Foundation Layers Insurance Policy Information
Foundation Layers Insurance. A foundation is one of the most critical components of any type of structure. It's the very surface that every other element of a building lies on; the floor, the walls, and the roof. Without a foundation, a building would be structurally unsound. Needless to say, as a foundation layer, the work that you do exceedingly important.
Foundation layers dig into the ground to clear and level the ground on which a solid base will be erected for buildings or structures. Before the digging, the soil and rock are analyzed so the foundation will support the weight of the structure. The foundation can be shallow or deep and be made of block, brick, stone, or treated wood, or by pouring wet concrete into wooden or metal forms. The contractor may also do repair work such as underpinning.
Repair only contractors are sometimes referred to as basement contractors. A foundation may simply consist of a poured concrete slab without a basement. A foundation may extend several feet above ground over a crawl space and consist of walls or piles (columns) below grade (ground level) resting on footings, with the space between the walls filled with earth. The most elaborate foundation includes one or more basements, including footings, walls, and perhaps interior supports, with a finished floor or an unfinished floor made of packed dirt.
Like any business owner, there are a number of risks that are associated with operating a company that specializes in laying foundation. Members of your staff can sustain injuries, clients' property can be damaged, your property could be damaged, and any other number of incidents can arise. When they do, you'll be thankful that you have the right type of foundation layers insurance coverage.
Foundation layers insurance protects your contracting business from lawsuits with rates as low as $87/mo. Get a fast quote and your certificate of insurance now.
How Much Does Foundation Layers Insurance Cost?
The average price of a standard $1,000,000/$2,000,000 General Liability Insurance policy for small foundation layers ranges from $87 to $109 per month based on location, size, payroll, sales and experience.
Why Do Foundation Layers Need Insurance?
You work hard to make sure that you provide exceptional services. You are also diligent about the operations of your business, making every effort to ensure everything is running smoothly and properly. You stay current with the latest trends in foundation laying, work with the highest quality machinery, make sure that your staff is properly trained, and ensure that all safety protocol is being followed, for example. However, despite your efforts to make sure that everything is functioning properly, there is always a chance that something can go wrong.
A piece of equipment could malfunction and injure an employee; an error could occur while laying a foundation; a client could claim that you damaged their property. These are just some of the instances that could occur. When something goes awry, you will be held legally responsible. As such, you'll have to pay for any damages that occur; not to mention legal defense fees and settlement fees, should a third-party or employee take legal action. These expenses can be astronomically expensive, and could potentially lead to bankruptcy.
If you have the right type of insurance coverage, you won't have to pay for these types of expenses yourself; instead, your foundation layers insurance carrier will cover the cost. In other words, insurance can protect you from significant expenses that would otherwise be financially devastating.
What Type Of Insurance Do Foundation Layers Need?
As a foundation layer, the type of insurance coverage you need depends on a variety of factors; where you're business is located, the size of your operation, the number of employees on your staff, and the type of clients you work with, for example. A reputable insurance agent will be able to help you determine exactly what type of foundation layers insurance you need and how much coverage you should carry.
With that said, there are certain types of policies that all foundation layers should carry, including:
- Commercial General Liability - This type of coverage offers protection against third-party claims, including property damage and injuries. If a client claims you damaged their property and takes legal action, your policy will cover the cost of repairs, as well as legal fees.
- Commercial Property - You'll also want to invest in commercial property insurance, which will protect the building you operate your business from, as well as the contents within it. For instance, if a fire occurs, your policy will help to pay for anything that's lost or damaged.
- Inland Marine - Any equipment that you transport between job sites will need to be covered by inland marine insurance. If your cement mixer is vandalized while it's at a job site, this policy will help to pay for the damages.
- Business Auto - You'll also want to invest in commercial auto insurance to protect any vehicles that you use for work-related purposes. If you or an employee is involved in an accident, this policy will cover the damages.
- Workers Compensation - To protect your employees from work-related injuries or illnesses that they may sustain, workers' comp is a must. This coverage will pay for any necessary medical care, as well as lost wages. It can also pay for litigation, should an employee file a lawsuit.
The above are just a few examples of the different types of insurance coverage foundation layers should carry. You can certainly invest in individual policies; however, you should consider looking into a comprehensive policy that is specifically designed for foundation layers. This type of foundation layers insurance policy will offer all of the coverage you need in one plan, and it may even offer you discounted rates.
Foundation Layer's Risks & Exposures
Premises liability exposure is low at the contractor's premises since visitor access is limited, but equipment stored in the open may present an attractive nuisance to children. At job sites, the operation of heavy machinery and asphalt plants presents numerous hazards, especially if the contractor exercises inadequate control of the area.
The public and employees of other contractors can be injured due to trips and falls over debris, equipment, or uneven ground. Once a hole is excavated, there must be shoring or other supports to prevent collapse if people are to work in the hole. Digging can result in cutting utility cable, damaging property of the utility company and disrupting service to neighboring residences or businesses. A significant morale hazard may be indicated by the absence of detailed procedures to determine utility locations and to research prior uses of the land. The weight of large mixers and mix-in-transit vehicles can cause serious injury or property damage.
Hazards increase significantly in the absence of jobsite control, including spotters, signage, and barriers where appropriate. After hours, wet cement attracts children and vandals. At the job site, the contractor is responsible for the safety aspects of the entire project even after hours when there is no construction activity as construction sites create an attractive nuisance hazard, especially if work is close to residential areas.
All equipment must be disabled when not in operation to prevent untrained individuals from using it. Safety barriers such as perimeter fencing may be needed if the excavation work is complete but other construction has not yet started. Excavating in an area of existing structures requires extra vigilance to prevent foundation and structural damage to nearby buildings.
Completed operations liability exposures can be very high due to the potential for bodily injury and property damage that can occur from collapse due to improper installation and curing. Concrete may crack, rapidly deteriorate, or otherwise fail. The mixture of the cement and concrete and the materials used to harden and cure must meet all specifications. Quality control and full compliance with all construction, material, and design specifications is necessary, as is documentation of customer specifications, work orders, change orders, and inspection and written acceptance by the customer.
Environmental impairment liability exposures may arise from the waste generated in the fueling and cleaning of heavy equipment. Spills must be controlled and equipment monitored at all times. Allowing waste to accumulate either at the job site or in the contractor's yard could cause a severe environmental impairment situation. The insured must use safe methods to collect, transport, and dispose of the waste. Operations can result in claims of noise or dust pollution by neighboring properties and claims for cumulative structural damage to neighboring foundations from heavy traffic.
Workers compensation exposures can be very high. Lifting and back injuries, hernias, sprains, strains and crush injuries may arise from the clearing and excavation of the site, to the laying of the bricks, stone, blocks, or forms, to pouring of concrete, to the drying or curing and completion of the final project. Collapse of retaining walls, mudslides or landslides, sinkholes, or overturn of equipment may result in severe injury or death from crushing or suffocation.
Digging and grading of land may result in injury from underground electrical cable or gas lines. Common hazards include slips and falls, being struck by falling objects, and foreign objects in the eye, hearing impairment from noise, cuts, or puncture wounds, and bites from insects or vermin. As operations are often conducted in remote areas, it may be difficult to transport an injured worker to a medical facility to receive prompt treatment. Fine sand from the concrete mixture may cause eye injuries or even lung disease such as silicosis.
Pouring concrete from a mixer usually involves operations on top of the vehicle; the absence of proper guarding may significantly increase the exposure to loss. The absence of good maintenance, proper use of basic safety equipment, such as properly installed guards, steel-toed shoes, and eye protection, and strict enforcement of safety practices may indicate a morale hazard.
Property exposures at the contractor's own location are generally limited to an office and storage of material, equipment, and vehicles. The contractor's yard may store large mixing or batch plants to combine the ingredients for mixing cement or concrete and for loading them into trucks. If repair work on vehicles and equipment is done in the building, fire hazards may be high. If equipment and supplies are stored in the yard, they may be damaged by wind, vandalism, and theft. Adequate fencing and lighting should be in place to deter trespassers.
Crime exposure is from employee dishonesty. Background checks should be conducted prior to hiring any employee. All ordering, billing and disbursements must be handled as separate job duties and regularly audited. Physical inventories should be conducted on a regular basis to prevent employee theft of equipment.
Inland marine exposure is from accounts receivable if the contractor bills customers for services, contractors' equipment, construction materials in transit, installation floater, and valuable papers and records for customers' and vendors' information as well as custom project plans. Construction equipment and concrete mixed in transit are heavy and difficult to transport. The training of drivers and haulers, especially with respect to loading, tie-down, and unloading, is important to avoid damage to bulky equipment due to overturn or collision.
At the job site, hazards come from uneven terrain, from the abrasive or caustic nature of some of the materials, or from the sheer weight of the concrete as it may exceed the equipment's load capacity. Tools and equipment may strike underground objects or utility lines, fall into holes or pits, slip or fall into mud, water, or sinkholes, be damaged by rock, land, or mud slides, or burst into fire due to overload. They may be damaged by changes in the weather, water hazards, drops, or falls from heights, or being struck by other vehicles. The concrete forms lack identifying marks and must often be left overnight or longer at a site, increasing the exposure to vandalism and theft.
Materials and equipment left at job sites may be stolen or vandalized. Equipment should be secured and rendered inoperable when not in use. If the insured does guniting of foundation piles, the pressurized application should be well controlled. (Gunite is a protective cement and coating sprayed over wire mesh onto piles.) Copies of all records should be kept at an offsite location for easier restoration.
Commercial auto exposures can be very high. Since mix-in-transit units are among the heaviest on the road, they can cause severe bodily injury or property damage even in apparently minor collisions. These units are awkward to handle while driving or in operation, and are difficult to tow if they overturn or become stuck in mud. Roads in rural areas may be narrow and the ground uneven, increasing the risk of collision and upset.
The driver of the truck must be trained in handling a top-heavy vehicle as considerable skill and knowledge is required for safe driving. If there is a collision, the resulting overturn may spill the load spill onto a public road and preventing access until clean up is completed. All drivers must have appropriate licenses and acceptable MVRs. Vehicles must be maintained and the records kept in a central location.
Commercial Insurance And Business Industry Classification
- SIC CODE: 1741 Masonry, Stone Setting and Other Stone Work, 1771 Concrete Work
- NAICS CODE: 238110 Poured Concrete Foundation and Structure Contractors, 238140 Masonry Contractors
- Suggested ISO General Liability Code(s): 91560, 97447
- Suggested Workers Compensation Code(s): 5213, 5022
Foundation Layers Insurance - The Bottom Line
To find out more about foundation layers insurance, how much coverage you should carry, and how much this type of policy will cost, consult with a broker that specializes in contractors insurance.
Types Of Small Business Insurance - Requirements & Regulations
Perhaps you have the next great idea for a product or service that you know will appeal to your local area. If you've got a business, you've got risks. Unexpected events and lawsuits can wipe out a business quickly, wasting all the time and money you've invested.
Operating a business is challenging enough without having to worry about suffering a significant financial loss due to unforeseen and unplanned circumstances. Small business insurance can protect your company from some of the more common losses experienced by business owners, such as property damage, business interruption, theft, liability, and employee injury.
Purchasing the appropriate commercial insurance coverage can make the difference between going out of business after a loss or recovering with minimal business interruption and financial impairment to your company's operations.
Insurance is so important to proper business function that both federal governments and state governments require companies to carry certain types. Thus, being properly insured also helps you protect your company by protecting it from government fines and penalties.
Small Business Insurance Information
In the business world, there are many risks faced by company's every day. The best way that business owners can protect themselves from these perils is by carrying the right insurance coverage.
The The National Association of Insurance Commissioners (NAIC) is the U.S. standard-setting and regulatory support organization. Through the NAIC, state insurance regulators establish standards and best practices, conduct peer review, and coordinate their regulatory oversight.
Commercial insurance is particularly important for small business owners, as they stand to lose a lot more. Should a situation arise - a lawsuit, property damage, theft, etc. - small business owners could end up facing serious financial turmoil.
According to the SBA, having the right insurance plan in place can help you avoid major pitfalls. Your business insurance should offer coverage for all of your assets. It should also include liability and casual coverage.
Types Of Small Business Insurance
Choosing the right type of coverage is absolutely vital. You've got plenty of options. Some you'll need. Some you won't. You should know what's available. Once you look over your options you'll need to conduct a thorough risk assessment. As you evaluate each type of insurance, ask yourself:
- What type of business am I running?
- What are common risks associated with this industry?
- Does this type of insurance cover a situation that could feasibly arise during the normal course of doing business?
- Does my state require me to carry this type of insurance?
- Does my lender or do any of my investors require me to carry this type of policy?
A licensed insurance agent or broker in your state can help you determine what kinds of coverages are prudent for your business types. If you find one licensed to sell multiple policies from multiple companies (independent agents) that person can often help you get the best insurance rates, too. Following is some information on some of the most common small business insurance policies:
|Business Insurance Policy Type||What Is Covered?|
|General Liability Insurance||What is covered under commercial general liability insurance? It steps in to pay claims when you lose a lawsuit with an injured customer, employee, or vendor. The injury could be physical, or it could be a financial loss based on advertising practices.|
|Workers Compensation Insurance||What is covered under workers compensation insurance? This type of insurance protects a business and its owner(s) from claims by employees who suffer a work-related injury, illness or disease. Workers comp typically provides the injured employee with benefits to cover medical expenses, a portion of his/her lost wages, rehabilitation costs if applicable, and permanent partial or permanent total disability.|
|Product Liability Insurance||What is covered under product liability insurance? I pays an injured party's settlement or lawsuit claim arising from a defective product. These are usually caused by design defects, manufacturing defects, or a failure to provide adequate warning or instructions as to how to safely use the product.|
|Commercial Property Insurance||What is covered under business property insurance? General liability policies don't cover damages to your business property. That's what commercial property insurance is for. It protects all of the physical parts of your business: your building, your inventory, and your equipment, giving you the funds you need to replace them in the event of a disaster. If you work from home, you might consider a Home Based Business Insurance policy instead.|
|Business Owners Policy (BOP)||What is covered under a business owners policy (BOP)? This is a policy designed for small, low-risk businesses. It simplifies the basic insurance purchase process by combining general liability policies with business income and commercial property insurance.|
|Commercial Auto Insurance||What is covered under business auto insurance? This type of insurance covers automobiles being used for business purposes. This could include a fleet of business-only vehicles or a single company car. In some cases it might cover your car or your employee's car while they're being used for business. These policies have much higher limits, ensuring you can cover your costs if one of these vehicles gets into an accident.|
|Commercial Umbrella Policies||What is covered under commercial umbrella insurance? This type of policy is a sort of "gap" insurance. It covers your liability in the event that a court verdict or settlement exceeds your general liability policy limits.|
|Liquor Liability Insurance||What is covered under liquor liability insurance? It covers bodily injury or property damage caused by an intoxicated person who was served liquor by the policy holder.|
|Professional Liability (Errors & Omissions)||What is covered under professional liability insurance? This type of business insurance is also known as malpractice oe E&O. It covers the damages that can arise from major mistakes, especially in high-stakes professions where mistakes can be devastating.|
|Surety Bond||What is covered under surety bonds? Bonding is a contract where one party, the SURETY (who assures the obligee that the principal can perform the task), guarantees the performance of certain obligations of a second party, the PRINCIPAL (the contractor or business who will perform the contractual obligation), to a third party, the OBLIGEE (the project owner who is the recipient of an obligation).|
Who Needs General Liability Insurance? - Virtually every business. A single lawsuit or settlement could bankrupt your business five times over. You might also need this policy to win business. Many companies and government agencies won't do business with your company until you can produce proof that you've obtained one of these policies.
Business Insurance Required by Law
If you have any employees most states will require you to carry worker's compensation and unemployment insurance. Some states require you to insure yourself even if you are the only employee working in the business.
Your insurance agent can help you check applicable state laws so you can bring your business into compliance.
Other Types Of Small Business Insurance
There are dozens of other, more specialized forms of small business insurance capable of covering specific problems and risks. These forms of insurance include:
- Business Interruption Insurance
- Commercial Flood Insurance
- Contractor's Insurance
- Cyber Liability
- Data Breach
- Directors and Officers
- Employment Practices Liability
- Environmental or Pollution Liability
- Management Liability
- Sexual Misconduct Liability
Whether you need any or all of these policies will depend on the results of your risk assessment. For example, you probably don't need an environmental or pollution policy if you're running an IT company out of a leased office, but you would need data breach and cyber liability policies to fully protect your business.
Additional Resources For Construction Contractors Insurance
Learn about construction contractors insurance, including how much the premium costs and what is covered - and how business insurance can help protect your construction business from lawsuits.
- Demolition Contractors
- Foundation Layers
- Surety Bonds
Construction contractors have substantial needs for many types of insurance coverage. Most would point to the importance of coverage for completed operations, premises liability coverage during construction operations at jobsites and professional or design errors and omissions insurance.
Such coverages can be provided only when the interests of the contractor and of the property owner are understood; particularly the contractual obligations assumed by the contractor. Next in significance is the workers compensation exposure followed by business automobile. Inland marine coverage for expensive mobile equipment, supplies, other tools of the trade and builders' risk can be vital.
Liability coverage is needed by a construction contractor in order to obtain most jobs. In addition, if a contractor wants to stay in business, it must be obtained to protect it from lawsuits due to its premises operations, off-site locations and products/completed operations exposures. Owners and contractors protective liability and railroad protective liability coverages may also be required in certain cases in order for a contractor to meets its obligations for particular jobs.
Many construction contractors do not have the usual location-specific buildings and business personal property exposures. Their business property is more mobile and, therefore, better covered with inland marine coverage forms. However, for those larger construction contractors that own buildings and/or maintain business inventory there are many coverage forms and choices available to them.
Construction contractors use their vehicles to get to and from their workplaces and jobsites. They also use vehicles to transport equipment and inventory to those locations. It is important to cover the liability of these vehicles for injury or damage they may cause, as well as to provide coverage for damage to the vehicles themselves.
Employers are required to provide coverage for injuries sustained by their employees while on the job. Construction contractors must comply with these requirements but some try to avoid them by hiring subcontractors. These subcontractors may actually operate and qualify as employees. The relationship between a contractor and its subcontractors must be carefully evaluated in order to determine if workers compensation coverage is still needed.
Minimum recommended small business insurance coverage: Business Personal Property, Employee Dishonesty, Surety Bonds, Accounts Receivable, Builders' Risk, Computers, Valuable Papers and Records, General Liability, Employee Benefits Liability, Umbrella Liability, Business Automobile Liability and Physical Damage, Hired and Nonowned Auto Liability & Workers Compensation.
Other commercial insurance policies to consider: Building, Business Income with Extra Expense, Earthquake, Flood, Leasehold Interest, Real Property Legal Liability, Contractors' Equipment, Goods in Transit, Installation Floater, Cyber Liability, Employment-related Practices Liability, Environmental Impairment Liability, Stop Gap Liability, Unmanned Aerial Vehicles (UAV) (Drones).