Construction Insurance You Need to Operate in Kansas City

Economists are predicting growth in the construction industry, which means greater business potential for your organization. Unfortunately, the construction industry faces several risks. Therefore, you need to have the right construction insurance for your Kansas City business. There are several considerations to keep in mind to ensure that you are covered.

Who Needs Construction Insurance in Kansas City?

Construction insurance in Kansas City is necessary for all these businesses.

• General and industrial construction companies
• General contractors
• Subcontractors
• Specialty trade contractors
• Handymen

What Are the Types of Necessary Insurance?

There are several types of construction insurance required to protect your business. 

General Liability

General liability is a standard in any industry. It protects you against financial losses from both medical expenses and damages due to

• Bodily injury
• Property damage
• Personal or advertising 

Essentially any injury to other parties while the policy is in effect. This relates to damages caused by the construction company or subcontractor. It is important to have general liability construction insurance in Kansas City because many project managers require proof of coverage before you can accept a job.

Professional Liability

Since many construction companies are now participating in the design process, professional liability insurance is a must. It covers you against people accusing you of errors, negligence, or omission.

Environmental Risk Insurance

Since there are increasingly strict environmental protection regulations, it is beneficial to add environmental risk coverage to your construction policy. This covers you if an environmental accident causes the area to become polluted and in need of remediation. If you are disposing of materials and there is some sort of toxic spill or other incidents, you are covered under this portion of the policy.

Builder's Risk Insurance

This type of construction insurance in Kansas City covers accidental damage to your equipment as well as damage due to fire, flood, explosions, ordinary wear and tear and any damage the comes from bad design, planning, workmanship, and materials. This is like having comprehensive and collision insurance on your automobile.

Inland Marine Insurance

Inland marine insurance sounds a bit odd, but it covers you if you transport materials or equipment from a coastal town or up a river. Sometimes water transport goes wrong, and this insurance protects you against these losses.

What Are Surety Bonds?

Although not technically insurance, something necessary for construction insurance in Kansas City and the bidding process is a surety bond. This bond is a financial guarantee that everyone involved in the construction process will do what is listed under their contract. The types of bonds are contract bonds, bid bonds, payment bonds and maintenance bonds. Each of these protects a different portion of the project from bid to completion.

It covers everything from the bidding process to the guarantee of materials. Although we are not a bonding agency, we do work with them to ensure that you have the surety bonds that you need to bid, begin, and maintain your contract.