When engaging in construction activities, there are several insurance coverages you should consider to protect your construction projects, workers, and mitigate potential risks. Here are some common types of insurance coverage for construction:

  1. Builders Risk Insurance: Builders risk insurance, also known as course of construction insurance, provides coverage for damage or loss to a construction project during the course of construction. It typically covers the structure, materials, and equipment on-site. This coverage helps protect against perils such as fire, theft, vandalism, wind, or hail damage.
  2. General Liability Insurance: General liability insurance is crucial for construction projects. It provides coverage for bodily injury, property damage, and personal injury claims arising from construction activities. This coverage protects you against lawsuits and can cover legal fees, settlements, and judgments.
  3. Workers’ Compensation Insurance: Workers’ compensation insurance is typically required by law if you have employees working on your construction projects. It provides coverage for medical expenses, disability benefits, and lost wages to employees who are injured or become ill in the course of their employment. This coverage helps protect both your workers and your business from potential legal and financial consequences.
  4. Contractors Pollution Liability Insurance: Contractors pollution liability insurance is important for construction projects that involve activities that may cause environmental pollution or contamination. It provides coverage for bodily injury, property damage, and cleanup costs resulting from pollution events during construction.
  5. Professional Liability Insurance: Professional liability insurance, also known as errors and omissions insurance, is relevant for construction professionals such as architects, engineers, or design-build contractors. It provides coverage for claims of professional negligence, errors, or omissions in design or project management, which may lead to financial losses or project delays.
  6. Commercial Auto Insurance: If you have vehicles used for construction purposes, such as trucks or equipment transport vehicles, commercial auto insurance is necessary. It provides coverage for liability, property damage, and physical damage resulting from accidents involving your construction vehicles.
  7. Umbrella/Excess Liability Insurance: Umbrella or excess liability insurance provides additional liability coverage beyond the limits of your primary liability policies. It helps protect you from large liability claims that exceed the coverage limits of your other policies, providing an extra layer of protection for your construction business.