Understanding the Trade Contractors’ Commercial Insurance Policies: The Significant Effects

If you're planning to start a construction business but do not know where to begin, you have to make sure that you can get your platform ensured first. Fortunately, we're here to help you learn all about special trade contractor insurance policies and how it can affect your overall business as an official contractor. 
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Here are five points that you need to know about these types of insurance policies to get things started.

1) Coverage
First, you have to make sure that you can learn all about coverage when it comes to your trade contractor policy. By being aware of these essential pieces of information, you will be able to understand the scope and limitations of your insurance policy before you begin using it.

2) Company Eligibility
Secondly, you have to ask the agent about your company's eligibility for the specialized trade contractor insurance policy. Various insurance companies can offer a wide variety of policies for carpenters as well as electricians and landscape artists.

3) Criteria
Some significant criteria need to be present and assessed to determine individual or business eligibility before companies can grant insurance policies. Here are some examples as follows: 

• Professional training credentials
• Years of active operation
• Specific nature of contacting jobs
• Size of the company itself

Contact your local insurance agent to find out more about the criteria above and how it can affect your eligibility as a contractor for the commercial insurance policies.

4) Expansions
There are also many ways for you to expand your coverage limits depending on certain factors: These factors include years of experience and operation as well as professional capabilities. The location of your business establishment can also play a role in determining your specific coverage limit.

These factors may vary depending on the type of company that you’re going to work with for insurance purposes. Make sure to contact your local insurance agent for more details regarding individual company policies regarding insurance coverage expansion.

5) Policy Limitations and Exclusions
You also have to be aware of the possible limitations of your commercial insurance policies for trade contractors. Below is a list of potential barriers as follows:

• Damage after Construction - If the incident causing damage occurs during a specific time after the construction has been finished, you would have to pay for the costs yourself.
• Damage Before Construction - Your construction company and its employees are not liable for any damage that occurs before construction or before the policy date takes effect.
• Mold and Mildew Exclusions - Your construction company is excluded from liability for damages caused by mold and mildew after construction.

Conclusion
By knowing these significant pieces of information, you will be able to understand better the need for insurance and how you can use it to your advantage as a specialized contact business owner.

For more information on the limitations of each policy and any other aspect of the individual trade contractor insurance policy, you should not hesitate to contact your local agent for guidance. It will keep you informed for sure.

At Desmond Insurance, we aim to provide comprehensive insurance policies that make your life easier. We want to help you get the insurance that fits your needs. You can get more information about our products and services by calling our agency at (859) 491-5100. Get your free quote today by CLICKING Here.