Whether you’re a self-employed electrician or the principal of a company that offers electrical design or contracting services, your clients depend on you to shine a light on their projects. Electrical work often requires special permitting and safety considerations due to the potential for things to go wrong. Regardless of how you do business, you need insurance products to protect your practice or company from certain exposures.
What Insurance Protection Do I Need?
Your particular business structure will inform the types of products you need. For example, if you hire employees, you’ll need workers’ compensation and possibly health insurance. Other coverages worth considering include these:
- Errors and omissions – Liability related to mistakes or negligence in the work or finished deliverable
- General liability – Protects third parties from injuries onsite
- Auto (commercial) – Recommended for operation of vehicles for company business, especially since personal auto policies often don’t cover business use
- Property (commercial) – Covers equipment and tools that are damaged or stolen
Some owners or clients require contractors to cover a certain level of insurance before entering into contracts.
What Else Should I Know?
Whether you work with independent insurance agents or traditional insurance companies, finding a provider to help you decide on plan features is key. Your insurance coverage should be tailored to your operations. This helps you avoid paying too much for the coverage you need or remaining exposed to common risks.