Your hydraulic lift fails mechanically and needs major repairs. Scheduled equipment coverage pays for it since it's itemized. •Example: A storm knocks out your pricey engine analyzer. This policy ensures you get a replacement without haggling over value.
Builders Risk
Builder’s Risk Insurance, also known as Course of Construction Insurance, is the specific type of property coverage that extends protection to materials and supplies on a building site or the contractors property (eg., a storage yard or warehouse) for a specific project. This policy is designed to cover construction materials, supplies, and equipment intended for use in a specific project, whether stored on-site, in transit, or temporarily held at another location, against risks like fire, theft, vandalism, or certain weather-related damages. What It Covers Construction Materials: Items like lumber, steel, bricks, or drywall stored on the building site for the project. Supplies: Consumables such as nails, adhesives, or piping designated for the construction. Equipment on Site: Machinery or tools used in the construction process, like cranes or power tools, located at the site. Temporary Structures: Scaffolding, formwork, or site trailers used during construction. Materials in Transit or Off-Site: Coverage may extend to materials being transported to the site or stored temporarily elsewhere, if specified in the policy. Why It’s Essential Builder’s Risk Insurance is critical because construction sites are exposed to high risks of loss from events like storms, vandalism, or accidental damage, which can destroy costly materials and delay projects. Without this coverage, contractors could face significant out-of-pocket expenses to replace materials and supplies, potentially derailing project budgets and timelines. Good to Know About Builder’s Risk Insurance Policies vary, so it’s important to confirm that coverage includes all materials and supplies on-site, as well as any in transit or at temporary storage locations, and to check for exclusions like earthquakes or floods, which may require additional endorsements. Contractors should work with their insurer to tailor the policy to the project’s scope and ensure adequate coverage limits to reflect the value of materials and supplies involved.
Liability Insurance
Protection For General & Artisan Contractors Against Lawsuits
Key Liability Coverages Explained
General Liability
General Liability Insurance This is your core protection against claims of bodily injury, property damage, or advertising injury caused by your work. It covers legal fees, medical costs, and settlements if someone sues you for something related to your operations. •Example: A passerby trips over your extension cord at a job site and breaks their wrist, then files a lawsuit. General liability pays for their medical bills and your defense costs. Example: Your team accidentally damages a client's neighboring property while installing siding. This policy covers the repair expenses so you're not hit with the bill.
Excess Liability
This adds extra liability protection on top of your primary policies (like general liability or auto), kicking in when claims exceed those limits to shield you from catastrophic lawsuits. Example: A worker's error causes a major structural failure, leading to a $1.5 million lawsuit that tops your $1 million general liability limit. The umbrella covers the excess amount. Example: Multiple clients sue over defective installations from a bad batch of materials, piling up costs beyond your base coverage. Excess liability steps in to prevent bankruptcy
Certificates of Insurance
A COI is proof of your active insurance coverage, which clients or subcontractors often require before starting a job. It shows you're protected and can name them as additional insureds for shared risks. Example: A homeowner demands a COI before you begin their kitchen remodel to confirm you have liability coverage in case of accidents. Example: You're bidding on a commercial project, and the general contractor needs your COI to verify workers' comp and auto insurance, ensuring everyone's covered.
Employment Practices - EPLI
This protects against claims from employees alleging wrongful acts like discrimination, harassment, wrongful termination, or retaliation, covering legal defense and settlements. Example: A former worker sues claiming unfair firing due to age discrimination. EPLI covers your attorney fees and any settlement. Example: An employee alleges sexual harassment by a supervisor. This policy pays for investigation costs, legal defense, and damages if you're found liable.
Cyber Liability
Cyber Liability Insurance for contractors protects against financial losses from cyber incidents, such as data breaches, ransomware, or hacking, covering costs like legal fees, notification expenses, and data recovery. It’s critical for construction businesses handling sensitive project data, client information, or digital systems. Examples Data Breach: A hacker accesses a contractor’s server, stealing client blueprints and personal data, leading to notification costs and legal claims covered by Cyber Insurance. Ransomware Attack: Malware locks a contractor’s project management software, demanding payment; Cyber Insurance covers ransom costs and system restoration expenses.
Environmental Liability
Protects you from financial losses due to environmental damage caused by their operations, such as pollution or contamination, covering cleanup costs, legal fees, and third-party claims. It’s essential for businesses handling hazardous materials or working on sites where environmental risks like spills or leaks are possible. Examples Chemical Spill: An employee accidentally spills fuel from heavy machinery on a construction site, contaminating soil and nearby water sources, with Environmental Liability Insurance covering cleanup costs and third-party property damage claims. Asbestos Release: During demolition, your crew disturbs asbestos-containing materials, leading to air contamination and health-related lawsuits, with the insurance covering legal fees and remediation expenses.
Commercial Auto & Workers Compensation
For Your Construction Business
Commercial Auto - Including Hired and Non-Owned
This covers vehicles you own or use for business, like trucks and vans, for accidents, damage, or liability while hauling tools, materials, or crew. Example: Your company truck collides with another vehicle while heading to a site with supplies. Commercial auto pays for repairs to both vehicles and any injuries. Example: A trailer loaded with equipment is damaged in a hit-and-run. This policy covers the fixes so your operations aren't stalled.
Workers Compensation
Required in most states, this covers medical expenses, lost wages, and rehab for employees injured on the job, plus it protects you from lawsuits related to those injuries. Example: A crew member falls from a ladder and sprains their back. Workers' comp pays their doctor visits, therapy, and partial wages while they're out. Example: An employee develops repetitive strain from heavy lifting over time. This coverage handles their treatment and shields you from a potential lawsuit.