Does Homeowner's Insurance Cover Hiring a Contractor?

When you purchase a house, it’s likely that you also purchase homeowner’s insurance, which is designed to protect your property from damage to the house itself or to the possessions within. Homeowners insurance also provides liability coverage against accidents in the home or property. This means, if someone becomes injured on your property, you are protected from being sued for bodily harm or damages.

What You Should Know About Contractors and Homeowner’s Insurance

Home improvements and repairs around the house are often determined by cost. For example, wear and tear roofing replacements are not covered by homeowner’s insurance and can cost you thousands, therefore making it an easy repair to put-off.

When it comes to hiring a contractor to get a project done around your house, it’s important that you never hire a contractor without proof and documentation of their coverage and permits. Some contractors might lure you in with a more affordable price, but if they are not covered, that price could rapidly increase if something were to go wrong during the project.

Some contractors are not covered, which means that while homeowner’s insurance protects you against any injuries they may sustain on your property, it does not protect you from your neighbors. If a contractor causes damage to your neighbor’s house and is not covered, your neighbor can go after both the contractor, as well as you, the homeowner for the damages incurred by someone you hired.

Homeowner’s insurance covers you as the homeowner from troubles that come from accidental injury and damage on your property. It does not directly cover the people who are injured or the damage that occurs on an adjacent home by the contractor who performs work on your property.

Regardless of the circumstance, be sure you never hire a contractor that does not have full liability coverage. Homeowner’s insurance can protect you in most cases but taking the most precaution in handling your home improvements and repairs are the best way to ensure the job gets done well.