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Builders Insurance

Get Free Quotes from Top Insurers to Find Personalized, Affordable Coverage.

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Simply Business is pleased to provide tailored insurance options from:

Construct a Solid Business with Builders Insurance

It’s safe to say you know a thing or two about creating something from nothing. You’ve spent years building homes or commercial spaces, and now you’re building a business, too. Everything needs a solid base to sit on if you want it to last for years to come, and for your business, that foundation is business insurance.

Simply Business offers insurance that protects your business in case of an accident. We make it easy to get builders insurance, too. You don’t need to be an insurance expert; you just need to answer a few questions about your business to get free, personalized quotes.

In just 10 minutes, you can get a quote, get insured, and be on your way.

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Insurance FAQs:

  • What is Business Insurance?
  • What is General Liability Insurance?
  • What is Professional Liability Insurance?
  • More business insurance FAQs

Coverage Type

  • Small Business Insurance
  • General Liability Insurance
  • Professional Liability Insurance
  • Self-Employed Business Insurance

Here are two types of business insurance available to builders:

  • General liability insurance
  • Workers compensation insurance

Benefits of these two types of insurance include:

  • It can protect your business from certain claims.
  • It can cover mistakes and damages caused by your services.
  • Proof of insurance can help customers feel good about your work.
  • It may be legally required where you’re located.

Builders taking materials out of a van

What Types of Builders Insurance Do I Need?

You have customers to manage, deadlines to meet, and materials to buy. With all of that on your plate, there isn’t much time left to learn the fine details of builders liability insurance. Need a quick lesson on getting business coverage? Here are the basics.

General Liability Insurance

Insurance can be a generalist or a specialist, just like a contractor. General liability insurance, as the name suggests, is a comprehensive insurance plan. This type of builders liability insurance covers bodily injury, property damage, and third-party accidents.

In your case, “third-party” accidents refer to your customers or vendors. You might also want to add contents coverage, which could help you out if your tools or equipment are stolen.

General liability insurance covers a lot of situations because there’s a lot that can happen in a business. The average claim for damage or accidents in small businesses is $30,000, which means that being insured could protect your finances from a big hit.

What does general liability coverage look like for a builder, though? Imagine you’re working on a cabinet install job at a customer’s house. As you’re picking up the cabinet for installation, your hand slips and the cabinet falls to the floor. Unfortunately, the cabinet damages the hardwood floor, and the customer is not happy.

Without insurance, you may have to pay for the damaged floor and cabinet, which would cut into your profit for the project. However, if you have builder insurance, your policy would cover the homeowner’s property damage (up to your limits).

So what does general liability insurance usually cover in your builder business? Here’s a recap:

  • Third-party property damage (e.g. customers or vendors)
  • Bodily injury
  • Medical expenses
  • Personal and advertising injury
  • And more

General liability insurance usually does not cover:

  • Personal property damage
  • Professional services
  • Employee injury and workers compensation
  • Damage to your work
  • Motor vehicles during business use
  • Intentional injury or damage
  • And more

Workers Compensation Insurance

Many hands make for light work, especially on a job site. If you have employees, though, you need additional insurance coverage. In most cases, if you have part-time or full-time employees, you need to carry workers compensation insurance. Workers comp insurance policies cover medical bills, lost wages, and any legal costs associated with an employee who got sick or hurt on the job.

Workplace injury claims cost an average of $41,000. Unfortunately, a construction site is a particularly dangerous place to work. The construction industry accounts for just over half of all fatal worker falls, and one in every ten construction workers is injured annually.

In addition to typically being a legal requirement, having workers comp insurance safeguards your employees and your finances. Workers compensation insurance for builders may cover:

  • Medical payments
  • Lost wages
  • Rehabilitation expenses
  • Death benefits

Builder using tools

Why Should I Get Builders Liability Insurance?

You never know what’s just around the corner in your business, and builder insurance is there for you in the good and bad times.

No matter how careful and diligent you are, accidents can happen. If you aren’t prepared, any “oops” moment or workplace injury could bankrupt your business and put you back at square one. Luckily, there are ways to prevent worst-case scenarios from bringing your business down. Forty-three percent of small business owners have reported being threatened with or involved in a civil lawsuit, so having business insurance could lessen the financial burden.

How much is builders insurance? It depends on your business details, which means you don’t have to worry about paying premiums way above your needs. Your insurance cost depends on factors such as the types of services you provide, your location, how many employees you have, your annual revenue, and more. You can answer a few questions here to get a tailored estimate.

A small monthly investment into a builders insurance plan could save you tens of thousands of dollars down the line. The average costs small business owners are exposed to without insurance include:

  • $30,000 for property damage or accident claims
  • $39,000 for work injury claims
  • $50,000 for reputational harm claims (e.g., slander or libel)
  • $20,000 for a customer slip-and-fall case

Having insurance also can help your business grow. When you buy insurance through Simply Business, you’ll get a certificate of insurance (COI). Having a certificate could help you:

  • Rent out a room or space for your business
  • Convince other people to work with you
  • Earn customers’ confidence
  • Open another location
  • And more!

Question marks

Builder Insurance FAQ

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Is builder insurance required by law?

State governments determine their business insurance requirements, so your required coverages will depend on where you live. Even in states where builder insurance isn't required, it is highly recommended. Workers compensation is almost always required if you have employees.

Builder measuring wood

Why Choose Simply Business?

Simply Business is one of the fastest-growing online small business insurance providers, and thousands of clients (including builders like you) trust us to protect their business. Our simple quote process makes it easy to compare free quotes from top insurers.

So why choose Simply Business? It’s, well, simple:

  • We’re fast and affordable. We understand that looking for business insurance isn’t what you want to do for fun on your day off, so we make the process as easy as possible. Our policies are fast, affordable, and ready when you are.

  • We’re flexible with coverage. Your insurance needs change as your business evolves, and we can help at every step of the way.

  • We get your business. Small businesses are unique, and you deserve to be treated as an individual. Get the exact coverage your business needs when you need it.

You work hard to make your business dreams a reality, and you deserve to have a supporter in your corner. That’s why we offer the best coverage to protect you.

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Businesses We Insure

  • Carpenters Insurance
  • Commercial Contractor Insurance
  • Contractors Insurance
  • Debris Removal Insurance

Other Businesses We Insure

  • Glazier Insurance
  • Steel Erectors Insurance
  • Subcontractors Insurance
  • Utility Contractor Insurance

This content is intended to be used for informational purposes only. It is not intended to provide legal, tax, accounting, investment, or any other form of professional advice.

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*Harborway Insurance policies are underwritten by Spinnaker Insurance Company and reinsured by Munich Re, an A+ (Superior) rated reinsurance carrier by A.M. Best. Harborway Insurance is a trade name of Simply Business, Inc., which is a licensed insurance producer in all 50 states and the District of Columbia.

© Copyright 2020 Simply Business. All Rights Reserved. Simply Business, Inc. is a licensed insurance producer in all U.S. States and the District of Columbia. Simply Business has its registered office at Simply Business, 1 Beacon Street, 15th Floor, Boston, MA, 02108. In the state of California, we operate under the name Simply Business Insurance Agency, Inc., License #0M20593. In the state of New York we operate under the name Simply Business Insurance Agency. In the state of Texas we operate under the name, U.S. Simply Business, Inc. For more information, please refer to our Privacy Policy and Terms & Conditions.