There are many different types of insurance out there today from personal, to auto, to home; however one of the most important types of insurance that an individual can have is an industry specific one. Known mainly as contractors insurance, as well as other popular names like tradesman insurance and workers insurance, this type of insurance protects individual contractors and the clients that hire them in case of damage or accident. It is an important thing to have when you are acting as a contractor or running a contracting business. The following explains more about why you want and need it.
Liability
Contractors insurance is important because it protects the contractor from mistakes or possible negligence that occurs on the job. Many contractors do not realise until it’s too late that a client can take legal recourse, right or wrong, against them if there is a belief that something was not delivered as promised. Usually, even if in correct, these can be very lengthy processes and if the judgment is found in way of the client, very costly. With contractors insurance, the contractor is taking the first step in protecting themselves by making sure that they have the proper insurance to protect them in these cases from having to bear the full financial burden.
Peace of Mind
Another great reason to take out contractors insurance is for your own peace of mind. There are sure to be a number of occasions in your career when simply knowing that you will be protected if something goes wrong will be important to your overall work quality. You do not want to be stressed thinking about being unprotected if something does go wrong. For this reason, having good contractors insurance can help to ensure that you can stay focused on the most important thing: your work.
To Get the Job
Many individuals or clients will ask a contractor if they have insurance before selecting them for a job or even before interviewing them. This often means that those who do not have this insurance are turned away as a result. People without insurance are missing opportunities to make a profit and gain business from these contracts. For this reason, having insurance is important to ensure that you have no less than an equal footing to start with when compared to others bidding on a job. Consider this when looking into your investment.
If you work as a contractor or run a contracting business you must take out contractors insurance. The last thing you want is to face a lawsuit and be held financially viable for the costs.