Insurance

Michaeljp86

I was wondering what you guys pay for insurance? For just be being a general contractor doing a few things like decks and pole barns farm bureau said it would cost around $28 a month, dont seem bad at all to me. But he said you cant get insurance to cover a roofing job. Thats also just for me, no employees.

tinner666

3K year, GL, for me.

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Frank Slate Roof Repairs, Richmond, Va.

Kingfisher

10k but cover all work done on my jobs for as long as I keep the policy active with them even over several years latter for liability. thats for FL

DUSE

$7000
No roofs ,No flooring(dont understand that but)

Michaeljp86

They wont let me do roof either, they said you cant get roofing insurance.

thom

Your liability insurance will be determined by sales volume and labor. Your workmens compensation insurance will be determined by labor. The rates for labor are determined by the amount paid for the labor times a factor for that type of labor. Carpenters are more expensive than electricians etc. Roofing will be about 50% of payroll, so if you're paying $20 per hour labor you will pay another $10 per hour workmens comp.

The real rates will depend on state law. Call a local business insurance agent and ask about rates. They can tell you how much per type of work.

If you do multiple types of work, you will pay based on the highest rate for the work you do UNLESS you keep detailed records of the type of work being done. I break down labor this way so I get the cheaper rates.

If you hire a sub without insurance and he gives you a flat price bill for labor and materials, you will pay comp on the entire project, labor, materials, profit and overhead. To avoid this, get a bill broken down into its components.

Don't try to cheat. If you've been calling Raoul a carpet installer for 2 years then he gets injured falling off a roof while shingling you just might get nailed for insurance fraud.

When a GC asks a sub for a certificate of insurance he's looking for both liability and Workmens Comp. The comp is the significant one. If you don't have Comp, he will pay for it on his policy. When the GC compares your price to that of your competitors, he will adjust your bid price to compensate for lack of insurance.

When you buy insurance you will pay up front. Today you can get policies that pay the estimated annual premium over the first 9 months. When I started we paid the full year up front. After the end of the policy year your books will be audited. A representative will look at your books and ask for copies of the certificates of insurance for your subs (if any). You will get a premium adjustment based on actual numbers.

Insurance is expensive. Construction is a high risk occupation. In my state we are required to carry workmens comp if we ever hire a single employee or sub. No exceptions. WC by state law limits what an injured employee can collect. Without WC there is no limit except that which is determined by a jury. You are then handing your wallet and your customers wallet to a jury.

Responsible contractors carry insurance.

Driftwood

That won.t insure Your dog! At least $3000 a year.
Mention welding,and it will be more like $10,000. I weld also. Welders start fires all the time!!!