Replies

1. 
   davidmeiland | Jul 12, 2006 10:05pm | #1

   What are your gross receipts? I would expect CGL premiums of at least 2% of gross, and that's if your gross is fairly high. A $2K premium sounds like a bargain to me.

1. 
   dieselpig | Jul 12, 2006 10:27pm | #2

   You ain't kidding.View Image

1. 
   JeffBuck | Jul 13, 2006 06:25am | #4

   again ... man am I glad where I live!

    

   1 mil coverage ... ton of riders attached .. tool theft, etc ...

   around $600/yr.

    

   Jeff    Buck Construction

    Artistry In Carpentry

        Pittsburgh Pa

1. 
   Allon | Jul 13, 2006 08:42am | #6

   Yeah PA is a different animal. Anyway, I renewed our insurance and I want to share with my CA comrades with what I have found as I think Contractor General Lib. is very misunderstood.There is good insurance, and there is cheap insurance. Cheap insurance always includes clauses such as manifestation and/or sunset. Manifestation means that the claim MUST be made AND have occured during the coverage period.Sunset means that the claimant has x number of years after to make a claim.California has 10 year liability for contractors and so either of these clauses are simply incongruent and leave the contractor holding the bag. Yet by far the majority of insured contractors choose this insurance, probably simply for lack of information.Good insurance includes the term "Full Occurence" and covers the contractor inperpituity.Hope this helps someone.

1. 
   JeffBuck | Jul 14, 2006 12:46am | #7

   yeah ... I know it's another world out there.

   my brother lives in Cali ... he does telecom work and just got his GC license. He lined up some sidework in the telecom field ... worked great till they realized he didn't have the specific insurance required to do the commercial work.

   He priced it ... $7K/year.

    

   But ... he's billing out at over $100/hr ... and said he was making around $1,200/week with a few hours in the evening and some Sat work ... so suddenly that $7K wasn't so expensive after all. 6 weeks and it's paid for. So he bit the bullet and dove in.

   Jeff    Buck Construction

    Artistry In Carpentry

        Pittsburgh Pa

2. 
   dieselpig | Jul 14, 2006 03:39am | #8

   Maybe so and maybe not Jeff.  I know nothing about the insurance process in PA but here in MA I know that alot of "general contractors" are not actually working with the proper insurance despite what they actually think.

   I have a general liability policy for "carpentry, one and two story dwellings".  I 'could' go and pull a permit and GC a new build for someone.... nobody would stop me.  However.... if the sh1t hit the fan at the right trajectory I would soon find out that I am very very exposed.  General Contractor's liability insurance is a whole other different animal..... I know of guys that aren't "big time"... build maybe a 1/2 dozen homes a year and their policies cost them in upwards of $30K a year.... my GL insurance is nowhere near that much.  I believe there are actually only two insurance companies who will even write such a policy in MA right now.  When I started my biz four years ago I tried to get this insurance as I thought I wanted to GC projects... I couldn't even get anyone to write a policy for me.  So I just got the 'carpentry, one and two story dwellings' GL insurance and yet another sub was born.  :)

   I guess what I'm trying to say is that we may not all be comparing apples to apples when we're talking about GL policies. 

   View Image

   Edited 7/13/2006 9:04 pm ET by dieselpig

1. 
   ovolo | Jul 14, 2006 03:49am | #9

   Hey DieselI work western mass.. your story sounds similiar to mine..
   Insurance in MASS is a nightmare for construction...
   its becoming my biggest sore spot now. Trying to cover your a**
   as best you can and yet it seems there is always something
   in this department trying to keep us out of the legit small business.Arthurhttp://www.notsobigbuildingcompany.com

2. 
   dieselpig | Jul 14, 2006 03:57am | #10

   I feel your pain amigo.  Somedays it feels like everyone's got their hand out but me.  Just had my W/C audit yesterday morning...... please pass the Vaseline.View Image

3. 
   JeffBuck | Jul 14, 2006 04:01am | #11

   don't know ...

   just know that I sat down with the agent and ran thru each and every senerio I'd ever run up against and I'm insured against them all as much as humanly possible.

   then again ... this is limited roofing and no employees.

    

   we don't have state licensing here so that probably plays into the mix too.

   Jeff

    

        Buck Construction

    Artistry In Carpentry

        Pittsburgh Pa

3. 
   andybuildz | Jul 14, 2006 04:12am | #12

   I have good coverage for liability and tools for $1500

   Edited 7/13/2006 9:13 pm ET by andybuildz

2. 
   woody1777 | Jul 13, 2006 06:16am | #3

   Whats the background behind your screen name ?  just curious. =)

    

    

   A human being should be able to change a diaper,  plan an invasion,  butcher a hog,  conn a ship,  design a building, write a sonnet,  balance accounts,  build a wall, set a bone, comfort the dying, take orders, give orders, cooperate, act alone, solve equations, analyze a new problem, pitch manure, program a computer, cook a tasty meal, fight efficiently, die gallantly. Specializtion is for insects. - robert heinlen    
1. 
   Allon | Jul 13, 2006 08:28am | #5

   My screename is my name "Allon Bendavid". Its Israeli.