When it comes to insurance in New York, contractors face unique challenges that also apply to out-of-state contractors working in the state. Unfortunately, many policies are sold solely based on price, often overlooking important exclusions.
At GRBM Insurance, we frequently receive requests for “Good” Coverage. While the term “good” can be subjective, we have categorized the available coverage options for New York contractors into three levels: Basic, Better, and Best. In reality, only the Better and Best coverage options truly provide what can be considered “Good” Coverage.
Basic coverage, which is sufficient for contractors in most other states, includes completed operations coverage and blanket additional insured. However, in New York, due to specific laws, additional enhancements are necessary. The key coverage needed is action-over coverage.
By upgrading to our Better level of coverage, contractors will have action-over coverage included in their policy. This level of coverage meets most standards for “Good” coverage. However, in some cases, even better coverage is required, particularly by top General Contractors and leading property management companies.
Our Best coverage option provides limited exclusions and valuable enhancements such as no hammer clause and no height restrictions. With this coverage, contractors can take on projects that exceed the standard three-story limit.
While the Best coverage option may come with a higher premium, it is a worthwhile investment for protecting your business. The differences between the coverage levels may seem insignificant, but they can have a significant impact. Without proper coverage, your business is exposed to potential catastrophic losses. A single action-over claim or relying on sub-contractors with basic coverage could jeopardize your business’s future. Are these risks you are willing to take?
We strongly recommend that all contractors invest in “Good” coverage to safeguard their valuable assets. If your business were to face closure or bankruptcy, it could have devastating personal financial consequences.
In conclusion, if you are uncertain about your current coverage or if you do not have “Good” coverage, we encourage you to schedule a call with GRBM Insurance. Our experts are here to discuss your insurance needs and ensure your business is adequately protected.
Contact us today to learn more about obtaining “Good” coverage for your contracting business in New York.
