Insurance for Roofers

General Liability Insurance: General liability insurance is fundamental for any business. This policy covers third-party risks, such as injuries to clients or damage to their property. It also protects against claims of libel and advertising injuries.

• Importance: Crucial for covering legal fees and medical costs resulting from accidents.
• Coverage: Legal fees, medical expenses, and repair costs.
• Best for: Customer bodily injuries, liability coverage for leaks in a new roof, libel and advertising injuries.

Business Owner’s Policy (BOP): A BOP bundles general liability and commercial property insurance at a discounted rate. This makes it a cost-effective solution for roofing professionals, providing broad coverage for various risks.

• Importance: Combines multiple coverages into one policy at a lower rate.
• Coverage: General liability, commercial property, and business interruption.
• Best for: Accidents that injure clients, client property damage, stolen or damaged business property.

Workers’ Compensation Insurance: Workers’ compensation insurance is typically required by law for roofing businesses, whether you have employees or not. It covers medical expenses and lost wages for work-related injuries, protecting both your employees and your business.

• Importance: Mandatory in most states for businesses with employees; protects employees and sole proprietors.
• Coverage: Employee medical expenses, disability benefits, and injury lawsuits.
• Best for: Work-related medical expenses, missed wages, employee injury lawsuits.

Commercial Auto Insurance: This policy covers vehicles used by your company. It provides protection against legal fees, medical bills, and damage resulting from auto accidents, theft, or vandalism.

• Importance: Essential if your business involves transporting tools and materials.
• Coverage: Property damage, bodily injuries from auto accidents, and vehicle theft and vandalism.
• Best for: Legal fees from auto accidents, medical bills from accidents, vehicle theft and vandalism.

Contractor’s Tools and Equipment Insurance: This insurance helps pay for the repair or replacement of tools and equipment that are lost, stolen, or damaged.

• Importance: Protects your essential tools and equipment.
• Coverage: Repair or replacement costs for tools and equipment.
• Best for: Equipment less than five years old, equipment that travels to job sites, small tools.

Professional Liability Insurance (Errors and Omissions Insurance): Also known as errors and omissions (E&O) insurance, this policy covers legal costs when a company is sued for mistakes or oversights. It’s crucial for protecting against claims of negligence or failure to deliver services as promised.

• Importance: Shields your business from claims related to professional errors.
• Coverage: Legal fees, settlements, and judgments.
• Best for: Accusations of negligence, failure to finish a project on time, undelivered services.

Depending on the specific needs of your business, you might also consider:

• Umbrella Insurance: Provides additional liability coverage beyond your standard policy limits.
• Cyber Liability Insurance: Protects against data breaches and cyber-attacks, particularly important if you handle sensitive client information.
• Inland Marine Insurance: Protects tools and equipment in transit or stored off-site.
• Professional Liability Insurance: Protects against claims of negligence or inadequate work.