by schmidtphilip98 » Thu Jul 29, 2010 01:42 am
I am a paqinter in california...a possible client will not hire me to paint a rental unless I have liability insurance...Is that a regular and or legal practice?
Posted: Thu Jul 29, 2010 04:42 am Post Subject:
Typical and _very_ legal (as in smart).
Posted: Thu Jul 29, 2010 06:12 am Post Subject:
Every insurance company I know of wants their insured to only hire contractors that carry liability coverage and workers comp. Lets say that while painting, you have a cig and some how burn down the house. The owner and his insurance company wants to make sure there is a route to collect.
Posted: Thu Sep 16, 2010 11:29 am Post Subject:
Don't you see that there's nothing wrong in looking for a contractor who carries both these coverage. Why would you lose on potential clients like this! Get your own coverage and grab such offers. If you get good clients, then paying for insurance won't be a problem at all.
Posted: Thu Sep 16, 2010 12:21 pm Post Subject:
If you are not a licensed contractor in California, you cannot contract for work that exceeds $500 in labor and materials combined. If you are a licensed contractor, you must have both a $50,000 performance bond and workers' compensation to cover any employees or day laborers you hire, and should strongly consider the need for liability insurance which protects YOU from claims dealing with your negligence resulting in damages to third parties.
Such claims can involve things like overspray on neighbor's homes or cars, broken windows, or the fire that burns down a person's home caused by one of your employees who tossed a lit cigarette in a trash can.
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