Category: Contractors Insurance
-
Understanding Contractor Insurance: A Complete Guide for Contractors
Introduction As a contractor, protecting your business is crucial. One of the most important aspects of protecting your business is having the right contractor insurance. Whether you’re just starting or you’ve been in the business for years, understanding contractor insurance can save you from unexpected financial risks. In this article, we’ll explore what contractor insurance…
-
Everything You Need to Know About Insurance Filing As A Motor Carrier
Have you wanted to file your insurance as a motor carrier, as a freight forwarder, or a broker but couldn’t understand how? Then this article is what you need. Apart from applying operating authority, applicants for freight forwarder, motor carrier, and broker authorities must have specific legal processes and insurance agent documents on their files…
-
What is A Performance Bond?
This article explains in detail about what is a performance bond and what are the roles of all three major parties in it. A construction job of any kind requires a performance bond. In essence, they provide an assurance that the contractor carrying out the work will honour their contractual duties to the project’s owner…
-
Subcontractor’s Warranty Endorsement
Those who are contractors, construction companies, maintenance companies, or other companies that use subcontractors may encounter “Subcontractors’ Warranty Endorsement” on their Commercial General Liability policies. This endorsement requires contractors to obtain additional insured status on the CGL policy of their subcontractors and to make their policies secondary to their subcontractor’s. In addition, contractors may face…
-
Mandatory Workers’ Compensation Insurance for Contractors in California
The California Contractors State License Board (CSLB) has announced that starting January 1, 2023, certain licensed contractors must carry workers’ compensation insurance, regardless of whether they have employees. These contractors include those in the concrete (C-8), HVAC (C-20), asbestos abatement (C-22), and tree service (D-49) sectors. This new requirement is the result of Senate Bill…
-
Loss Exposure of Contractors
Contractors are subject to some unique loss exposures. When a prospective client needs certain types of construction work done, contractors either bid for the job or negotiate a contract. Due to this, the customer specifies what should be done in the job specification. It is common for contracting businesses to have multiple locations. There are…
-
Insurance Loss Runs: How Do They Work?
An insurance loss run is a report that lists all claims made on a particular insurance policy over a specified period of time. Loss runs are typically requested by insurance underwriters when evaluating an insurance application or renewal, and they can also be used by policyholders to help identify trends or potential issues with their…
-
Insurance Premium Audit
Your insurer conducts a premium audit to become sure you have paid the proper premiums over the period of the policy for the insurance coverage you need. By analyzing your company’s financial records, an insurance premium audit determines your actual risk exposure. Every year, your insurance company conducts an audit of your policy. Typically, when…
-
Sunset Clause aka Sunset Provision
A sunset clause on a liability policy is an endorsement that limits the coverage provided by the policy to a specific period of time, and can limit the reporting period of a claim. This means that if a policyholder is insured under a policy with a sunset clause and a claim is made for a…
-
The Contractor’s Bond has been increased to $25,000 by the CSLB
According to the press release issued by CSLB on September 30,2022, as of January 1, 2023, the Contractors State License Board (CSLB) will require a $25,000 bond from all contractors. This increase was first announced by CSLB in December 2021. Senate Bill 607, signed into law in 2021, led to the increase. Bonds for…