Construction is a high-risk industry, and accidents can happen at any time. That’s why it’s important to have the right insurance coverage to protect your business and employees. In this guide, we’ll cover the essential types of construction insurance, including general liability, workers’ compensation, and more.

The Most Important Construction Insurance Type – General Liability Insurance.


First in the types of construction insurance is general liability insurance. It is a must-have for any construction business. It provides coverage for third-party bodily injury, property damage, and personal injury claims. This type of insurance can protect your business from lawsuits and legal fees, as well as any damages awarded to the injured party. It’s critical to note that general liability insurance does not cover injuries to your own employees, which is where workers’ compensation insurance comes in. Click here for a contractor insurance quote!

Workers’ Compensation Insurance.


Workers’ compensation insurance is another construction insurance type designed to provide benefits to employees who are injured or become ill as a result of their job. This type of insurance covers medical expenses, lost wages, and rehabilitation costs for employees who are injured on the job. It also provides death benefits to the families of employees who are killed while working. In most states, workers’ compensation insurance is required by law for all employers who have employees. It’s important to make sure you have the right coverage to protect your employees and your business.

Builder’s Risk Insurance.


Builder’s risk insurance is a type of property insurance that provides coverage for buildings and structures that are under construction or renovation. This type of insurance can cover damage or loss caused by events such as fire, theft, vandalism, and weather-related incidents. It can also cover materials, equipment, and supplies that are on the construction site. Builder’s risk insurance is typically purchased by the property owner or the contractor and can be customized to fit the specific needs of the project. It’s critical to have builder’s risk insurance to protect your investment during the construction process.

Professional Liability Insurance.


Professional liability insurance is a type of construction insurance, also known as errors and omissions insurance, is designed to protect construction professionals from claims of negligence or mistakes that result in financial loss for clients. This type of insurance can cover legal fees, settlements, and judgments if a client sues for damages. Construction professionals who may need professional liability insurance include architects, engineers, contractors, and consultants. It’s important to have this type of insurance to protect your business and reputation in the event of a claim.

Finally, Maybe the Most Critical Construction Insurance Type – Commercial Auto Insurance.


Commercial auto insurance is a type of insurance that covers vehicles used for business purposes. This can include cars, trucks, vans, and other vehicles used for transportation of goods or people. Construction companies often have a fleet of vehicles that are used for transporting equipment, materials, and workers to job sites. Commercial auto insurance can cover damages to the vehicle, liability for accidents, and injuries to passengers or other drivers. It’s critical to have this type of insurance to protect your business from financial loss in the event of an accident.