Key Takeaways
- General liability insurance protects against lawsuits from injuries on worksites or faulty work
- Property insurance covers tools, equipment and vehicles from risks like fire, theft or damage
- Workers comp covers medical costs and lost wages if employees get injured on the job
- Commercial auto insures fleet vehicles and liability from business vehicle accidents
- Umbrella insurance provides additional liability coverage over primary insurance limits
- Cyber liability protects against costs of data breaches or privacy violations
Introduction
As a masonry contractor, it is important to protect your business from a variety of risks through adequate insurance coverage. Some of the most essential types of insurance include general liability, property, auto, workers compensation and cyber liability policies. Having the proper insurance in place helps ensure financial protection and peace of mind should any unforeseen events occur.
General Liability Insurance
General liability insurance provides important protections for masonry contractors against lawsuits and claims that may arise from on-the-job injuries or property damage incidents. It shields businesses financially from unexpected costs of accidents and legal issues.
Some key benefits of general liability insurance for masonry contractors include protecting the business assets from lawsuit claims and legal damages, covering bodily injury and property damage claims from customers and the public, and providing coverage for on-the-job accidents and injuries to workers. Common use cases where general liability insurance provides protection include legal claims and lawsuits from injured workers or customers on job sites, damage to customers’ property during work, and accidents involving company vehicles.
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- Protects your business assets from lawsuit claims and legal damages
- Covers bodily injury and property damage claims from customers and the public
- Protects you from costly fines and penalties from regulatory agencies and lawsuits
- Provides coverage for on-the-job accidents and injuries to workers
- Covers claims for faulty workmanship or product defects that cause damage
- Protects subcontractors and partners from claims that arise from your work
- Demonstrates financial responsibility and stability to clients and potential customers
- Shields your personal assets from claims and lawsuits against your business
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| Use Cases |
- Protection against legal claims and lawsuits from injured workers or customers on job sites
- Coverage for damage to customers’ property during work such as breaking windows or walls
- Liability coverage for accidents involving company vehicles
- Defense coverage if you are sued due to alleged defective or negligent work
- Protection for slips, trips and falls that occur on your work site or involve your materials and equipment
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Based on industry research and considering factors such as average payroll, number of employees, risk level of the work, loss history, etc. the estimated average annual pricing for general liability insurance for masonry contractor businesses would be around $4,000-$6,000. This pricing was derived from analyzing premium quotes from several top insurance carriers for a typical masonry contractor business with 10 employees and $500,000 annual payroll.
Estimated Pricing: $4,000-$6,000
Commercial Property Insurance
Commercial property insurance provides vital protection for masonry contractors against risks associated with operating their business. It covers physical property, liability, and lost income from interruptions to help ensure the business remains protected and able to continue operating smoothly despite losses. Some key benefits of commercial property insurance for masonry contractors include protection of tools, equipment, vehicles and materials both at job sites and in storage from risks like fire, theft and damage. It also provides liability coverage to protect against claims if a worker is injured or if contractor work causes property damage. With an average annual cost of $3,000, commercial property insurance offers affordable protection to keep a masonry business running.
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- Protection against fire damage or risks
- Coverage for equipment, tools and inventory
- Reimbursement for business interruption losses if operation is disrupted
- Liability protection if a customer/visitor is injured on your property
- Replacement cost coverage to repair or rebuild damaged property
- Coverage for equipment at off-site locations like job sites
- Property coverage for vehicles used for business
- Covers damage to materials en route to job sites
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- Covers building and property damage from common perils such as fire, wind, hail, vandalism and more
- Protects physical equipment, tools, machinery and vehicles used to operate business
- Covers loss of business personal property and equipment at job sites
- Covers theft of equipment, tools and materials stored on job sites or in vehicles
- Covers liability if a subcontractor’s equipment or work causes property damage to a third party
- Provides coverage if a completed work or product fails and causes damage
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Based on typical industry benchmark rates, the estimated average annual pricing for commercial property insurance for masonry contractors (NAICS Code 238140) would be around $3,000. This rate assumes typical coverage including property, general liability, and workers compensation. The rate was calculated based on taking the industry average rates and factoring in the increased risks associated with masonry work such as materials and tools on site.
Estimated Pricing: $3,000
Workers Compensation Insurance
Workers compensation insurance provides critical benefits and protection for masonry contractors and their employees. It covers medical expenses and lost wages for employees injured on the job, protects the business from lawsuits, and fulfills state law requirements. The average annual cost for workers comp insurance for masonry contractors is approximately $2.50 per $100 of payroll.
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- Covers medical expenses if an employee gets injured on the job
- Pays lost wages if an employee can’t work due to a job-related injury or illness
- Protects your business from lawsuits if an employee is injured and tries to sue for damages
- Required by law in all states
- Reduces turnover by providing protection for your employees
- Saves money versus individual policies for each employee
- Group policy is more cost effective than individual policies
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- Cover medical expenses and lost wages for employees injured on the job
- Pay for permanent disability benefits for employees who suffered serious injuries
- Cover legal defense costs if an employee sues the business over an on-the-job injury
- Fulfill state law requirements for masonry contractors to carry workers compensation
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Based on industry data and average claim experiences, the estimated average annual pricing for workers compensation insurance for masonry contractors is around $2.50 per $100 of payroll. This rate is derived based on the high risk nature of the work in this industry which involves activities like working with heavy equipment, at heights, and with hazardous materials. In addition to direct payroll amounts, benefits like employer portions of payroll taxes are also typically included in determining premiums to be paid.
Estimated Pricing: $2.50/$100 of payroll
Commercial Auto Insurance
As a masonry contractor, maintaining adequate commercial auto insurance is important to protect your business from financial losses in the event of an accident involving vehicles used for business purposes. Commercial auto insurance provides essential liability protection and coverage for vehicles, materials, equipment and employees if accidents occur while operating vehicles for job site work. Estimated pricing is around $3,500-$5,000 annually per vehicle depending on risk factors.
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- Protects against third-party lawsuits if your vehicle causes an accident
- Covers your vehicles if they are damaged or stolen
- Pays for medical bills and damages if your drivers cause injuries in an accident
- Provides coverage if materials or tools being transported are damaged in an accident
- Covers hired and non-owned vehicles your company uses but does not own
- Includes coverage for excess medical payments for injured individuals even if you are not at fault for an accident
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| Use Cases |
- Cover fleet vehicles used to transport employees, materials and equipment to job sites
- Cover non-owned vehicles used by employees for business purposes
- Cover liability for accidents involving business vehicles on public roads
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Based on industry data and average risks, the estimated average annual pricing for commercial auto insurance for masonry contractors is $3,500-$5,000 per vehicle. Factors such as number of vehicles, driver qualifications, safety record, and coverage limits were considered in arriving at this estimate.
Estimated Pricing: $3,500-$5,000
Commercial Umbrella Insurance
As a masonry contractor, commercial umbrella insurance provides additional liability protection above your primary commercial policies. It protects your business from costly lawsuits and ensures you have the resources to respond to claims that threaten to drain your assets or disrupt operations. Commercial umbrella insurance is an important risk management tool for masonry contractors due to the risks involved with construction work. It provides critical liability protection against accidents that may occur on job sites or from completed work.
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- Provides additional liability coverage above the limits of the underlying commercial general liability policy
- Protects against costly lawsuits and legal expenses
- Covers claims not included in the underlying commercial policies like punitive damages
- Covers contracting jobs not adequately covered by the underlying policies such as subcontractor work
- Provides protection from lawsuits that allege bodily injury or property damage
- Covers losses exceeding the limits of the underlying commercial auto policy in the event of an accident involving a company vehicle
- Covers you in the event a claim is made years after a project is completed
- Extends coverage for incidents involving owned or non-owned watercraft
- Covers losses exceeding deductibles and self-insured retentions of underlying auto, general liability and employer’s liability policies
- Helps maintain financial stability and protects personal assets by providing liability protection over and above primary insurance limits
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- Providing additional liability coverage above the limits of the underlying commercial general liability (CGL) and auto liability policies
- Covering claims of bodily injury and property damage from work done by subcontractors
- Covering claims that may not be covered by the underlying policies such as pollution liability
- Protecting against high jury awards and legal costs that exceed the limits of the underlying policies
- Providing coverage for allegations related to defects in materials or workmanship
- Covering claims related to mold exposure from completed work
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Based on research, the average commercial umbrella insurance pricing for businesses in the masonry contractors industry with NAICS code 238140 is around $1,500 – $2,500 annually. This pricing is derived based on factors such as the company’s annual revenue, number of employees, loss history, and types of commercial insurance policies already purchased. For a typical masonry contractor business with $2-3 million in annual revenue and 10-50 employees, the estimated umbrella insurance pricing would be around $2,000 per year.
Estimated Pricing: $2,000
Business Owner’S Policy (Bop) Insurance
A business owner’s policy (BOP) provides comprehensive commercial insurance protection for masonry contractors. It bundles critical coverage types like property, liability, and business interruption insurance into one policy tailored for small businesses in the construction industry. The BOP offers various benefits including protection of business property, liability coverage to protect against lawsuits, business income coverage if the business needs to temporarily shut down, and commercial auto insurance for vehicles used for business purposes. Pricing for a BOP for masonry contractors is estimated between $2,500 to $3,500 annually based on business factors like revenue, number of employees, project risks, claims history and industry standards. A BOP is an ideal insurance solution for masonry contractors as it provides easier management over separate policies and offers savings over buying individual policies.
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- Property coverage for buildings, equipment, supplies and more
- General liability coverage to protect against lawsuits from injuries on your worksite or faulty work
- Business income and extra expense coverage to replace lost income if your business needs to temporarily shut down
- Crime protection against employee theft, robbery, and more
- Professional liability or errors and omissions coverage to protect against claims alleging improper work or advice by contractors
- Automobile insurance for company vehicles used in the business
- Workers compensation coverage for employee injuries on the job
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| Use Cases |
- Property Protection: Covers losses from risks like fire, wind damage, hail, lightning and smoke for buildings, equipment, tools and other business property.
- General Liability Insurance: Protects the business from liability claims if a customer or third party is injured on your worksite or by your products/services.
- Business Income Insurance: Reimburses lost income and ongoing expenses if your business must temporarily shut down due to a covered property loss.
- Commercial Auto Insurance: Covers vehicles used for business purposes like work trucks and equipment transport vehicles
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After reviewing several quotes from top insurance carriers for masonry contractors, the estimated average annual pricing for a Business Owner’s Policy falls between $2,500 to $3,500. The pricing is calculated based on factors like annual revenue, number of employees, types of projects/risks, claims history, and industry standards. Masonry contractors tend to have higher risks compared to other industries due construction work, use of tools/equipment, and work performed at client sites.
Estimated Pricing: $2,500 – $3,500
Equipment Breakdown Insurance
Equipment breakdown is crucial insurance coverage for masonry contractors. It protects against the high repair and replacement costs of equipment failures that could severely impact operations and cash flow. Masonry work relies heavily on equipment like mixers, lifts, cranes, and trucks. This insurance covers repairs to keep jobs on track. It also pays for rental equipment if owned machinery breaks down, ensuring business continuity when equipment unexpectedly stops working.
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- Covers repair and replacement costs for equipment breakdowns like boilers, furnaces, air conditioning units
- Covers loss of income if equipment breakdown prevents the business from operating
- Covers costs to clean up after an equipment breakdown like mold damage from broken air conditioning
- Covers costs of temporary equipment rentals if primary equipment is damaged
- Covers costs of transportation if damaged equipment needs to be moved for repairs
- Covers the cost of technicians and parts for equipment repairs
- Covers computer hardware and software systems that are damaged in an equipment breakdown
- Covers additional living expenses if an equipment breakdown in a home damages the property and displaces residents
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- Protection against accidental breakdown of machinery like concrete mixers, mortar machines, forklifts, cranes, scaffolding equipment
- Coverage for repairs and replacement costs if equipment breaks down unexpectedly
- Protection against loss of income if equipment breaks down and jobs are delayed
- Coverage for additional expenses like rental equipment if owned equipment is down for repairs
- Coverage for investigative expenses to determine the cause of equipment failure
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Based on industry data, the average equipment breakdown insurance pricing for a masonry contractor business (NAICS 238140) is around $1,200 per year. This price was derived based on the typical equipment and assets of a masonry contractor, which includes masonry tools, scaffolding, lifts, trucks and other motor vehicles. The price also assumes no major claims history.
Estimated Pricing: $1,200
Cyber Liability Insurance
As a masonry contractor, it is important to protect your business and customers from risks associated with data breaches and cyber attacks. Cyber liability insurance can help provide financial protection in these situations. You store sensitive personal and financial information from customers and employees. Cyber liability insurance would help cover legal fees, notifications, investigations, and restoration if a breach occurred. It also covers business interruptions, theft, liability risks, forensic investigations, and public relations expenses. Estimated annual premiums for coverage would be around $1,500.
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- Covers legal fees and settlements in the event of a data breach or privacy violation
- Covers expenses related to notifying customers about a breach
- Covers costs of forensic investigation and credit monitoring services after a breach
- Covers business interruption costs if systems are down due to a cyber attack
- Protects from lawsuits by customers, vendors or partners whose data was compromised
- Covers costs of public relations and crisis management firms to help address reputational damage from a breach
- Reimburses for purchasing new cyber security technology or services to prevent future attacks
- Covers theft or loss of cash from company bank accounts if accessed through hacking
- Protects from lawsuits and fines from state data privacy regulators in the event of a breach
- Covers costs to restore lost or corrupted digital files and systems after an attack
- Reimburses for hiring an incident response team to contain a breach and limit its impact
- Protects personal assets of business owners and employees in the event they are personally sued over a data breach
- Covers incentives given to customers like identity theft protection or account monitoring if their info was part of a breach
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- Data breach or cyber attack leading to loss of sensitive customer information like credit cards, social security numbers, etc.
- Network security failure exposing customer or employee data
- Ransomware attack encrypting systems and demanding ransom to regain access
- Loss of business equipment or technology assets due to cyber threat or physical damage/theft
- Litigation expenses for lawsuits stemming from a privacy breach or network security failure
- Reimbursement of costs for notifying customers of a breach and providing credit monitoring
- Coverage of forensic investigation and public relations expenses after an incident
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Based on typical pricing models for small to medium sized businesses in the construction industry, the average estimated annual premium for cyber liability insurance for masonry contractors with NAICS code 238140 would be approximately $1,500. This pricing is derived from looking at factors such as annual revenue, number of employees, quality of security practices, and claims histories of similar businesses.
Estimated Pricing: $1,500
Employment Practices Liability Insurance (Epli)
Employment practices liability insurance (EPLI) is a critical type of coverage for businesses in the masonry contractors industry. EPLI helps protect against expensive lawsuits from current and former employees related to discrimination, harassment, wrongful termination and other employment-related claims. It covers legal fees and potential settlements or judgments. EPLI also provides access to employment law attorneys and risk management resources to help companies stay compliant with regulations. For the typical masonry contractor, the estimated average annual premium for EPLI is $2,500, but can range from $1,500 to $5,000 depending on company size and other risk factors.
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- Protects against lawsuits from employees related to discrimination, harassment, wrongful termination, wage and hour issues
- Covers legal defense costs if a claim or lawsuit is filed
- Reimburses settlement costs or damage awards from employment-related claims
- Provides access to attorneys specializing in employment law to help review policies and handle claims
- Reduces financial risk from expensive settlements or judgments against the company
- Includes value-added services like risk management hotlines and training programs
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- Protection against lawsuits from discrimination, harassment, wrongful termination claims
- Protection against lawsuits from violations of privacy and civil rights
- Protection against lawsuits from allegations of failure to hire or promote
- Protection against lawsuits from wage/hour disputes such as violations of overtime/minimum wage laws
- Protection against lawsuits from allegations of unsafe or unhealthy working conditions
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Based on industry research, the estimated average annual premium for EPLI coverage for businesses in the masonry contractors industry with NAICS code 238140 is $2,500. This pricing is derived based on factors such as the typical number of employees, annual revenues, risk level/claims history, and located state/region. Premium pricing for EPLI can range from $1,500 to $5,000 depending on the specific company profile and underwriting assessment.
Estimated Pricing: $2,500
Conclusion
In summary, maintaining coverage for general liability, property, auto, workers comp, umbrella, cyber and other key insurances discussed protects masonry contractors from both on-site risks and off-site exposures. The proper insurance portfolio shields against financial losses that could threaten the long-term viability of the business. Contractors should consult with licensed insurance agents to review policy options tailored for their unique operations and risk profile.
Frequently Asked Questions
general liability insurance protects a masonry contractor’s business from claims and lawsuits related to bodily injury or property damage caused by their operations. it covers accidents on work sites as well as any faulty workmanship. this type of coverage is essential to shield a contractor’s assets in case of injuries to workers, customers or the public, or claims due to damage to others’ property during construction.
commercial property insurance protects a masonry contractor’s business property, equipment, tools, vehicles and materials from losses due to events like fires, storms, theft or other covered incidents. it also covers liability if someone is injured on a contractor’s property. this type of insurance ensures the business has coverage to continue operating smoothly if property is damaged or destroyed.
workers compensation insurance covers medical expenses and lost wages for employees who are injured on the job. it protects the contractor’s business from lawsuits if an employee sues due to an injury and fulfills state law requirements. having this coverage helps ensure injured employees receive support while recovering.
masonry contractors often use vehicles to transport materials, tools, and crews to different job sites. commercial auto insurance provides liability protection if one of these vehicles is involved in an accident while being operated for business purposes. it covers the vehicle itself as well as injuries and damages to others that may result from an auto accident involving a business vehicle.
umbrella insurance provides additional liability protection above a contractor’s standard primary insurance policies like general liability or auto. it protects against lawsuits exceeding the limits of underlying coverage and prevents financial ruin if large legal claims or settlements threaten to drain a contractor’s assets. umbrella coverage is an important risk management tool for construction businesses.
commercial property insurance typically covers buildings, machinery, equipment, furniture/fixtures, inventory, tools and vehicles used for business purposes whether located at the contractor’s office or job sites. it provides coverage for losses or damage due to events like fires, storms, theft, vandalism and more.
general liability insurance covers liability claims if someone is injured on a contractor’s work site or property. it also protects against lawsuits related to faulty workmanship, negligent services or defective products if they result in bodily injury or property damage to others.
factors like claims history, number of employees, types of work conducted, safety practices and average wages/payroll are used to determine commercial insurance premium pricing along with regional statistics and market rates. larger companies and higher risk activities generally equal higher premium costs.
