What Insurance Do Cement Contractors Need?
Cement and concrete contractors lay the foundations for homes and buildings. You also build and repair driveways, and sidewalks, among other projects. Your work also exposes you to risks that require a customized concrete business insurance policy.
You need to protect your cement or concrete business from lawsuits involving bodily injury or property damage with insurance specific to your industry.
Does your cement or concrete business serve commercial or residential clients in downtown Toronto?
Or does your cement or concrete business serve one of Toronto’s many neighbourhoods?
Does your cement or concrete company do business in Scarborough, Etobicoke, North York, York, East York or are you in Mississauga, Brampton, Vaughan, Newmarket, Aurora, Orangeville, or Milton?
Wherever your cement or concrete is located in Toronto, Greater Toronto Area (GTA) or anywhere in Ontario, your Western Financial Group business insurance expert will give you top-notch insurance advice and ways to save on your cement/concrete business insurance.
How will customized cement/concrete insurance protect my business?
As a cement/concrete specialist, you could be working on residential, institutional, commercial, and industrial projects. Or you could be working on sidewalks and streets. Each job can bring risks and you need to be prepared for them with the right insurance.
Showing proof of insurance will give your customers confidence in your cement/concrete business.
When you have the right cement or concrete insurance package, it helps provide legal and financial protection when something goes wrong on the job.
A cement/concrete business insurance package can help protect you from these 3 common claims:
- You accidentally spilled cement and it splattered on a parked car and the owner of the car sues you. Commercial general liability (CGL) insurance would help cover property damage caused by your cement business and it would help cover legal costs to defend you and your business in court, regardless of the legal outcome.
- You fail to finish a cement retaining wall before winter and moisture infiltrates the cement and cracks the wall and you get sued for the damage. Professional liability insurance (also called Errors and Omissions insurance) can help cover defense costs and any settlement resulting from a claim of negligence.
- A thief breaks into your storage shed and steals your cement mixers and other equipment. Tools and equipment insurance could help cover the cost to replace what has been stolen.
Here’s an insurance checklist for masonry/bricklaying contractors:
- Do you have the best business insurance rate that suits your cement/concrete business?
- Do you have the right amount for your deductible and regularly review it to make sure it’s the right amount for your business?
- Do you know the value of your equipment and tools and are they properly insured?
- Are you or your employees using personal vehicles for your work?
Did you know that a cement (concrete) finisher is a skilled trade in Ontario?
How much will insurance for a cement/concrete business cost?
The amount of money that you will pay for customized insurance for a cement/concrete business will depend on the following factors:
- The size of your business
- Your average annual revenue
- Specifics of your business; services you provide
- Any past claims
- How many employees you have
- How long have you been in business
At Western, 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 cement/concrete business.
What’s in a cement/concrete business insurance package?
Commercial general liability (CGL) insurance
CGL insurance is 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 cement work at their home or business.
It can also help protect you against third-party property damage such damaging property while you are doing cement/concrete work at a client’s home or business.
It also helps protect you 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 wouldn’t be uncommon for you to have $2 million of CGL insurance and $5 million or more if you are a large cement/concrete contractor.
In most provinces and municipalities, you must have at least general liability insurance as a cement/concrete contractor.
Professional liability insurance
This type of insurance is also known as errors and omission (E&0) insurance.
If you are faced with a lawsuit as a cement/concrete contractor, professional liability insurance can help protect you against loss in the event of a lawsuit due to a negligent act, or an error or omission during the course of your services to a client.
In addition to claims of error, omission, or negligence, E and O can also protect against slander, libel, and breach of contract.
Some of the most common E & O situations that cement/concrete contractors may face include:
- Projects that are not completed according to the contract with a client, such as being over budget
- Cement/concrete work not finished on time
- Defects in your work
Professional liability insurance helps cover legal defence costs and settlement costs.
Pollution liability insurance
Cement paving and concrete-related work could involve different kinds of pollution or environmental damages that occur either right away or over time. This type of insurance provides you with financial support for clean-up costs for environmental damage, emergency response costs, and coverage for civil fines.
Business interruption insurance
Business interruption insurance can mean the difference between closing and not reopening. This type of policy usually covers vandalism, fire, wind, flooding, and other risks (make sure to understand what your policy covers).
If there is an insured loss at your cement/concrete business that’s severe enough to prevent it from being open, the expenses associated with getting your business running again will be covered.
Your policy will help compensate you for lost income and expenses that you will need to continue paying even while your cement business is unable to be open.
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 cement/concrete business needs commercial auto coverage as part of your insurance package. Personal car policies will not cover your drivers or your business.
Commercial property insurance
This type of insurance keeps your cement/concrete company protected from property losses, such as theft or vandalism. You can also add earthquake insurance, sewer backup or flood coverage extensions to protect your cement/concrete office headquarters.
Property you may need to insure:
- Buildings and other structures
- Furniture, equipment, supplies
- Documents such as payroll, accounts receivable
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 and you may have to pay for notification expenses to inform customers affected by a breach.
Legal expense insurance
If you need a lawyer, fees can get expensive quickly. Legal expense insurance provides you with funds to retain an experienced lawyer for many reasons, including tax audits, employment disputes, debt collection, and contract disputes.
This type of insurance also covers costs if you are going to take legal action against a company or individual for damaging your property.
What do I do if my cement/concrete business has an insurance claim?
Contact your broker immediately after any business-related mishap. Waiting to file a claim can confuse insurers about the severity of the damages to your business.
- Know your policy so that when you contact your broker you are familiar with what will be covered or not.
- Document the damage. Take photos right away and write down what happened.
- Do not throw away damaged goods after taking photos. Keep the physical evidence so that your adjustor can see it.
- Do not invite lawsuits. Don’t say anything that could be used against you, especially if you aren’t sure what happened.
- Be honest about what your damaged property is worth. Damaged commercial property is generally valued according to its actual cash value or replacement value.
Western Insurance has licensed BUSINESS INSURANCE EXPERTS to get your cement/concrete business the right insurance package. Our experts are available now to help you navigate the business insurance journey to protect your cement/concrete company.