General Contractor Insurance in Iowa

Do general contractors need insurance in Iowa?

Construction is the largest industry in The Hawkeye State with 26,659 solo contractors working in the field. Many are licensed as general contractors.

Construction sites can be dangerous locations to work in. Small businesses can be exposed to costly liabilities if they are involved in residential or business projects. Contractor insurance is considered a must for many Iowa companies to safeguard their hard-earned work from injuries, delays and other issues that are common.

Contractor insurance is a simple term used to describe different kinds of insurance that a general contractor could consider.

• General Liability
• Business Owner’s Policy
• Workers’ Compensation

Learn more about Iowa contractor’s insurance and how you can find  policies for your business with BizInsure.

What are the most common insurance policies available to contractors in Iowa?

Iowa contractors often look at several different kinds of insurance. These policies might aid in reducing the typical risks that general contractors have to face.

General Liability insurance

Accidents can happen at a construction site. Even an innocent error, such as placing your toolbox in the wrong place, can cause your business to suffer when someone is injured.

Also referred to as Commercial General Liability (CGL) or “slip and fall coverage”, General Liability insurance can protect your business against bodily injury or property damage lawsuits from outside parties. Iowa contractors can safeguard their bank accounts with General Liability insurance. The insurance covers your legal costs in the event that somebody claims that your actions caused injury to or damaged them. Up to the limit of the policy, it could also be utilized to fix the damage by settling expenses for medical or repair.

Business Owner’s Policy

In the construction industry, things are not always exactly as they are expected. Project interruptions, broken tools, and other hiccups could make it hard to complete your work as promised.

A Business Owner’s Policy (BOP) is a convenient package of insurance that protects your business against the common risks it faces every day. The BOP product includes various coverages that may suit the unique requirements of your small business. Insurance included in a BOP can vary but usually they include protection for typical small business risks such as property damage, business interruption and liability. BOPs are customizable to include options to cover the specific needs of your business. It is a simple and cost-effective way to protect yourself from the most frequent risks contractors face.

Workers’ Compensation Insurance

It is your responsibility to take care of employees’ health and well-being while they are working.

Workers’ Compensation insurance protects your company and its employees. If any of your employees get injured at work or are ill, this type of insurance will cover their medical bills. It will also cover some of their lost income if they’re unable to work because of the injury, as well as rehabilitation or physical therapy to transition the employee back into the workplace. In Iowa, most employers are required by law to purchase Workers’ Compensation insurance. A contractor with one or more employees must submit proof of Workers’ Compensation insurance in Iowa.