Contractors in Hawaiʻi’s busy construction scene rely on general liability insurance (GLI). Let’s take a closer look at how this insurance plays a valuable role in protecting your construction business and projects.
Understanding General Liability Insurance
Also known as business liability insurance or commercial general liability insurance, this insurance covers costs if someone becomes injured or property is damaged as a result of your business. This includes accidental injuries and property damage that your business may unintentionally cause to others.
When To Review General Liability Insurance
At a minimum, a construction business should review its general liability insurance policy annually. However, when there are substantial changes in the business, such as expansion, new services or products, or changes in local regulations it’s wise to reassess.
What Does General Liability Insurance Do?
In construction projects, regardless of the size or job, every contractor must be covered by general liability insurance as part of their risk management. Construction projects require different types of contractors to cover all aspects of the total project.
From general contractors to subcontractors, the greater the project, the more contractors there are involved. Although policies can be customized to address unique concerns, general liability insurance typically provides a wide protection.
In addition to property damage and bodily injury, general liability insurance even includes advertising injury, copyright infringement, and damage to reputation.
Why Do Contractors in Hawaiʻi Need General Liability Insurance?
Generally liability insurance falls under local regulations for any business and is typically a requirement for any construction project. General liability insurance protects your business from claims and makes sure your project is able to continue moving, even after unfortunate events.
In Hawaiʻi, the construction industry faces risks from the natural elements and unforeseen accidents. Contractors must be prepared for anything before and during any phase of a construction project.
For example, unusually high winds impacted Oahu in August 2023 which caused physical and financial difficulties for construction projects. Depending on the size of the business and the level of damages or injuries, one event could financially destroy a construction company.
General liability insurance allows you to keep your construction projects on track, safeguarding you from disasters.
How Can General Liability Insurance Help in Construction?
Protection Against Job Site Mishaps
No matter how careful your team is, accidents happen. Whether it’s a tool falling from scaffolding or an unexpected incident during a site visit, general liability insurance can cover the associated medical or repair costs, keeping your project’s budget, timeline, and reputation intact.
Safeguarding Your Business Reputation
For most businesses, and especially in the local close-knit communities, your reputation is your most valuable asset. Quick and professional handling of claims can maintain your company’s good name and foster trust with clients and partners.
Meeting Contractual and Legal Requirements
Many of your clients, and the regulations in Hawaiʻi, require contractors to carry general liability insurance. Being insured not only keeps you compliant but also makes your business more appealing to potential clients, knowing that you’re a responsible and protected partner.
Peace of Mind in Business Operations
Knowing that your business is protected allows you to focus on what you do best. With general liability insurance, you can manage your projects with confidence, knowing you’re shielded from many of the financial risks.
In the broad field of the construction industry, each type of business must tailor its general liability insurance to their needs. Similarly, each project carries a distinct set of challenges. Taking the time to assess all of your projects will help your policy cover any weak spots.
Provider Trust and Experience Matter
Partnering with an experienced and trustworthy insurance provider that understands Hawaiʻi’s construction landscape is very beneficial to local organizations. The expertise a local insurance agency can offer will help you to better identify the risks and regulatory requirements of the area.
We recommend reviewing your needs at least once per year. As your company grows and takes on new projects, your insurance needs are bound to change. To make sure you and your new customers stay protected, you need to regularly review and adjust your coverage.
Being proactive guarantees that your insurance protection meets your business’s current needs, and that you’re well-equipped to tackle any challenges that come your way.
Trust Atlas Insurance to Protect Your Construction Business
In the world of construction, where every day comes with a new set of challenges and rewards, general liability insurance is not just a safety measure; it’s a necessity for your business’s sustainability and growth. Atlas Insurance has a long standing history as an established insurance provider in Hawaiʻi.
Whether you are a new business in the industry, preparing for a new project, or about to renew your existing policy, consider the protection you need.
The experience and local knowledge Atlas Insurance offers can help your company secure your present and your future. Trust the helpful providers at Atlas Insurance to protect your business today.