What does it mean if your contractors are bonded and insured?
Does it matter if your plumbing contractors are bonded and insured? These words get thrown around a lot, but do you know why it’s important to ask in advance? Hiring a contractor is a risk. You don’t typically invite strangers inside your home, but you gladly do whenever you hire a plumber or another type of contractor. You put a lot of trust into someone you don’t even know. If you want to protect yourself, you need to understand the importance of looking for the words “bonded and insured” before you sign a contract.
Why Do Contractors Carry Insurance?
Many different types of insurance exist for the sole purpose of offering protection. If you get sick, you rely on health insurance to cover the cost of your treatment. When driving a car, you carry liability insurance in case you cause an accident. Contractor’s insurance acts in the same way. It protects both the contractor and you in the event of an unforeseen accident.
The type of insurance any contractor should carry is commercial liability insurance. This insurance covers the contractor in case they cause damage to your property. It may also cover any injuries sustained while they are on the job. Many companies also choose to add worker’s compensation insurance to further protect their employees.
It’s important to realize that if a contractor isn’t insured, you may find yourself in a lot of hot water. If an accident occurs on your property, the worker can choose to sue you if their employer doesn’t want to pay for their injuries. This is the number one reason you should never do business with a company that doesn’t have adequate insurance.
What Is So Important About Surety Bonds?
You pay a contractor to complete a service. They do their job, but you later realize the work was subpar. Do you have any recourse? If you chose a bonded contractor, you do. Surety bonds pick up where insurance coverage stops.
Simply stated, surety bonds protect you, the consumer. If a contractor fails to meet their obligations, you can contact the company holding the bond for compensation. This applies to contractors who don’t complete the job, do shoddy work, or fail to pay for permits. Unless you like taking unnecessary risks, you should only hire bonded contractors to work around your home.
How Do You Find Out If a Contractor Has Coverage?
Look for the words bonded and insured whenever you hire a contractor. If you don’t see these words mentioned anywhere, ask them who provides their insurance and which surety bond company they use. Always ask in advance for proof. A reputable contractor will willingly show you copies of their policies to prove their coverage.
Steer clear of contractors who dodge the subject. If their website advertises that they have insurance, but they refuse to show you proof, run away. Providing an insurance or surety bond certificate is not a difficult request. If they do show you an authentic document, check the expiration date to verify the policy is still active.
Trust a Local Bonded and Insured Plumbing Company
Here at Sav-On Plumbing, we always put the needs of our customers first. That’s why we choose to remain both bonded and insured. We’ve been in the plumbing business for over 40 years. Our customers appreciate our honest approach and hard-working attitude. Call us today at 602-488-4647 to schedule service and learn why our plumbing contractors are bonded and insured.