Roofers Insurance and Umbrella Policy Explained
By Space Coast Daily // March 22, 2021
Roofing jobs often face many more risks than other contracting jobs, due to both the risk of injury to roofers and the liability they take on.
Roofers work in the outdoors and while working from heights and compared to other contractors, are very susceptible to injuries.
Also, roofing equipment costs can be hundreds of thousands worth of dollars while also taking on liability for protecting homes and buildings.
Roofing contracting companies must take on the necessary insurance to protect their business.
Comprehensive roofing insurance needs both roofing insurance and contractor umbrella insurance. Below, we go over the benefits of each insurance policy and how they can benefit each other.
Roofing Insurance
Roofers insurance is required for any type of roofing project conducted by contractors. In many states, roofing insurance is a prerequisite to carrying out any type of roofing work. Even if it’s not mandatory, contractors must protect themselves and their workers.
Roofing insurance packages vary, but most policies provide Roofers Liability Insurance, Workers Compensation, Professional Liability, and Commercial auto insurance.
1. General liability Insurance – covers third-party property damage and bodily injury caused by the roofing work.
2. Workers compensation – covers the medical payments and lost wages for any employees injured on the job site. Similarly,
3. Professional liability – covers legal costs which are needed when facing lawsuits or similar types of legal activities. Lastly,
4. Commercial auto policies – are optional but protect the vehicles operated by the roofing contracting company.
Roofing insurance is essential to protect both the company and its workers. Roofing insurance protects the company from faulty equipment and installation of the roof, as well as its workers from accidents or injuries.
Contractor Umbrella Policy
Roofing insurance covers the above-mentioned policies for up to $1M. However, as roofing jobs can be quite expensive and can often be liable for much more damages in apartments, warehouses, and other buildings, the $1M liability often is not enough cover it especially for larger projects.
Professional liability fees, such as lawyer and attorney fees, can also be quite expensive and lead to total charges of above $1M for even small to medium-sized jobs.
The contractor umbrella policy offers protection when claims exceed the policy limits provided by roofing insurance.
An umbrella policy can cover the same areas as roofing insurance, such as general liability and commercial auto, and simply provides an extra layer of protection for the contracting company.
Comprehensive Insurance
The best roofing insurance is the most comprehensive one, which can protect both the company and workers from all types of incidents.
Roofing companies often work with extremely expensive products and the general $1M liability insurance often does not cover all the fees in case of an accident.
A contractor umbrella policy in addition to roofing insurance can offer fully comprehensive insurance policies and ensure that regardless of the size of the damage or incident, your company is covered.
The cost for insurance depends on a variety of factors, including the type of business, size of the company, location, and history. Having more policies covered in a package can also increase the cost of insurance.
