The function of electrical contractors’ insurance is to shield you against possible disservice and protect your livelihood if the unthinkable should happen.
A power electrician connects the wires that carry electricity to homes and businesses. Electrical contractors provide services from lights to computers, appliances to televisions that make people’s lives easier and more convenient.
What is the job of an electrical contractor? A company or individual who performs electrical construction work is an electrical contractor.
A contractor’s job is to install, maintain, repair, and service electrical wiring, conduits, and fixtures inside and outside residential and commercial structures. Powering machinery, equipment, and lighting systems require the installation of electrical wires which is done by inside contractors. The overhead and underground power lines are installed by outside contractors.
Electrical contractors must be licensed in most states. The contractor may offer emergency service 24 hours a day, seven days a week.
Despite the value of the services you offer, what happens if you have an accident or damage somebody’s property? You might be required to pay medical expenses, repair or replace damaged property and possibly face legal action. Electrical contractors insurance in Texas offers you protection against financial ruin and serious hardship.
Is Electricians Insurance Necessary?
You have a very important job as an electrical contractor in Texas, but it is also excessively dangerous. Faulty cables or incorrect connections can cause fires and electrocutions. Accidents can occur when working on ladders or in cramped spaces. You use expensive tools and equipment, and they could be stolen or lost. You may also lose your business location.
Due to the inherent dangers of your industry, insurance coverage is essential; in fact, electrical contractors are legally required to carry certain types of insurance policies. Electrical contractors insurance in Texas protects you from financial damages while also ensuring compliance with the law.
Do self-employed electricians need insurance?
If you are self-employed or operate as a business, you need dedicated, specialist insurance to provide the necessary protection. In addition to public liability and employer’s liability coverage, policies should provide property and contract works coverage as well.
Different Kinds of Insurance Needed by Electrical Contractors Insurance
It is a type of insurance that protects employees of an electrical contract firm. Workers compensation insurance is a requirement if you have employees; in fact, it is a legal requirement in most states just like it is in Texas.
This form of insurance will cover any injuries or illnesses that occur while your staff is on the job. Workers’ compensation, for example, will help cover the expense of medical care and missed earnings if a worker is electrocuted while connecting cables.
General Liability Insurance
General liability insurance will shield you against the costs of medical bills and repairing or replacing damaged property if a third party is injured or their property is harmed as a result of the services you perform.
This type of policy will help pay for legal defense costs if a client files a lawsuit against you. For example, if a defective connection causes damage to appliances, your electrical contractors’ general liability insurance will assist in covering the costs.
Errors and Omissions Insurance for Electrical Contractors
Errors and omissions are common when it comes to handling electrical contracts. This type of policy protects you from accusations of negligence as well as claims that you failed to provide a service that you promised.
Errors and omissions insurance covers negligence (whether genuine or suspected), legal defense costs, and damages that occur after your service has been performed.
Equipment Coverage for Contractors
When you’re on the job, you utilize expensive tools, and if those things are destroyed, the cost of replacing them might be substantial. Contractors’ equipment insurance covers the tools and equipment you use on the job.
These are just a few of the various types of insurance coverage that electricians must have or should strongly consider purchasing.
Commercial Property Insurance for Electricians
A commercial property insurance policy is a good idea if your business has a physical location. Your business’s structure and contents will be covered under this policy. In the event that your building or property has been vandalized or damaged by a storm, this coverage will assist you with paying for any needed repairs or replacements.
Is an electrical contractor’s insurance expensive?
Electrical contractor insurance in Texas costs approximately $45 per month or $540 per year. When you compare electrical contractors’ insurance quotes from trusted companies, you can decide what goes into your policy and pay for only that.
This policy provides protection against third-party injuries, third-party property damage, and advertising injuries.