Whenever you’re planning home renovations, it’s a good idea to make sure you’re protected from possible accidents that could occur with the contractors and workers you’ve hired.
That’s because if you hire a contractor without insurance, any accident and the subsequent medical bills and lost wages of the injured worker could be your responsibility.
Let’s look at an example: Imagine you’ve hired a painter to do some painting on the top floor in your home. But while the painter is bringing supplies inside, he trips at the top of the stairs and falls all the way down. This results in an ambulance ride to the hospital and several broken bones.
In a situation like this, if the painter did not have insurance, it’s possible that you, the homeowner, could be held liable.
In this article, we’ll explain what you should know about contractors and insurance as a resident of the Mayville and West Bend, WI area. If you plan on having work done in your home, this is important information to go over before hiring anyone.
Why Should You Only Hire Insured Contractors?
Unlike many careers, construction, electric work, plumbing, painting, and other home services can be extremely dangerous. Often, the situational work — standing on ladders, getting onto roofs, lifting heavy equipment, etc. — is hazardous. The equipment and tools can be extremely dangerous. And there are other risks contractors have to take that other workers don’t.
When you hire these individuals, therefore, more things are bound to go wrong. And when they do, the medical costs, lost wages, and/or property damage will be expensive. Someone has to pay, and in some situations, people will think that someone is you.
The only way to protect yourself is only to hire insured contractors. But what insurance is necessary? There are four main types you’ll want to look for:
- Workers Compensation
Law requires workers compensation, but regulations will vary by state. This provides funds for medical expenses and lost wages when a worker is injured on the job. In Wisconsin, sole proprietors don’t need workers comp insurance. Their are a few other exceptions as well.
- Commercial General Liability
Always look for general liability coverage in the contractors you hire. This covers contractors and workers for possible injuries and medical bills and may cover property damage as well.
- Builders Risk
You’ll find that many builders and contractors who do large projects will carry builders risk insurance. This type of insurance covers the entirety of a property for the duration of a construction project. Depending on the plan, it may also cover project materials.
- Commercial Auto
Commercial auto insurance protects businesses and their employees if they experience a problem with their work vehicles while on the job. These policies are very much like typical auto insurance policies. They can generally carry liability coverage, material damage coverage, medical coverage, and more.
NOTE: Whenever a contractor says they do have insurance, follow-up by requesting to see a copy of their “certificate of insurance.” This document comes directly from the insurance company and states the current insurance in place and the time frame for which the insurance is effective.
Select an Insurance Agency You Can Trust
Mayville Insurance is here to help Mayville area residents stay protected from liability cases. Our knowledgeable agents can help you find a contractor who has adequate insurance. We can also make sure your homeowner’s insurance policy is updated with the new changes or additions you’ve made to your home.
For more information about our services or to find a new insurance policy for your home, please stop by or give us a call today.