sundance-communications.com/forum Forums General General Telephone & Systems Information Liability Insurance

I have been doing connect work for a side business for 15 years now. I have never had insurance, yes I know, risky! I always wokred under a main contractor or just winged it because most jobs were small service calls. the last couple of years the national contractors that hire me have been really getting serious about seeing a liability contract. I need some advice on who I get insurance from. I don't do a lot of volume, so want to keep it cheap, but meet the needs of the national companies. Any suggestions?

The insurance company has to be licensed to do business in a state. You will need to check with your local insurance brokers to find out what is available in your area. My insurance is with a local broker but comes from a company called NGM Insurance Company out of NH

Yes, you need to talk to a local insurance broker. Liability insurance is not based on volume but what you do and where you do it. In some states and always if you have anybody working with you you will need comp and disability also.

And good luck with those nationals. When you have to raise your rates to cover the insurance they won't want to talk to you.

-Hal

I hear you Hal! That is why I never bothered with insurance or getting into any agreements with some of the nationals. I have kind of been one of those guys they called on in the 23rd hour for work that needed to be done last week. I drop everything give them a couple of hours and make a few bucks. I only do this once or twice a month and do a complete install once or twice a year. Not worth getting totally set up. I do tech work for a Govt. agency for my day job. Pays to well to go out on my own full time!

You are at risk. Please count the cost of making a few bucks on the side vs loosing your shirt. Unfortunately, those of us who play by the rules wind up loosing income by those who don't.

"I do tech work for a Govt. agency for my day job."

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NOT if your employee finds out about the no insurance. The 'injured' tend to go after anybody and everybody! 'Nuff Said. Get busy!!!!!

All insurance is a total waste of money....until you need it.

Then you better pray you have it.

It's like having a low voltage license (never mind-not going there anymore.....)

I couldn't have said it better myself. Licensing is a high priority, but not even close to insurance coverage. I've come up short on coverage once........ONCE. Insurance coverage is not something to mess around with. Unless you buy more coverage than you legally need, it will never be enough.

I had a technician who parked at the top of a hill to enter a construction yard (the gate was closed). He managed to get the gate open and walked down the hill to check the place out. As he went behind the trailers, he heard a "boom" and went around front to see what happened. His van had rolled down the hill, crashed through the gate, smashed into one construction office trailer and knocked another one from it's foundation. Broken plumbing and all. Price tag for the damage? $104K. Liability coverage? $100K.

Yes, that technician was me in my brand-new van on my first big job. I saved money buying a van with a manual transmission, but forgot about the parking brake. Big savings, huh?

Don't forget that liability isn't always about something that you did to cause damage. It is also about proving that you didn't cause that damage. When it comes to money, you are guilty until proven innocent.

In the insurance and liability game, you have to be prepared for anything. This includes the actions of others that may have been out of your control. It becomes the proverbial case of their lawyer being stronger than your lawyer. Nobody can afford those stakes.

Although LaneCom didn't want to bring this subject up, you might not be able to secure insurance as a contractor without possession of the required local licensing. That is another, yet equally important subject.

Camas, WA, where you walk west down the main street and right into the paper mill front door....been to Angel Island lately?

Anyway....I totally agree with what has been said. Washington has a required contractor's license as well as a LV license.

Now then, what about "completed operation"? The insurance that covers you when the building you drilled a hole in and ran wire on Wednesday burns down on Friday....and they blame you.

Anyway, it is the cost of doing business legally. And what if you get sued? There goes your house and Government Job!!! The Feds don't like things like employee's being sued. Usually that means the security clearance goes and then the job.

Good Luck!!!

Hey Scottel - any relation to the telephone company called "Scottel" in Culver City (Los Angeles) California? They install phone systems. I have worked with them at a couple of accounts. My 2 cents re: liability and worker's comp, I could not set foot (forget about going in, they wouldn't let me park at the loading dock) in any of the high rises in L.A. without the building management having certificates of insurance for both - naming the management (and any other parties that they desire) as additional insured. They will not let anybody near the MPOE or electrical closets without them. These days it can be done pretty quickly sending ".pdf" files of the certificates by e-mail. I am happy to say in 26 years, I have never had to use worker's comp, liability, or my commercial auto insurance.