Solid coverage for your construction business
Much like when you’re building or landscaping, your insurance coverage needs to be on solid ground! The risks related to worksites, equipment and accidents are real.
For construction companies, especially those that are just starting out, choosing the right insurance can be a daunting task. Civil liability, equipment insurance, employee disability... we'll explain the coverage you’ll need to ensure your peace of mind, so that the slightest unexpected event doesn't crash your business.
Is business insurance mandatory?
Not necessarily, but it's highly recommended.
On a worksite, you should expect the unexpected. Injury, equipment malfunction, theft or other losses will quickly put your projects in jeopardy. The right coverage allows you to deal with surprises without compromising profitability or deadlines.
In addition to protecting your finances, insurance may be mandatory to operate legally or bid on RFPs. Insurance ensures compliance with industry standards and reassures your customers.
A well-insured company will be deemed reliable and trustworthy, which can make all the difference when it comes to the winning bid.
What to choose?
The basic contract for construction companies includes comprehensive multi-risk coverage to protect what you've built and secure your assets.
Insurance for your property
Protect your commercial property accordingly! Buildings, merchandise and tools can all be covered.
Comprehensive insurance not only protects assets, it ensures business continuity.
Business interruption insurance
Accidents and equipment breakdowns can quickly bring your operations to a halt.
While you concentrate on your business continuity plan, this protection will cover the costs your company incurs to keep operations going.
Liability insurance
You want your worksites to be as safe as possible for employees, subcontractors, suppliers and visitors.
Despite all precautions, injuries can happen. If someone is injured, your company could be held liable. It's best to have good coverage.
A real-life example. An employee accidentally hooks a power line. Don't worry, you’re covered!
Liability insurance gives you peace of mind by covering legal fees and compensation when your company is deemed responsible for injury or damage. It also covers your subcontractors.
Insurance against dishonest acts
Protect your business from embezzlement by any of your staff. Good insurance can help mitigate financial losses and keep your business afloat.
Other optional coverage
To protect your construction company even more, consider adding special clauses and coverage to your basic insurance contract.
Worksite insurance
This coverage can be added to your basic business insurance contract.
Worksite insurance is valid until all construction or renovation work is complete. It’s only after a job is finished that the owners' insurance takes over.
You’ll therefore want to cover all perils, such as theft or fire, for on-site materials and supplies.
However, some exclusions apply. To find out, talk to your insurer.
Tools and equipment
When basic coverage is too little for your tools and equipment, you may want to add this coverage. This will insure all your assets at their full market value.
Commercial vehicle insurance
It goes without saying that your vehicle fleet is essential for carrying out all the work.
This protection covers your vehicles and trailers against:
- Collision
- Hit-and-run
- Fire
- Theft
- Vandalism
- Hail and flood damage
- etc.
All drivers are covered for civil liability.
You could also add roadside assistance.
Licence security
Don’t forget the RBQ (Régie du bâtiment du Québec) licence security (This hyperlink will open in a new tab). A valid licence serves as an incentive for customers to trust you.
It’s essential for obtaining and maintaining an RBQ contractor's licence. It covers your legal obligations and compensates clients who have suffered harm.
A personalized insurance contract
Finding the right insurance for your business isn't just about price. The first step is to assess your needs, which will vary according to:
- company size
- speciality (general contracting, landscaping, etc.)
- the number and nature of projects
Not all insurers offer the same coverage and level of protection. Take the time to shop around.
Finally, work with your insurer to make sure your coverage is adapted to your risks and situation.