| NYC Business Group
Insurance for Artisan Contractors
Artisans are people with skills that allow them to make things by hand. Usually, they work alone or under a general contractor when involved in large projects. The scope of their work is extensive, from plumbing to electrical installations and landscaping
Artisans also need insurance covers to protect themselves and their clients from the aftermath of accidental damages. That is why you find that most artisan contractors have general liability, equipment, and professional liability insurance.
These three artisan policies are the most common. However, many insurance companies do not have a standard 'artisan policy.' Usually, they define them based on their role, income, number of employees under the artisan, size, and scope of their projects.
We will go through the types of insurance covers that artisans need, what they cover, and why you need them.
What insurance coverage do artisans need?
Artisans will require three main categories of policies to protect their activities and customers and employees. These include:
- General liability insurance
- Equipment insurance
- Professional liability insurance
Depending on their business operations, you may also need covers like:
- Workers' compensation insurance
- Cyber insurance
1. General Liability Insurance
General liability insurance is crucial, especially when interacting with your customer or their property. It covers damages bodily harm, among other liabilities you are likely to encounter in your line of work. Knowing how much liabilty insurance you need can be difficult to determine, contact us today for a Quote.
What does general liability insurance cover?
a) Bodily Injuries
When someone other than your employee sustains injuries from your work, the general liability insurance cover takes care of their medical bill on your behalf. It could be a client tripping on some wires while you install HVAC, causing them to sprain an ankle, or if you are working on higher grounds and you accidentally drop a bucket on someone.
b) Property damage
General liability insurance also takes care of any property damage you inflict because of your operations. It could be your drill accidentally scrapping your client's hardwood floor or vibrations causing a vase to topple and break. The general liability insurance covers the cost of repairing the hardwood floor and replacing the vase.
c) Personal injury
Sometimes, you may say something unpleasant about one of your clients and end up in court for slander. If you end up in court, the general liability coverage will pay for your attorney, who will defend you. Also, it pays any fines charged or compensation to the victim.
General liability takes care of you from third parties. Even when accidents happen, you may end up with a court case. This policy takes care of you from claims, even when they happen over groundless accidents.
2. Equipment Insurance
The artisan's tools are vital to their job. They are also quite expensive to acquire, making them a perfect subject to insure. If you know that you have some equipment you cannot work without and cannot afford to replace them; you should get an equipment insurance policy.
This artisan policy takes care of the expenses of replacing lost, damaged, or stolen tools. It does not have to be your drill or cutter; it could be your mobile phone and laptop as well.
3. Professional liability insurance
You may want to work perfectly, but sometimes, you miss a crucial step and end up with damage claims on your shoulders. So far, the general liability insurance cover does not offer protection from claims of poor artistry.
Faulty artistry claims can be burdening whether it is your fault or the result of your employee's work. They are expensive and will most likely end up in court. If you find yourself in that position, you need a lawyer to defend you.
Professional liability insurance covers the legal fees, compensation, and court costs you may have to pay before settling the case. When your client is unhappy with your job and hires another contractor, they could ask you to cater to the cost.
The professional liability insurance cover takes care of that expense on your behalf. Speaking with someone in the insurance business, can help you determine exactly which coverages you need.
4. Workers' compensation insurance
If you have employees, you should cover them. Even if you have a single employee on your payroll, most states recommend that you include worker's compensation insurance as part of your artisan policies.
Failure to comply with the state employment requirements could land you in court. Say your employee falls from a ladder while installing CCTV networks. In this case, the worker's compensation insurance takes care of the cost arising from workplace injuries in the line of work.
In cases where an employee ends up in the hospital, the cover covers the hospital bills and any fees arising from a lawsuit. 
5. Cyber insurance
Cyber security is vital for any business. However, the cost of maintaining it at the best levels can be too high for small businesses run by artisans. This exposes your business to cybercrime risks.
Cyber insurance takes care of the financial resources you need to recover from the attack If you get hacked.
How much do artisan policies cost?
Usually, the monthly premiums you pay for your artisan contractor policy will depend on the size of your firm, the scope of your work, and where you operate.
It also depends on the deductible you choose to pay. However, you should make sure you can pay the amount when claims arise. Otherwise, always over-estimate your claims for the worst-case scenario.
Contact us today and talk to the professionals if you are not sure what artisan policy to choose.