Home Improvement Contractor - Licensed Contractors
What does liability insurance cover for an electrician or other contractor?
If an electrician (or plumber or any other professional) comes to my home and injures himself (in the case of an electrician, he electricutes himself) do I have any liability? Does it matter if he's a licensed professional or not? What if he damages my home - like a ladder falls and breaks a window? When an electrician says he's "insured" does it mean he's covered for damage to my home or damage to himself? Or both? Thanks to all who can provide some answers!
Public Comments
- I can only tell you what we do. We have liability insurance that covers us damaging anything. The deductible is $500.00. We've only made one claim in the thirty years I've been involved with this HVAC company and we paid the deductible. That doesn't mean we haven't made other mistakes in that time. The other mistakes we just paid the price. Quite another subject is Workers Compensation insurance. That is what covers someone from being hurt. In Georgia, it isn't required for a company with less than 2 employees. We have more than that and of course have it. This is what takes care of medical coverage, replaces wages etc., for an employee. Required or not, you shouldn't let anyone work in your home without these insurance products. Have them contact their insurers to provide you with copies of the coverages. Do not let them send a copy from the contractor's office. It needs to come from their agent or company. Otherwise, who is to say they haven't doctored the form. This is normal practice for business when you work for a business or a general contractor. Do not contract with anyone that cannot provide you with proof of adequate insurance. fs
- liability insurance generally covers damage to your home or property by the contractor. if he is covered by workers compensation then he is also covered for injuries. the general rules for workers comp are if you are the proprietor and the sole employee then you dont have to be covered by workers comp, but if you have even one employee, including family members , then you MUST have workers comp. if the contractor is covered he will have registration numbers
- If he is unlicensed he will not have general liability then..to obtain general liability the insurance company MUST see the license and other necessary license to issue it....General liability covers damage him or his employees in damage that they may cause to property and person..General Liability does not cover injuries to his employees..If he is licensed he is required to take out and match what he takes out from each employee what is called "Workmans comp"..beware of hiring unlicensed people..especially something as crucial as electricity..You knowing this, then could possibly make you liable for injuries they may get..I am A licensed paint contractor and I am required to carry 300k in general liability for 3 stories and below..I believe an electrician must carry way more than I have to...You can ask for his workmans comp number for his company, and obtain the info easily and see if it is paid and current...If they don't have workmans comp dont hire them! I just read some of the other responses and thought I may add...A company with 2 or less employess or a sole propriator are not required to take out workmans comp on themself..BUT....They MUST file for workmans comp exempt..I am allowed 4 ceo's in my incorporation, but we all pay annually a "workmans comp exempt" certificate for EACH employee on the job that is a ceo(corporate officer) They issue us a card to display in our office for each workman comp employee..and a wallet sized one to carry on the jobs with us..You also can look up your states workmans comp office once they show you the certificate and contact them to make sure the certificate is not forged or altered and they are current..MAKE SURE..IF THIS IS THE CASE..that the actual employee on the job is exempt and dont let them slip one in on you that isn't
