You are a general contractor and your main business is finishing basements. Before you start a job, your customer wants to know that you have insurance to protect them financially if something goes wrong on the job.
Even if you use subcontractors to carry out some or all of the work, you need general liability insurance at a minimum. You also want to make sure that any subcontractors you use have their insurance in order as well.
Check out our General Contractor page for more information.
Let us shop the top insurance companies in Ontario to find you the best package with the broadest coverage for your basement contracting business.
General liability insurance is a must for any business, but particularly for your basement contracting business, because you are working on and in people’s homes. If you or one of your subcontractors accidentally cuts into a pipe or if they leave tools lying around and someone trips and falls, a claim may be made against you for damages. Even in the case of subcontracted work, the subcontractor’s liability insurance may protect them, but you may also be required to defend yourself, and need insurance for this purpose. Make sure your business is protected.
As a basement contractor, you may be transporting materials and tools to and from a work site, visiting customers or prospects, or going to work sites to review progress on a job. These are all business uses of your vehicle, and you need a commercial auto insurance policy. At a minimum, if the car belongs to you and not the business, you need to let your broker know that you use it for business, to make sure you’re covered.
Lots of contractors use their personal vehicles to travel to and from work, to transport materials etc. That’s not a problem, but if you don’t let your insurance broker know that you’re using the vehicle for business, you could be out of luck if you have to make a claim. A commercial auto policy isn’t that much more expensive than a personal one, and it covers you for personal use too.
Your contracting business has grown, and you’ve opened a separate workshop, office or storefront, where you meet with customers and potential customers, and perhaps store materials. Congratulations! Make sure to talk to your insurance broker about commercial property coverage. If you rent the space, commercial property insurance protects your furniture, computers and any other stuff you store there. If you own the building, this coverage will be a little more pricey, but it will protect the building as well.
If you run your basement-finishing business from home, you’re not alone. It’s very common, especially when you’re just starting out. It’s a good way to manage costs, and the good news is, home businesses don’t need commercial property insurance. We do recommend that you talk to your insurance broker, though. If you store tools or business materials at home, or if clients visit you there, your home insurance may not fully cover you.
As a basement contractor, you probably have more tools and equipment than you even know. Hammers and pliers and drills and ladders and sanders and measuring tapes and saws… If there was a fire and you lost all your tools, how much would it cost to replace them? Would you be able to run your business without them? Tools and equipment insurance protects you if your tools are stolen, damaged or lost in a fire etc., and pays for short-term rental tools to keep your business going after a loss.