Getting the right insurance is important for any company, especially those involved in the construction industry. These policies can come with high price tags. Here are some things to keep in mind as you fill out the contractors professional liability insurance application that could help you reduce insurance costs.
1. Determine Specific Coverage Needs
Policies will vary based on your firm’s specific needs. Factors such as type of building and percent of sub-contractor labor could impact the kind of coverage you need. Understanding whether you need general or project-specific coverage can help save you on extraneous costs.
2. Combine Policies
Perhaps the oldest trick in the insurance book, bundling insurance policies could result in cost savings. Consider adding commercial automobile insurance, for example, to your policy to see what discounts you can get.
3. Implement Safety Measures
An important part of the contractors professional liability insurance application is identifying any safety measures you have in place. This can include written risk management plans, providing continuing education for employees, policies for mold inspection and mitigation and employee and subcontractor training plans. Strategies like this can often lower insurance costs.
4. Increase Deductibles
Increasing deductibles is an easy but potentially risky way to decrease your monthly premiums. You will pay less on a monthly basis, but you may have to pay out more if an adverse event does occur.