32107 Lindero Canyon Rd Suite 228
Westlake Village, CA 91361

Phone: 805-413-4331
Fax: 805.367.4521

CA License # 0I56077

How to Ensure You Meet the Right Contractors Insurance Requirements

The contractors shall not be allowed to work at any site unless they ensure that they meet contractors insurance requirements California. He should produce all the insurance coverage and policies approved by the trustee to justify his claim in this regard.

Coverage and Policies

The contractor should obtain following insurance coverage and policies to ensure Contractor Insurance Requirements California and maintain the term of the contract: Commercial of comprehensive general liability insurance covering the workers compensation on the basis of occurrence of any bodily injury, contractual liability, damage to the property and personal injury while doing some work at the site on behalf of the contractor. Limit of coverage depends upon the type of work. Insurance for business automobile liability to cover the compensation on the basis of the occurrence of property damage, contractual liability and physical injury due to the use of owned, non-owned or hired automobile on behalf of the contractor. It will also cover the risk of under-insured as well as uninsured motorist. Employers liability insurance to cover workers compensation as required by the law of California. Insurance for the Course of Construction to cover the risk of loss up to 100% of the value of insurable portion of the work including the cost of materials in transit, stored at the site or off the site. Almost 90% of the contract amount is considered as insurable portion of the work, if it has not been adjusted by supplementary conditions. Other policies and coverage required to be obtained and maintained by the contractor should include insurance for environmental impairment liability for the works involving the use of hazardous materials like lead fuel storage tanks or asbestos etc. as well as the insurance agreed between the contractor and the trustee. Verification of Coverage The second step to ensure that the contractor meets the right Contractors Insurance Requirements California is the verification of the coverage. In order to verify the coverage the contractor should submit the certificates of insurance along with the letters of endorsements of these policies as required by the contract to the trustee as evidence to prove the availability of the insurance coverage for the duration of the work continues at the project. The certificate of insurance should also include liability rates, scope of coverage and deductibles. There should be no provision of any modification or cancellation of the coverage without giving 30 days notice to the trustee in the certificates of insurance and their endorsements. This is very much mandatory. The renewal of these certificates of insurance and endorsements should be filed by the contractor on time until the completion of the work accepted by him. The right of calling the contractor to submit all the certified copies of all the insurance policies to the trustee is reserved with the trustee. Thus, by fulfilling all the conditions stated in this write-up it can be ensured easily that the contractor has met the right contractors insurance requirements California. All the certificates of insurance and their endorsements should be approved by the trustee.
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