Is your contracting business safeguarded against the risks associated with employee work-related accidents, injuries, and illnesses? As a contractor, employing a team comes with specific responsibilities. Most states require employers to carry workers' compensation insurance, although there are a few exceptions to the rule. However, even if you are exempt from the mandate, having this type of insurance can protect your business in a variety of ways if you have employees, and even help you grow. Workers' compensation insurance for contractors can give you coverage that helps keep your business running whenever an unpredictable situation arises.
Due to the labor-intensive nature of their businesses, roofers, plumbers, carpenters, painters, electricians, tile setters, and other types of contractors can face certain challenges that other small business owners do not. For contractors and their employees, serious on-the-job accidents, injuries, and illnesses can stem from a multitude of scenarios, including any of the following:
- The handling of hazardous materials or chemicals.
- The use of ladders, machinery, and heavy equipment.
- The physical strain of repetitive motions on a regular basis.
Even if you've provided your employees with rigorous safety training, preventing a serious accident from happening isn't always a possibility. That's where workers' comp for contractors can help. By offsetting some of the financial risks you might experience when an employee becomes sick or injured on the job, you can be better prepared to carry on with your business and protect your people, even when an unfortunate event arises.
How Does Workers' Compensation Cover Contractors?
Your employees are your business' livelihood, and workers' compensation can help ensure that they are covered while working for you. Depending on each event, your policy can cover you and your employees for:
- Compensation for lost wages
- Medical bills, including hospitalization and surgeries
If an employee files a claim against you due to a workplace accident or injury, the costs associated could be astronomical. Without workers' comp, your business could be responsible for a significant financial burden. With workers' compensation insurance, an employee generally cannot successfully bring claims against his or her employer for a workplace injury or accident after drawing benefits.
Additional Coverage Options for Contractors
Having an adequate amount of insurance coverage is a necessity for any contractor, although determining which policies to consider can vary dramatically based on your specific field, your location, and the way you run your business. For example, if you own or operate expensive machinery or carry a large amount of valuable inventory, commercial property insurance can help protect your most valuable equipment and assets.
General liability insurance policies can also protect you if a third-party, such as a customer, files a lawsuit against you for an injury received at your business premises or as a result of property damaged by your business. In fact, some customers may refuse to work with a contractor that is unable to show proof of general liability insurance.
How Can I Learn More about Workers' Comp for Contractors?
Let AmVenture help you find insurance products and policy limits that can help your contracting business succeed. With our experience and access to bespoke insurance solutions for small businesses, we can provide you with options for workers' compensation and other types of insurance plans that can benefit your business. Contact us today to learn more, or fill out the brief form for a free quote.