Whether your client installs cable television or septic tanks, the work they do is very physical. Their business requires them to drive themselves, their tools, and possibly their employees to other people's property to get the job done. This creates some unusual exposures that will need a variety of coverages for your professional installation clients.
When writing professional installation contractors, consider including...
General Liability Insurance
General Liability Insurance is a fundamental policy for any small business. It protects your client when a third party, e.g., a customer or a business partner, claims your client is responsible for their bodily injuries or property damage. For example, if your client installs drywall on a customer's ceiling and it crashes to the floor, GL's Product-Completed Operations coverage can pay for the customer's medical expenses or property replacement. If the customer decides to sue, General Liability covers your client's legal expenses, including attorney fees and settlements or judgments.
Property Insurance / Business Owner's Policy
Let's say your HVAC client's truck is broken into, and the crook steals all of their tools. This event can be covered by their Property Insurance, which pays to replace their stolen gear. It can also repair property that's damaged in certain covered events, like fires, tornadoes, and acts of vandalism. Some professions in this category carry a low level of risk, which means they may be eligible for a Business Owner's Policy, or BOP. A BOP combines General Liability and Property Insurance into one bundle, thus keeping costs low while still providing adequate coverage for your client.
License Bond / Permit Bond
Installers usually need License Bonds to get their professional licenses (e.g., plumber's license or electrician's license) and Permit Bonds to get building permits. License / Permit Bonds act as a guarantee, assuring the state or local government that your client will follow the appropriate building codes and regulations. If they fail to do so and the government entity suffers financial losses, the client's insurer covers the damages. Unlike insurance policies, your client will have to pay back any amount the insurer covers for these bond claims.
Workers' Compensation Insurance
Installation professionals often work at construction sites that are full of hazards. For example, workers may fall from scaffolds or electrocute themselves while installing cable. With all these perils, your client's employees could easily injure themselves on the job. Most states require employers to carry Workers' Compensation Insurance, which covers an employee's medical bills and lost wages when they're hurt on the job. Your client may be obligated to carry this policy even if they have only one employee.