Excavation Contractors Insurance in Vermont
What is Excavation Contractor Insurance?
The nature of demolition and excavation work presents multiple risks, including both property and liability risks. Moreover, these are often significant perils that can have costly outcomes. Excavation contractor insurance offers Vermont businesses in this field one way to protect themselves from some of the risks they face.
Excavation contractor insurance is specialized commercial insurance for demolition and excavation businesses. Most of these policies are package policies that bundle coverages together, as this allows the policies to protect against several risks at once.
What Vermont Businesses Need Excavation Insurance?
Most Vermont businesses that primarily provide demolition and/or excavation services can benefit from the protections that an excavation insurance policy affords. Not carrying insurance can leave businesses dangerously and unnecessarily exposed to risks, and this tends to be the most suitable type of insurance for these businesses.
Excavation insurance may be suitable for businesses that do excavation and other work, however, businesses that are involved in both excavation and construction may need the coverages that are included in an excavation policy, but they likely need other coverages as well.
Businesses that are involved in both excavation and construction should consult with an insurance agent who specializes in these types of insurance. A knowledgeable agent will be able to review a business’ situation and render an informed policy recommendation.
What Coverages Are Included in Excavation Insurance?
Excavation insurance policies often include the following protections among their coverages:
- Commercial Property Coverage, which may insure buildings, equipment and tools
- Extra Expense Coverage, which may cover renting alternative facilities if current ones are rendered unusable
- Inland Marine Coverage, which may insure equipment and tools during transportation
- Commercial General Liability Coverage, which may insure against simple accidents
- Commercial Auto Liability Coverage, which may insure against employee-caused accidents
- Employment Practices Liability Coverage, which may cover claims of employment discrimination
- Commercial Umbrella Coverage, which may cover large lawsuits with an extra layer of liability protection
Some other coverages might also be available. The exact combination of coverages offered through a policy can vary.
Should Excavation Contractors Carry Workers Compensation Insurance?
Workers compensation insurance is an important protection that most businesses with employees are required by state law to carry. The insurance normally protects against workplace injuries, which are certainly a risk with excavation work. A policy will likely cover a portion of an employee’s salary and their medical costs if someone is injured on the job.
Thus, many excavation contractors should and are required by law to carry. General contractors also sometimes will only hire subcontractors who have this insurance.
What Are Waivers of Subrogation?
General contractors sometimes require excavation subcontractors to amend a waiver of subrogation onto the excavator’s workers' compensation policy. This waiver generally says that the insurance company providing the policy won’t pursue a negligent third party (i.e. the general contractor) if a workers compensation claim is filed.
An insurance agent can assist with adding a waiver of subrogation if one is needed.
How Much Do Excavation Contractor Policies Cost?
Premiums for excavation policies vary, because they’re based on a number of factors. A contractor’s scope of work, equipment, location, chosen coverages and past claims history are merely a few of the items that can influence rates.
In order to get an accurate quote that details how much insurance will cost in a specific situation, contractors should speak with an independent insurance agent. An independent agent is able to obtain customized quotes from multiple insurance agents, and help contractors compare each policy offering.
How Can Excavation Contractors in Vermont Get Excavation Contractor Insurance?
For help purchasing excavation contractor insurance in Vermont, contact the independent insurance agents at T.S. Peck Insurance. Our agents will work with you to determine your business’ specific insurance needs, and then we’ll find policy options that meet those needs. With our assistance, you can be confident that the policy you choose will protect your business well.