FLORIDA/TEXAS—According to Forbes, housing trends in the U.S. are expected to remain strong longer than expected, due to several reasons such as a younger demographic, a low housing supply, and stricter loan requirements that may help prevent an increase in mortgage loan defaults, similar to the one experienced in 2008.
The past two years had been a challenge for construction contractors who work on new and remodel inventories, due to supply chain issues. However, single family homes as well as apartments, both have shown an increase in demand.
The insurance market was adjusted given the changes that resulted in an increase in repaired times and prices.
- Inflation on construction products and, transportation costs.
- Nuclear verdicts, especially in commercial fleet exposures.
- Higher cost of goods, which resulted in higher claims payouts much of it due to inflationary material costs.
- Wildfires that impacted lumber reserves.
- Events like the Texas freeze which required plumbing supplies from across the U.S.
For construction contractors, auto risks are leading the way in losses, and insurers are keeping a close eye on the following aspects:
- Driver hiring and training
- Annual driving record checks on drivers
- Telematics now almost a requirement
- Fleet safety practices overall
If you’re in a construction business you should always have commercial insurance. In many cases insurance coverage is required by your own clients even before they can work for them. Businesses involved in construction work often specialize in trades like:
- Home Improvement
- Land Clearing
- Home Building
- Asphalt Laying
- Sprinkler Installation
- Parking Lot Striping
- Fence & Deck Building
- Concrete Laying
- Stone & Granite Work
- Windows & Siding
Construction insurance can protect your business against financial liabilities that could result from unexpected accidents and other situations. Having the right coverage could mean the difference between staying in business or not. There is a wide variety of contractor insurance options.
The following are common coverage types for independent contractors.
- Bodily injury and property damage: This coverage is for contractors who work with heavy machinery and need to be prepared for accidents due to power tools and other hazards.
- Professional liability: For contractors who provide consulting and advice, this coverage can protect you from liability risks due to losses a client may experience. It protects your business’s finances if a client accuses you of errors, whether due to mistake or negligence.
- Commercial vehicle: Any vehicles owned by your business must adhere to state auto insurance laws. You can also protect your vehicles from various damages.
- Builder’s risk covers property and raw materials while construction is underway. This type of policy is often written per project.
- Workers compensation: Florida Independent contractors may or may not need workers compensation. This coverage compensates employees for medical expenses and lost wages after an on-the-job injury.
At Garzor Insurance we care about your business. Our experienced professionals are dedicated to providing commercial insurance in Florida as well as Texas, and now many other states across the U.S. If you also have questions about truck or other commercial vehicles insurance, or any other business insurance aspects, please do not hesitate to visit us online at Garzor Insurance, or you may want to call us directly at (321) 206-8035.
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