If you are a contractor, you spend a lot of time working for others. You will eventually finish your project, though, and leave your clients to enjoy the results. Still, there is no guarantee that you will leave behind a foolproof product. Should problems arise, there is a chance you might be responsible for the losses. You might still have to provide some form of restitution. The right type of general liability insurance might help you do so. Here's a look at why that is.
What Might Happen After You Leave A Project
Contractors build items to last. Yet, you have no assurance that your work will withstand the test of time. After you leave the home, a sudden mishap, brought on by your work, might create a problem.
Let's say that one of your clients hires you to install a flat screen TV over their mantle. You complete the work, and everything seems to check out fine.
Yet, after you leave, a worst-case scenario strikes. The anchor holding the TV to the wall cannot support its weight. So, the TV breaks loose and falls. Think of some of the damage that might result:
- The TV itself could sustain damage or destruction.
- The falling TV might pull the anchor loose. This could damage drywall and even the home's electrical setup.
- The falling TV might fall onto the mantle. It could damage items on the mantle, first. Then, it might cause damage to the mantle's structure, or even collapse it.
The client will likely be angered by the accident. As a result, they might blame you for their losses and expect you to pay for the repairs and replacement. Because you installed the items, you might have a responsibility to do so.
A client might sue you because faulty installation damaged their property. As a result, you might have to repay them. But, if you have appropriate liability insurance, you might have help.
Most general liability policies will include property damage coverage. So, if you damage a client's property, you might have coverage to repay them. Yet, in the TV installation example, more coverage is likely needed. Since you were involved in the setup, you might also need a more specific type of coverage, completed products insurance. This work will come into play if your work, itself, becomes damaged or causes a problem that injures a client or damages their property.
Talk to your Heritage Insurance agent about the exact type of contracting work you provide. They can help you determine if you need completed products insurance. If you will provide a type of product to your clients, you can likely benefit from this coverage.