Insurance for Ontario Contractors
Construction sites can be risky. An on-the-job mishap, incident, or an accident that involves a client or supplier could result in a costly lawsuit.
Do you have Ontario contractors insurance to protect your business?
Ontario contractors insurance helps protect you from liability claims. Without contractor insurance you would be responsible for paying any third-party liability claim expenses out of your own pocket. Could you afford that?
You may also hear this type of insurance called construction insurance.
How will Ontario contractor insurance protect my business?
Showing proof of insurance will give your customers confidence in your Ontario contractor/renovator/construction business.
An Ontario contractor insurance package can help protect you from these common claims:
- You’ve left equipment and tools on the floor and they have scratched a client’s hardwood floor. The client expects you to pay for the repairs to her floor. Commercial general liability (CGL) insurance can help cover the cost of repairing the floor.
Lawsuits, legal, and medical expenses can add up quickly without CGL insurance.
- You drove to a construction site with your personal car and were in an accident. Your personal car insurance typically does not cover you while on the job. Commercial auto insurance is essential for your construction business because it protects trucks, cars, buses, trailers, vans, construction vehicles and any other vehicle you use.
Commercial auto coverage also provides you with third-party liability coverage in the case of an accident.
How much does Ontario contractor insurance cost?
There is no one-size-fits-all insurance price for Ontario contractors.
The following factors are usually taken into consideration when calculating your premium:
- Your Ontario location
- Number of employees
- Annual revenue
- Services provided
- Past claims
- How long you have been in business
At Western financial Group, we are business insurance experts. We will save you time and money by doing the insurance shopping for you to find the right package at the right value for your Ontario contractor business.
What insurance do Ontario contractors need?
Commercial general liability insurance
It’s also known as “slip-and-fall” insurance because it protects against claims involving third-party bodily injuries, such as a client getting injured while you are doing work at their home or business.
It can also help protect you against third-party property damage such damaging property while you are doing work at a client’s home or business.
It also helps protect you, as an Ontario contractor, against allegations of false advertising, and libel or slander.
Without commercial general liability insurance, you would be responsible for paying any liability costs out of your own pocket, which can add up quickly.
It’s recommended that you have $2 million in CGL insurance, but you many need a higher amount if you are a large contractor.
Tools and equipment insurance
It replaces, or repairs damaged, stolen, or lost equipment and tools, accessories, or other property that you use in your cement/concrete business.
Anything valued at less than $1,500 is considered a tool and anything above that limit is considered equipment.
This type of insurance can also be called equipment floater insurance.
Commercial auto Insurance
Your Ontario construction business needs commercial auto coverage as part of your insurance package. Personal car policies will not cover your drivers or your contractor business.
Cyber liability insurance
Do you take digital payments and keep client information online? If so, your computer system could be hacked by cyberthieves.
Without cyber insurance, you will have to pay out of your pocket for the cost of restoring your system. You may also be liable for damages to third parties whose information has been stolen.
Commercial property insurance
Commercial property insurance keeps it protected from property losses, such as theft or vandalism. You can also add earthquake insurance, sewer backup or flood coverage extensions to protect your Ontario office headquarters.
Property you may need to insure:
- Buildings and other structures
- Furniture, equipment, supplies
- Computers
- Documents such as payroll, accounts receivable
Business interruption insurance
This type of insurance supports you when your Ontario contractor business can’t operate due to a covered loss.
There are a number of losses that can force your business to shut down. Some examples are:
- Damage to your equipment from fire or vandalism
- A major reduction in revenue due to a client/supplier facing losses of their own
- A disruption in your supply chain
Business interruption insurance can help with these expenses:
- Payroll
- Rent
- Utilities
- Property taxes
Get a Certificate of Insurance (COI)
A certificate of insurance shows that have taken steps to protect your Ontario contractor’s business and that you are a responsible business owner.
A typical COI includes the following information:
- The name of the insurance brokerage and its address that issued the COI
- The name of your insurance company
- Your name and the address of your Ontario small business
- Your insurance policy number and its expiration date
- A description of the insurance coverages on your policy
