Insurance Update of Chinese Drywall Damages

What a mess! I have been reading with interest the reports of defective Chinese drywall.From an insurance perspective your property and home insurance probably will not provide coverage.Contractors may not have coverage either, depending on the construction defect exclusions in policies.Here is an article on the financial impact of the issue on … [Read more...]

The Endorsement All Contractors Need

Is there a chance your business can damage property owned by someone else?Do you work at your customer's location? If you burned down a customer's building, would you expect your insurance to pay for the damage?If so, there is probably a hole in your insurance coverage.Think about a painter. He sends his team into the customer's office one night … [Read more...]

Employee v. Contractor

In most states employers must buy workers' compensation insurance to protect their employees.Contractors are not employees and therefore you don't need to buy workers' compensation coverage for them.  Beware of trying to call an employee a contractor. If they look like employees and act like employees, they are employees.Here is a common … [Read more...]

Who Needs Insurance Help

The owner of a high tech company wrote me a note yesterday asking what issues he needs to consider as he moves forward with a plan to utilize contracted consultants. I told him that he has many issues, including:--Finding the right professional liability insurance --How will liabilities flow from your consultants? --What contractual issues … [Read more...]