3 minute read
Insurance Perspective
Ben Cavallo
C&S Insurance Agency
Four Risks Facing Electrical Contractors + Insurance Considerations
Electrical contractors play an essential role in the construction industry, with responsibilities that include designing, installing, maintaining, and repairing electrical systems across various applications. From residential homes, to outdoor public spaces, to large-scale power plant facilities, electricians encounter a range of situations and risks on a daily basis. Below is a list of the top four hazards electrical contractors face, and which insurance coverages can best help minimize any potential liabilities.
Injury
Personal injury is one of the most common perils electrical contractors face while carrying out their daily work. According to the United States Occupational Safety and Health Administration (OSHA), electrical contractors are at high-risk for the following injuries: • Ergonomics: Risks include musculoskeletal disorders that occur due to repetitive movements, poor tool design, and improper lifting and handling techniques. • Slips, trips, and falls: Because electricians must often navigate environments that feature high places, uneven terrain, or rough ground, they face greater risks for injurious falls. • Motor vehicle accidents: Electrical contractors are often on the road and therefore face increased risk for motor vehicle accidents, particularly rear-end collisions. • Electrocution: As they deal with electrical components in nearly every aspect of their job, electricians face significant risks when it comes to electrocution.
Being injured on the job not only brings with it the obvious danger of being harmed, but it can also lead to stiff legal and medical expenses that could threaten an electrical contractor’s business and life.
Equipment Breakdown & Theft
Electrical contractors often rely on expensive specialized tools and equipment that are sometimes inconvenient to remove from the jobsite each day. When these tools break down, replacements or repairs can be very costly and take time to replenish.
Furthermore, while keeping industry equipment on-site outside of working hours can save time and hassle, it also leaves electricians vulnerable to theft. With electrical equipment fetching high prices on the black market, theft has become a common challenge. Liability
Electrical contractors carry a great deal of responsibility when it comes to the safety and protection of emcontinued on page 66
ployees, customers, and the property being serviced. Without proper insurance coverage, electricians face exceptional financial and legal risks in the event of damage or serious injury that could occur as a result of their work. With liability insurance, contractors are protected should their electrical work cause bodily injury or property damage to someone else or someone else's belongings. Property Damage
In addition to risks on the jobsite, electrical contractors are also vulnerable to property damage when it comes to their own workshops, business structures, and equipment. Commercial property insurance can help cover electricians owned or rented buildings, as well as work-related equipment, such as power tools, batteries, and more.
Recommended Insurance Coverages for Electricians
When you work as an electrical contractor, it is critical that you have the insurance coverages you need to keep yourself, your workers, customers, equipment, and property safe in the event one of the risks we mentioned becomes a reality. Each of the following insurance options helps to minimize your legal and financial risk: • General liability insurance • Commercial property insurance • Business income insurance • Workers’ compensation insurance • Commercial auto insurance • Umbrella insurance
If you have questions about your current coverage, or would like to update your policy, reach out to your local insurance agent today to ensure
you are fully protected. n
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