An Important Definition and
Some Related Considerations
A “contractor” is an independent businessperson. It
is not an employee of or controlled by the customer for which it is doing work.
An independent contractor is free to do the assigned work in the way, on the timeline,
and using the personnel that it selects. The contractor’s final responsibility
is to deliver a product or to perform a service that conforms to the
specifications set forth by the contractor’s customer.
The contractor’s duties are usually specified in a
verbal or written contract. A contract is a set of promises, supported by
something of value. The “value” can consist either of mutual promises or of
money. A contract can provide that each party will either do something or
refrain from doing something. In the case of a construction contract, for
example, to build or to remodel something, the contract is usually in writing.
In fact, the law of most states requires that contracts dealing with certain
subjects be written in order to be enforceable.
The customer that hires a contractor is concerned
not only that the work is done well and as specified in the contract, but also,
that the contractor has the financial ability to correct defects. There are
circumstances that might arise where the customer having the relationship with
the contractor could be held legally responsible to a third party for the
actions or the inactions of the contractor. An example of this is if someone is
hurt on the job site when the contractor is performing its work.
That is where insurance comes in. Fundamentally,
insurance provides a source of payment of money damages if something goes
wrong. Payment can go directly to the party that sustained the harm, or to
reimburse the insured for damages paid out of pocket. These details will be
specified in the insurance contract purchased.
How We Can Help
Not all insurance policies cover all kinds of
occurrences. For that reason, it is usually important to have a variety of
policies. These can be purchased separately, but they can also be assembled into
a “package” that includes the most common types of commercial coverage.
Insurance Plus offers expert
advice on the selection of the proper insurance for both the new and the more
experienced contractor. We look forward to working with you in the growth of
your business and in serving your risk management needs.
Casualty Insurance consists primarily of liability coverage, which protects
contractors against injury or damage claims made by other parties. Policies provide for liability arising out of:
Premises and Operation
Fire Damage Liability (damage by fire to premises rented to insured)
Personal and Advertising Injury
When buying Contractors insurance in Houston, You may want to
consider a business
owners Package which combining your
Contractors General Liability Insurance, Property and other types of coverage into one comprehensive
insurance policy and which can help you save time and money on your total
protection cost. And since we live in an age of million-dollar lawsuits, you may also want to add extra liability protection in the form of a Commercial Umbrella Policy
where appropriate. We can tell you more about these plans and if they make sense for you.
COMMERCIAL PROPERTY INSURANCE
Property Insurance covers the risk of property loss in a variety of commercial situations, including commercial buildings, equipment, furniture, fixtures, inventories, business records, supplies and other physical items.
Property Insurance may cover two types of property losses:
Direct losses may be covered when property is lost, stolen, damaged or destroyed.
Indirect or consequential losses related to direct losses may also be covered.
TX BUSINESS AUTO INSURANCE
Business auto insurance in Houston TX covers vehicles that are owned, leased, hired or borrowed by businesses, whether they are associations, corporations, partnerships or sole proprietorships. Business auto plans may be used to insure private passenger autos and all types of trucks, trailers, semi trailers and commercial vehicles designed for use on public roads. We can give you more details about specific insurance coverage and deductibles and about tailoring a Business Auto plan that's right for you and your business.
Contractors Insurance in Houston Texas.