Seasonal Projects and Equipment Coverage For Contractors 

Vermont’s seasonal shifts can create coverage gaps if your policy isn’t structured to reflect how your business operates. Contractors’ insurance can include numerous policies and endorsements, each reflecting how your business operates and the risks it faces. The Taylor-Moore Agency team recommends core coverages, including the following:

• General liability insurance
• Completed operations liability insurance
• Property insurance
• Professional liability insurance
• Commercial auto insurance

Short-term specialized options can help provide appropriate coverage during peak activity months.

Builders’ Risk Coverage

Builders’ risk insurance covers structures while they are under construction, but the details of what qualifies and when coverage applies can vary significantly from one policy to another. Most policies cover damage from fire, wind, theft and vandalism, but coverage for floods or earthquakes is often excluded.

Coverage may end when a project reaches completion, so knowing your policy’s trigger points matters. Review your builders’ risk terms before breaking ground on any new project.

Workers’ Compensation Coverage

If you hire additional crew during peak seasons, your workers’ compensation coverage should reflect your actual payroll.

Vermont requires workers’ compensation coverage for any contractor with one or more employees, and insurers conduct payroll audits to verify that premiums accurately reflect actual exposure. Letting those numbers fall out of step with reality can create problems at audit time.

Equipment Coverage

Contractors rely on tools and equipment that represent a significant investment. Inland marine or equipment coverage may include protection for machinery, tools and other items that move between job sites, though policy details vary. Consider what your current policy covers for the following:

• Tools and equipment stored at a job site overnight.
• Rented or leased equipment used on a project.
• Equipment damaged during transport between locations.
• Theft of tools from a vehicle or trailer.

Hired/leased equipment insurance can help cover rented or borrowed equipment to help handle liability for tool damage.

How We Can Help

At Taylor-Moore Agency, we work with multiple carriers to find policies that fit the seasonal nature of contracting work. We can help you identify potential gaps, compare options and build a coverage plan that reflects how and when you work.

Contact Taylor-Moore Agency today to talk through your seasonal project and equipment coverage needs.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.