The Full Truth About Electrical Contractors Insurance

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The Full Truth About Electrical Contractors Insurance

By Zuma Insurance Services | October 9, 2017

The Full Truth About Electrical Contractors Insurance

For professionals in the field, electrical contractors insurance is must-have coverage that provides protection against a range of risks that electrical contractors face every day. Here’s the full truth about electrical contractors insurance and all that it does.

Electrical Contractors Face Risks

Electrical contractors and other wiring installation contractors, by the inherent nature of what they do, are exposed to an array of potential risks. On any given day, a contractor might:

  • have tools stolen from a job site
  • hit another vehicle while driving to a job site
  • injure themselves while working
  • injure others while working

And, these are just some of the things that might happen to electrical contractors while working. Even the most careful contractor doesn’t know when someone else will make a mistake that results in a shock, falling over equipment or an auto accident.

Any of these incidents, of course, could be financially devastating for an electrical contractor. Without adequate protection, a contractor might be faced with medical bills, lost wages, equipment they must pay to replace, or liability lawsuits filed by others who suffered injuries or property damage.

Almost any of these costs would place a significant financial strain on most electrical contractors, and some costs might result in bankruptcy. For instance, a major liability suit could cost tens of thousands of dollars or more in legal fees, which a contractor may have to pay regardless of whether they’re at fault.

The Full Truth About Electrical Contractors Insurance

Safety is Improving, But Risks Are Still Present

The Electrical Safety Foundation International (ESFI) analyzed data from the Bureau of Labor Statistics, and the analysis showed that great strides have been made over the past 35 years to improve workplace safety for electrical contractors and similar professionals. ESFI looked at the number of occupational electrical injuries that occurred each year. Since 1992, there has been a steady decline in both fatal and non-fatal occupational electrical injuries. This improvement in safety is certainly excellent news for all professionals in the field.

The improvement, however, doesn’t absolve electrical contractors from their need for insurance. Injuries still occur — there were 2,480 non-fatal and 134 fatal occupational electrical injuries in 2015 — and injuries account for just some of the risks that contractors face.

As long as there are potential risks, there is a need for insurance. The right insurance for electrical contractors and other wiring contractors is electrical contractors insurance.

The Full Truth About Electrical Contractors Insurance

Electrical Contractors Insurance Provides Robust Protection

Electrical contractors insurance is a unique form of commercial insurance that’s specifically designed to offer protection against the risks that electrical contractors face. Exactly what’s included in an electrical contractors policy can vary, but most provide:

  • general contractors liability insurance, which offers protection against a range of accidents that can affect third parties (e.g. suppliers or customers)
  • workers compensation insurance, which usually offers protection against on-the-job injuries and illnesses
  • commercial auto insurance, which most states require businesses that own vehicles to carry
  • contractors property insurance, which may protect both a building and tools against a range of perils

Additionally, many electrical contractors insurance policies make contractor’s bonds available to the policyholder. These are surety bonds that some states and customers require contractors, including electrical contractors, to carry.

Find Coverage with Zuma

In summary, all electrical contractors should have electrical contractors insurance because:

  • electrical contractors face risks
  • improved safety is good but doesn’t eliminate all risk
  • electrical contractors insurance is the right insurance for professionals in this field

If you don’t currently have adequate electrical contractors insurance, get in touch with us at Zuma . We’ve helped many electrical contractors and other wiring coverages get the coverages they needed at rates they could afford, and our agents are ready to help you get coverage too. Call us today to discuss electrical contractors insurance cost, and any other questions you may have about our electrical contractor’s insurance services