Buy Drywall Contractor Insurance

Drywall contractor insurance is a type of insurance that is specifically designed for businesses that provide drywall installation and repair services. This type of insurance typically includes coverage for property damage, liability, and workers' compensation.

It may also include coverage for equipment breakdown, business interruption, and additional endorsements such as pollution liability or professional liability.

The purpose of drywall contractor insurance is to protect the business and its employees from financial losses due to accidents, errors, or other unforeseen events that may occur during the course of their work.

The average price of a standard $1,000,000/$2,000,000 General Liability Insurance policy for small drywall businesses ranges from $47 to $59 per month based on location, size, payroll, sales and experience.

Drywall contractors need insurance for a variety of reasons. Firstly, insurance provides financial protection in case of unexpected accidents or injuries that may occur on the job. For example, if a drywall contractor accidentally drops a heavy piece of equipment on someone's foot, the resulting medical expenses and potential legal fees could be financially devastating without insurance.

Secondly, drywall contractors insurance can protect against liability claims. If a customer or third party alleges that the drywall contractor's work caused damage to their property or caused them harm, insurance can cover the costs associated with defending against such claims and any potential settlements or judgments.

Finally, insurance can help drywall contractors maintain a professional image and build trust with their customers. Customers are more likely to trust and do business with contractors who are fully insured, as it demonstrates that the contractor takes their responsibilities and the potential risks of their work seriously.

In summary, insurance is an important tool for drywall contractors to protect themselves, their employees, and their customers against unexpected accidents, injuries, and liability claims. Without insurance, drywall contractors risk financial ruin and damage to their reputation.

There are a wide variety of drywall contractor insurance options. Generally, a drywall contractor will need a number of different coverage policy parts or insurance covers to adequately cover the kinds of risk and exposure inherent to being a drywall contractor at their workplaces. Here are common insurance coverages for drywall contractors:

• General Liability Insurance: General liability for drywall contractors comprises of three areas of coverage: products liability, premises liability, and completed operations. If a customer visits your office and they happen to trip over a power tool set next to the door, their bodily injuries can be covered by premises liability. On the other hand, completed operations covers any damages owing to completed drywall-work, after the work is already done.
• Bond: A surety bond is a monetary guarantee to the licensing department of your state and your customer just in case you fail to complete a task according to your bid. It'll also typically be needed in order to receive a permit and license to operate in your state.
• Workers Comp: Workers compensation insurance pays for hospitals, doctors, prescription drugs, lost wages and other related medical or recovery costs if one of the employees gets injured on the job. Most states require require workers compensation for any non-owner or partner employees.
• Crime Insurance: This is an important policy for your business as it protects against crimes like vandalism, theft, and other fraudulent activity. Vandalized property, losses when services get paid with a stolen credit card, or stolen items are covered by crime insurance.
• Umbrella Policy: Liability insurance plan for drywall contracting businesses provides great coverage, but have limits, whether it is general liability or property insurance. This is business insurance coverage for worst case scenarios. In case your standard business insurance covers reach their maximum payout limits, then an umbrella policy can offer you with additional coverage.

Premises liability exposures at the contractor's office are generally limited due to lack of public access. Off-site exposures include damage to the clients' other property by the contractor's employees, bodily injury to members of the household, the public or employees of other contractors. Tools, power cords, plastering materials and scrap all pose trip hazards even when not in use. If there is work at heights, falling tools or supplies may cause damage and injury if dropped from ladders and scaffolding. Contractors can damage customers' premises removing old ceiling and wall coverings.

Completed operations liability exposures depend on the type of plastering being done. If the plastering is for waterproofing or fireproofing, faulty installation can result in significant property damage, and in the case of fireproofing, loss of life. A growing concern is the installation of exterior insulation and finish systems (EIFS). This refers to a synthetic stucco with insulating properties that has recently been blamed for causing moisture and termite problems affecting the structural integrity of a residence. It is not clear whether the manufacturer or the installer has the greater liability.

Environmental impairment liability exposures arise from the removal, transport, and disposal of waste and old debris that has been removed from the job site. As some of these older materials may include lead-based paints or asbestos, proper disposal procedures must be in place. Transportation and disposal procedures must adhere to all EPA and other regulatory standards. Training and supervision of employees is critical.

Workers compensation exposure varies based on the size and nature of the job. When work is done on ladders and scaffolds, there is a potential for severe injury or death from falling or being struck by falling objects, or from severe weather during exterior operations. Drywall installation may involve the use of low stilts in the mudding and taping phases.

Back injuries, hernias, sprains and strains can result from lifting or plastering in awkward positions. Repetitive motion injuries may occur. Drywall and wallboard need to be cut to size, which can result in cuts and piercings. Dust cutting, trimming, and mixing operations can irritate eyes and lungs.

Property exposures are usually limited to an office and storage for supplies, tools and vehicles. Most supplies are not flammable or combustible, nor are they normally considered target theft items.

Crime exposures are from employee dishonesty. Background checks, including criminal history, should be performed on all employees providing services to customers or handling money. All ordering, billing and disbursement should be handled as separate duties with reconciliations occurring regularly.

Inland marine exposures include accounts receivable if the plasterer offers credit to customers, contractors' equipment and tools, goods in transit, installation floater, and valuable papers and records for customers' and suppliers' information. Equipment may be limited to trowels, spray guns, and other hand tools, or there may be ladders, scaffolding, and similar equipment.

The contractor may rent, lease or borrow equipment for unusual jobs or own special equipment that is leased, rented or loaned to others when not in use. The materials awaiting installation are subject to loss or damage by moisture, by employees of other contractors, vandalism, and theft.

Commercial auto exposures include the transportation of workers, equipment, and materials to and from job sites. MVRs must be run on a regular basis. Random drug and alcohol testing should be conducted. Vehicles must be well maintained with records kept in a central location.

Drywall contractors may be sued for a variety of reasons, including but not limited to:

• Property damage: If a drywall contractor accidentally damages a client's property, they may be sued for the cost of repairs or replacement.
• Bodily injury: If a client or a third-party suffers an injury on the job site, the drywall contractor may be sued for medical expenses, lost wages, and other related costs.
• Breach of contract: If a drywall contractor fails to complete the work according to the agreed-upon terms, the client may sue for breach of contract.
• Negligence: If a drywall contractor fails to take reasonable care in performing their duties, resulting in damage or injury, they may be sued for negligence.

Insurance can help protect drywall contractors from these lawsuits. Here are some examples:

General liability insurance: This type of insurance can protect drywall contractors from claims of property damage and bodily injury. If a drywall contractor accidentally damages a client's property or a third-party suffers an injury on the job site, general liability insurance can help cover the cost of legal fees, settlement, and damages.

Professional liability insurance: Also known as errors and omissions insurance, professional liability insurance can protect drywall contractors from claims of negligence and breach of contract. If a drywall contractor fails to perform their duties according to professional standards or breaches the contract, this insurance can help cover the cost of legal fees, settlement, and damages.

Worker's compensation insurance: This type of insurance can provide financial assistance to drywall contractors who suffer a job-related injury or illness. It can help cover medical expenses, lost wages, and other related costs.

It's important for drywall contractors to have the appropriate insurance coverage to protect themselves and their business from unexpected lawsuits. It can also help give clients peace of mind knowing that they are working with a contractor who takes their responsibilities seriously and is prepared for potential risks.