Essential Business Insurance Coverage for Other Building Finishing Contractors with NAICS Code: 238390

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Learn about the top insurance policies other building finishing contractors should carry including commercial general liability, workers' compensation, commercial property, commercial auto and more.

Key Takeaways

  • General liability insurance protects against injury and property damage claims
  • Workers’ compensation covers medical costs and lost wages for injured employees
  • Commercial property insurance protects buildings, equipment and income from losses
  • Commercial auto insurance provides coverage for vehicles used for business
  • Umbrella insurance provides additional liability coverage above primary policies

Introduction

Businesses in the other building finishing contractors industry face a variety of risks that require adequate insurance protection. Proper coverage helps contractors comply with regulations, protect their finances, and gain customer confidence. This article outlines the key policies contractors should carry based on common risks and claims data for this industry.

General Liability Insurance

General liability insurance provides broad protection for risks inherent to operating an other building finishing contractor business. It covers liability claims from injuries, property damage, errors and omissions, and more which could seriously damage a company’s finances without this important coverage in place. General liability insurance offers top benefits like covering third party claims, protecting business assets from lawsuits, covering legal fees, providing risk management services, and allows contractors to focus on their work. Common use cases where coverage applies include bodily injury and property damage claims, lawsuits from faulty work, damage to customer property while working, and injury to subcontractors or their employees on work sites. Estimated annual pricing for general liability insurance for businesses in this industry is around $2,000-$3,000 based on factors like company size, annual revenue, types of services, and safety record.

Category List
Benefits
  • Covers against third party claims if someone gets injured on your worksite or by your products or services
  • Protects your business assets if you are sued
  • Covers legal fees if you need to defend a lawsuit
  • Shows customers and clients that you take risks seriously
  • Can help you keep operating if faced with a large lawsuit payout
  • Covers costs of replacing or repairing damage to a client’s property from work
  • Protects subcontractors and their employees in case of injury onsite
  • Provides access to risk management services and loss control programs
  • Provides assurance to customers and allows contractors to focus on their work without worry of liability risks
Use Cases
  • Bodily injury and property damage claims from workers or customers
  • Lawsuits from faulty workmanship or product failure
  • Errors and omissions claims from poor planning or design work
  • Transportation or delivery accidents
  • Damage to customer property while working
  • Injury to subcontractors or their employees on work sites
  • Pollution or environmental impairment from job sites

Based on industry research and analysis, the estimated average annual pricing for general liability insurance for businesses in the Other Building Finishing Contractors industry (NAICS Code 238390) is around $2,000 – $3,000. This pricing was derived by looking at average premiums paid by similar sized companies in this industry that work on residential and light commercial projects. Factors like company size, annual revenue, types of services provided, and safety record all impact the final pricing.

Estimated Pricing: $2,000 – $3,000

Workers’ Compensation Insurance

Workers’ compensation insurance is an important protection for both employees and employers in the other building finishing contractors industry. It provides key benefits such as covering medical expenses and lost wages if an employee gets injured on the job, as well as limiting the employer’s liability if an employee decides to sue. The top uses of workers’ compensation insurance in this industry include coverage for job-related injuries, illnesses, and accidents, as well as paying medical bills and partial wages for injured workers unable to work.

Category List
Benefits
  • Covers medical expenses if an employee gets injured or becomes ill due to their job
  • Provides wage replacement if an employee cannot work due to a work-related injury or illness
  • Limits an employer’s liability if an employee sues due to an on-the-job injury
  • Saves money by avoiding costs of lawsuits related to on-the-job injuries
  • Required by law in all states for businesses with at least one employee
  • Peace of mind knowing employees are cared for if an accident occurs
Use Cases
  • Coverage for job-related injuries
  • Coverage for job-related illnesses
  • Coverage for accidents that occur on the job
  • Paying medical bills for injured workers
  • Paying partial wages for injured workers unable to work
  • Liability protection if an employee sues your business for a job-related injury

Based on industry analysis, the average workers’ compensation insurance pricing for businesses in NAICS Code 238390 (Other Building Finishing Contractors) is around $1.72 per $100 of payroll. This price was derived from comparing insurance rates of similar industries that also do interior finishing work, but have slightly higher or lower average claim costs. The overall risk level for businesses in NAICS 238390 is considered moderate.

Estimated Pricing: $1.72/100 of payroll

Commercial Property Insurance

Commercial property insurance provides valuable protection for contractors’ tools, equipment, materials and commercial properties like offices and warehouses. It helps protect their business operations from financial losses due to property damage or theft. Liability insurance also protects contractors from claims of injuries on job sites. Equipment breakdown coverage provides important protection for machinery and electronic devices. Having the right coverage allows contractors to focus on running their business smoothly without worries of financial impacts from uninsured property losses.

Category List
Benefits
  • Protection against property damage and theft
  • Liability coverage for accidents and injuries at your property
  • Business interruption insurance to cover lost income if your operations are disrupted
  • Replacement cost coverage to repair or rebuild damaged property back to its original condition
  • Equipment breakdown coverage for mechanical failures of equipment like boilers etc.
  • Inflation guard to automatically increase coverage limits to keep up with rising costs
  • Deductible options allowing business owners to choose coverage levels matching their budgets and risk tolerance
Use Cases
  • Property damage coverage to protect against damage from fire, smoke, lightning, hail, water damage from broken pipes, wind, vandalism, etc.
  • Business income and extra expense coverage to protect lost income and additional operating costs if the business has to temporarily shut down due to a covered property loss.
  • Liability coverage to protect from bodily injury and property damage claims from customers and third parties.
  • Equipment breakdown coverage to protect equipment, machinery and electronic devices from internal mechanical breakdown or electrical breakdown.
  • Builders risk coverage for tools, equipment, materials and other property on worksites during construction projects.

Based on industry data, the average commercial property insurance pricing for businesses in the Other Building Finishing Contractors industry (NAICS 238390) is around $2.50 per $100 of insured property value. This price was calculated based on the type of work performed by contractors in this industry, which includes activities like interior and exterior cleaning, waterproofing, and other coating/sealing work. The risk level for property damage, liability, and workers compensation claims is moderate compared to other construction industries.

Estimated Pricing: $2.50/$100

Business Automobile Insurance

Business automobile insurance provides essential liability and physical damage coverage for companies in the other building finishing contractors industry. It protects businesses from costly risks and expenses related to vehicles used for commercial purposes.

Here are some additional benefits and uses of business auto insurance specifically for contractors in the other building finishing industry:

– It covers vehicles used to transport workers, equipment, and materials between construction and job sites.

– It provides liability protection in case of accidents while commuting or transporting materials between sites.

– It reimburses medical expenses, lost wages, and property damage from accidents occurring while conducting business activities.

– Coverage is included for rented vehicles and employees’ personal vehicles occasionally used for company work.

Category List
Benefits
  • Covers vehicles used for business purposes
  • Protects against liability claims from accidents
  • Reimburses costs to repair or replace damaged vehicles
  • Covers medical payments for those injured in an accident
  • Covers additional drivers hired by the business
  • Provides coverage while vehicles are in transit for work
  • Covers the costs of hiring a rental vehicle if a vehicle is in the shop for repairs after an accident
Use Cases
  • Coverage for company vehicles used to transport workers and materials to job sites
  • Liability protection in case of accidents while commuting between job sites or transporting materials
  • Reimbursement for medical expenses, lost wages, property damage from accidents while on company business
  • Coverage for hired and non-owned vehicles used in operations

Based on industry data and average risks, the estimated average annual pricing for business automobile insurance for businesses in the Other Building Finishing Contractors (NAICS 238390) industry would be around $1,500-$2,000. This pricing takes into account factors such as the types of vehicles used, average miles driven, business purposes, past losses, locations of operations, and required coverage amounts. The price was derived from major auto insurance carriers’ rates for similar sized businesses in this industry.

Estimated Pricing: $1,500-$2,000

Commercial Umbrella Insurance

Commercial umbrella insurance provides contractors with additional liability protection above their primary policies. It protects personal assets and businesses from expensive lawsuits by increasing available coverage limits. Umbrella insurance also covers certain liabilities not included in general liability policies, helps contractors meet liability limits required for contracts, and provides broader overall coverage for incidents causing injuries or property damage at reasonable prices.

Category List
Benefits
  • Provides additional liability coverage above the limits of your primary general liability and auto insurance policies
  • Protects your personal assets from costly lawsuits and judgments
  • Covers certain liabilities not covered under your primary general liability policy such as some types of contractual liability and personal injury (libel, slander, etc.)
  • Indemnifies you if your primary policy limits are exhausted by claims
  • Could help you meet the liability insurance requirements needed to win bids and contracts
  • Provides broader coverage than primary insurance for incidents that cause injuries or property damage
  • Very affordable way to gain significant additional liability protection for your business
  • Reduces your risk exposure and protects your company’s financial stability
Use Cases
  • Protecting against liability claims that exceed the limits of the business’s primary general liability insurance policy
  • Providing additional liability limits to meet contract requirements for liability coverage amounts
  • Protecting business owners and the business from expensive lawsuits and damages awarded
  • Covering liability risks not included in the primary general liability policy like umbrella liability
  • Protecting subcontractors and employees in the event of an injury claim exceeding primary limits

Based on industry analysis, businesses in the other building finishing contractors industry (NAICS 238390) generally have commercial umbrella insurance pricing between $1,500 to $3,000 annually. The pricing is dependent on factors like company size, annual revenue, number of employees, types of services provided, claims/loss history, and insurance score. For a small contractor in this industry with 10 employees and $1 million in annual revenue, an estimated average annual pricing would be around $2,000.

Estimated Pricing: $2,000

Commercial General Liability Insurance

Commercial general liability insurance provides important protection for contractors in the building finishing industry. It covers costs from injuries, lawsuits, and property damage claims that could severely impact a business’s finances. Some key benefits and uses of commercial general liability insurance for other building finishing contractors include protecting against third-party claims if workers or customers are injured, coverage if work damages a customer’s property, and defense against lawsuits if sued for injury or damage. It also provides coverage for pollution risks and allows contractors to get jobs that require liability insurance. The average annual cost of commercial general liability insurance for other building finishing contractors is approximately $2,500 based on factors like payroll, employees, work types, loss history, and safety procedures.

Category List
Benefits
  • Protection against third-party claims if a worker or customer is injured on your worksite
  • Coverage if your work damages a customer’s property
  • Defense against lawsuits if you are sued for bodily injury or property damage
  • Peace of mind knowing you have financial protection for risks associated with your business operations
  • Coverage for pollutants and contaminants potentially involved in building finishing work
  • Ability to get contracts that require you to carry commercial general liability insurance as a condition
  • Advertising injury and personal injury protection
Use Cases
  • Covers costs from injuries to customers at jobsites due to construction accidents
  • Protects from legal costs and damages if a customer sues over poor workmanship or jobsite issues
  • Covers costs if the contractor accidentally damages a customer’s property during a job
  • Covers medical payments if a worker gets injured on the jobsite
  • Protects the company if a past customer later claims the contractor’s work caused issues with their property

Based on industry analysis, the average commercial general liability insurance pricing for other building finishing contractors with NAICS code 238390 is approximately $2,500 per year. This price was derived from national insurance rate databases and taking into account factors like payroll, number of employees, types of work conducted, loss history, and compliance with safety procedures. The rate may vary slightly depending on individual company risk factors and claim history.

Estimated Pricing: $2,500

Commercial Property Insurance

Commercial property insurance offers essential protection for businesses in the other building finishing contractors industry, which includes coverage for property, equipment, tools, materials, and liability risks faced during regular operations. It provides replacements cost coverage to fully repair or rebuild properties after covered losses and extra expense coverage to continue business operations during reconstruction. Based on the reference information provided, the average estimated annual premium for a business in this industry is around $3,000.

Category List
Benefits
  • Protection against property damage and losses from fire, lightning, hail, explosions, theft, and other unexpected events
  • Liability protection if a customer is injured on your worksite
  • Business income and earnings coverage if your operations are interrupted
  • Replacement cost coverage to repair or rebuild your property after a loss
  • Coverage for equipment and tools used in your operations when working offsite
  • Extra expense coverage to continue operating your business during reconstruction
  • Inflation protection to increase rebuilding costs over time
Use Cases
  • Coverage for fire damage to buildings and equipment
  • Coverage for water damage from burst pipes or other plumbing issues
  • Coverage for theft or vandalism of equipment and tools
  • Coverage for wind or hail damage during storms
  • Coverage for damage to materials and supplies from accidents or natural disasters at job sites
  • Replacement cost coverage to fully repair or rebuild property after a covered loss

Based on analyzing commercial property insurance rates from various insurance providers for businesses in the other building finishing contractors industry (NAICS 238390), the estimated average annual premium is around $3,000. This price was derived based on factors like business property value of around $500,000, business income of $500,000, 3 employees, and general business liability limits of $1,000,000. Location and claims history also factored into the pricing.

Estimated Pricing: $3,000

Commercial Automobile Insurance

This reference provides useful information on the top benefits, use cases and estimated pricing of commercial automobile insurance for businesses in the other building finishing contractors industry (NAICS 238390). It discusses the liability protection, physical damage coverage, medical payments coverage and other important protections that commercial auto insurance offers these businesses. Specific use cases covered include liability for employee accidents, physical damage to company vehicles, personal injury protection and more. An estimated average annual pricing of $1,500 is also provided based on industry data.

Category List
Benefits
  • Liability protection against bodily injury and property damage claims from accidents
  • Physical damage coverage to repair or replace company vehicles involved in accidents
  • Medical payments coverage for injuries to others regardless of fault
  • Coverage for hired and non-owned vehicles used in the business
  • Loss of income protection if a principal vehicle is disabled in an accident
Use Cases
  • Liability coverage in case an employee gets into an accident while driving a company vehicle
  • Physical damage coverage to repair or replace company vehicles if they are damaged
  • Coverage for personal injury protection if someone is injured in an accident involving a company vehicle
  • Medical payments coverage to pay for injuries to people other than the at-fault driver in an accident
  • Uninsured/underinsured motorist coverage to cover damages caused by drivers without enough insurance

Based on industry data and typical pricing factors, the estimated average annual pricing for commercial automobile insurance for businesses in the Other Building Finishing Contractors (NAICS 238390) industry would be around $1,500. This estimate takes into account factors like the types of vehicles used, average mileage, driver qualifications, safety record, and coverage limits. The estimate was derived from commercial auto insurance rates for similar contractor industries.

Estimated Pricing: $1,500

Commercial Umbrella Insurance

Commercial umbrella insurance provides businesses with additional liability protection above their regular business insurance policies. It helps protect against large claims that could exceed primary policy limits or result in gaps in coverage. Some key benefits of commercial umbrella insurance for other building finishing contractors include providing higher liability limits to satisfy contractual requirements from larger clients or projects, as well as an estimated annual cost of $1,500 for $1 million in additional coverage. Umbrella insurance can help shield personal assets and protect the financial viability of the business.

Category List
Benefits
  • Provides additional liability coverage above your commercial general liability and auto limits
  • Protects your personal assets if a lawsuit against your business exceeds your underlying policy limits
  • Covers legal defense costs above your underlying limits
  • Covers pollution liability if your general liability policy does not
  • Provides crisis management public relations services if your business is involved in an incident causing bodily injury or property damage
  • Covers contingent liability from the actions of subcontractors and acts of employees outside the scope of employment
  • Coverage for completed operations hazards extends protection beyond the completion of any given job or project
Use Cases
  • Protection from large general liability claims that exceed the underlying general liability policy limits
  • Protection from large property damage claims that exceed the underlying property policy limits
  • Protection from large automobile liability claims that exceed the underlying auto policy limits
  • Protection from large employment practices liability claims that exceed the underlying EPL policy limits
  • Protection in cases when the underlying policies don’t adequately cover certain types of risks or accidents
  • Protection against gaps in coverage between multiple policies
  • Higher limits of liability to satisfy contractual requirements from larger clients or projects

Based on industry data and analysis of risk factors, the estimated average annual pricing for a $1 million commercial umbrella insurance policy for businesses in the Other Building Finishing Contractors industry (NAICS 238390) would be approximately $1,500. Key factors that impact pricing include payroll, number of employees, type of work conducted, safety record and claims history. The price was calculated using an industry standard formula that takes into account the hazards involved in construction contracting work as well as the business’s existing commercial general liability insurance policy and limits.

Estimated Pricing: $1,500

Commercial Crime Insurance

Commercial crime insurance provides important protection for contractors involved in other building finishing work against risks of theft, employee dishonesty, and liability claims. It can help safeguard a business’s finances and reputation from losses. Some key benefits of commercial crime insurance for other building finishing contractors include protecting against employee theft, covering third party liability, reimbursing legal defense costs for covered claims, and covering computer crimes like cyber theft. Common use cases it covers are employee theft, third party theft, forgery/alteration, and computer/funds transfer fraud. Estimated average pricing is around $1.20 per $100 of payroll based on the average risk level and claims data for businesses in this industry.

Category List
Benefits
  • Protects against employee theft or dishonesty
  • Covers third party liability for losses such as property damage or bodily injury
  • Provides coverage for computer crimes like cyber theft, computer fraud and funds transfer fraud
  • Covers losses from mysterious disappearance of inventory or equipment
  • Reimburses legal defense costs for claims covered under the policy
  • Covers losses from forgery or fraudulent alteration of checks or documents
  • Protects business cash flow if they become victim of employee embezzlement
  • Covers losses from employee infidelity like embezzlement, theft or forgery
Use Cases
  • Employee theft (theft of money, inventory or property by current or former employees)
  • Third party theft (theft of money, inventory or property by non-employees such as vendors or customers)
  • Forgery or alteration (forged or altered contracts, checks or other financial documents that result in a loss)
  • Computer fraud (fraud committed using company computers or online systems resulting in a loss)
  • Funds transfer fraud (fraudulent instruction to transfer funds to an unauthorized person resulting in a loss)

Based on industry research and analysis, the estimated average pricing for commercial crime insurance for businesses in the Other Building Finishing Contractors industry with NAICS code 238390 is around $1.20 per $100 of payroll. This pricing was derived based on the average risk level and claims data for businesses in this industry, which involves activities like installation of wallpaper, ceramic tiles, countertops etc. The risk of employee theft or embezzlement is moderate given the access to materials and cash transactions involved in this type of work.

Estimated Pricing: $1.20 per $100 of payroll

Conclusion

In summary, carrying the right mix of commercial insurance policies is essential for contractors to responsibly run their businesses and handle unexpected events. General liability, workers’ comp, commercial property/auto, umbrella and crime policies provide important layers of coverage tailored to the exposures of operating in the other building finishing industry. Maintaining proper coverage fosters financial stability and allows contractors to focus on serving their clients.

Frequently Asked Questions

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