Restoration Contractor Insurance That Helps Protect Your Business.

Contractors pollution liability insurance can be an important consideration for restoration businesses because many projects involve mold, contaminated water, sewage, smoke residue, chemicals, or other environmental exposures.

Depending on the policy, pollution liability coverage may be available for certain qualifying claims involving cleanup costs, bodily injury, property damage, or environmental contamination arising from covered pollution conditions.

Standard general liability insurance may exclude or restrict certain pollution-related losses. Restoration contractors should discuss their specific remediation and cleanup operations with an insurance professional to determine what environmental coverage might be appropriate.

Restoration employees can work in challenging environments involving wet surfaces, damaged structures, contaminated materials, demolition debris, ladders, power tools, and heavy equipment.

Workers' compensation insurance may provide benefits for qualifying employees who experience work-related injuries or illnesses. Requirements can vary depending on the structure of the company and where the business operates.

Restoration businesses often rely on vans, pickup trucks, box trucks, trailers, and other vehicles to respond quickly to damaged properties and transport employees, tools, and equipment.

Commercial auto insurance may provide liability and physical damage coverage for qualifying business-owned vehicles. Additional coverage options may be appropriate depending on the vehicles operated and how they are used.

Tools and restoration equipment transported inside a vehicle may require separate coverage and should be discussed when developing an insurance program.

Restoration companies can have a substantial investment in specialized equipment. Inland marine or contractors equipment insurance may help protect qualifying equipment while it is being transported, used at a customer's property, or temporarily stored away from the company's primary location.

Coverage may be available for equipment such as:

• Commercial dehumidifiers
• Air movers and drying equipment
• Water extraction equipment
• Air scrubbers
• Moisture meters and thermal imaging equipment
• HEPA filtration equipment
• Generators
• Portable demolition and restoration tools

Coverage limits, deductibles, eligible equipment, and covered causes of loss can vary by policy.

Restoration companies that own or lease an office, warehouse, shop, or equipment storage facility may want to consider commercial property insurance.

Depending on the policy, coverage may help protect buildings, office equipment, inventory, supplies, and other qualifying business property against certain covered losses.

Restoration contractors working on larger residential or commercial losses may face significant liability exposures.

Commercial umbrella or excess liability insurance may provide additional limits above certain underlying policies. Higher liability limits might also be required when performing work for general contractors, property management companies, commercial property owners, or other organizations.

Restoration companies may perform several different services, and the specific operations performed can affect insurance eligibility, coverage options, and pricing.

Insurance options may be available for businesses providing:

• Water damage restoration
• Flood cleanup and water extraction
• Fire damage restoration
• Smoke and soot cleanup
• Mold remediation
• Sewage cleanup
• Structural drying
• Emergency property restoration
• Demolition and debris removal
• Contents cleaning and restoration
• Storm damage restoration
• Residential and commercial restoration

Contractors should accurately describe all services they provide when applying for insurance. Mold remediation, sewage cleanup, demolition, environmental remediation, hazardous materials, and other specialized operations may require additional coverage or different insurance classifications.

Mold remediation can create insurance considerations beyond those of a typical construction contractor. Removing or disturbing mold may release spores or contaminants, while inadequate containment or remediation could potentially contribute to additional property damage or bodily injury claims.

Pollution liability or other environmental coverage may be available for certain mold-related exposures. However, coverage can vary considerably between policies, particularly regarding mold, fungi, bacteria, sewage, and other contaminants.

Restoration companies performing mold remediation should make sure those operations are specifically disclosed and review applicable coverage, exclusions, and limitations with an insurance professional.

Restoration contractors frequently work on properties that have already suffered significant damage. This can make determining responsibility for additional damage particularly important.

Water extraction and structural drying may involve removing flooring, drywall, cabinetry, or other materials. Fire restoration can involve smoke, soot, water damage, structural instability, and damaged electrical systems.

General liability, pollution liability, professional liability, or other specialized coverage may respond differently depending on what caused a loss and the services being performed. Available coverage should be reviewed based on the company's actual operations.

Some restoration companies provide inspections, moisture assessments, remediation plans, consulting, or other professional services in addition to physical restoration work.

Professional liability insurance may be available to help address certain qualifying claims involving errors, omissions, or professional services. Whether this coverage is appropriate may depend on the services provided and the responsibilities the restoration company assumes.