Our Blog

If you’re a contractor that operates a home business, believe it or not you carry similar risks as the largest corporations out there.  Whether it’s just you and your tools of the trade, or you’ve hired a team of employees or subcontractors to help you build someone’s dream home, you’re going to need business insurance coverage.  Unsure whether this applies to your business?   Just ask yourself the following questions.

Why Do You Need Contractor Insurance?
If you’re running a home-based business, you may be thinking it isn’t large enough to require contractor insurance.  Whether you’re a plumber, locksmith, painter or carpenter, the risks are out there, and you need protection. Your work and/or your employees’ can end up inadvertently causing injury to someone, or your materials can end up damaging existing property. Also, what happens if your employees get injured while on the job? That’s why it is so important that you protect yourself properly with coverage like general liability insurance and workers compensation insurance. Here are some issues to consider:

How Do I Know What Coverage I Need?
The first thing you’ll want to do is contact your insurance agent.  In order to determine your business risk,  your agent will need to know what your business  you are in and all the types of work you perform. Be specific and honest to ensure you get the right coverage customized for you business needs. One contractor may need a customized business owner policy (BOP) while another may need a simple commercial general liability policy (CGL). Both may or may not need a commercial auto policy and both may need workers compensation coverage. It all depends on your particular line of work.

Can I be held liable for damage or injury?
Yes you can! Today’s society is increasingly litigious, and even small missteps can result in large lawsuits. Therefore, general liability insurance is critical for any size company. Liability insurance protects your company’s assets if it is sued for causing property damage or personal injury. You can purchase general liability insurance on its own or as part of a business owner’s policy, or BOP. BOPs bundle liability and property insurance into a single policy. Remember lawsuits can happen on the first day of the job or even years after you finished the project.

Are My Materials and Labor Protected?
With builder’s risk insurance, you are protected from the loss of materials and labor costs during the course of construction due to most circumstances outside your control – Fire, theft, vandalism, wind, and lightning. As part of your contractor insurance, this valuable protection can also cover the cost of materials stored on site that are damaged or lost.  

What Is, and Do I Need, Workers Compensation Insurance?
Every NJ employer has a legal responsibility to employees to make the workplace safe. However, accidents happen even when every reasonable safety measure has been taken. Therefore, worker’s compensation insurance (WC) is required for every employee in the state of NJ.

WC covers workers injured on the job, whether they're hurt on the workplace premises or elsewhere, or in auto accidents while on business. It also covers work-related illnesses as well as certain medical expenses, lost income and rehabilitation expenses. It also pays a death benefit to heirs of an employee who dies from a job-related injury or illness.

Be careful, WC can be a tricky. Depending on your corporate structure, even though you have no employees, you may be required to carry the coverage. That’s why it is always best to consult an insurance professional.

Do My Subcontractors Need Insurance?
Absolutely! If you face a claim related to work done by your subcontractor, you may find out too late that your contractor insurance policywon’t pay. Make sure your subcontractors are insured for both general liability and worker’s comp by routinely asking for their current certificates of insurance. Also, make sure that you’re named as an additional insured, and check that the limits of liability match or exceed yours.

Do I Need Commercial Auto Insurance?
Whether it's a single truck used just by you to get from job site to job site, or several passenger cars or trucks used by your employees, you’ll need theproper insurance coverage. If you’re like many home-based business owners, you may use only one vehicle for both business and personal use.  In that case, your insurance agent can advise you on mixed use insurance coverage because your personal auto policy may not cover your business risk. 

Don’t assume that just because you’re a trusted professional to some, that others won’t have problems with your work.  If a client finds your work unacceptable or finds you haven’t met their standards, business insurance coverage will be there to protect you.  New Jersey’s insurance company John Hawk Agency can help you decide what you need when it comes to contractor insurance.  From general liability insurance to commercial auto insurance, you’ll get a cost-effective plan to help you do business with confidence.

Winter Weather Safety Tips
For starters, don't go out until the snow plows and sanding trucks have had a chance to do their work, and allow yourself extra time to reach your destination. 

Winterize Your Vehicle
Schedule a maintenance checkup for your tires, battery, belts and hoses, radiator, oil, lights, brakes, exhaust system, heater/defroster, wipers and ignition system. Keep your gas tank sufficiently full – at least half a tank is recommended.

Equip Your Vehicle with Chains or Snow Tires
When it comes to traction on slick winter roads, you’ll want to consider using tire chains or snow tires.  Tire chains are highly effective and can be purchased at just about any auto store. Inexpensive, and easy to install and remove, tire chains will give you that maximum grip to ensure your safety. 

An equally effective alternative for winter driving safety is the use of snow tires, which provides the added benefit of giving your standard tires a rest during the winter months. You’ll feel like you’re driving around in your very own snow mobile as you stop, turn corners and change lanes without the worry of your back end sliding. Most snow tires cost less than an insurance deductible and last at least three seasons. And chances are your tire seller will allow you to store your other tires with them during the winter. If the east coast blizzards can teach us one lesson, it's that it's never too early in the season to start thinking about winter tires. Prepare yourself with tire chains or snow tires today.

Purchase Winter Driving Safety Essentials
Before winter hits, do yourself a favor and build a winter driving safety kit for your trunk including a snowbrush, ice scraper, rock salt, small shovel, flashlight, blanket, jumper cables and first aid.

Clean Off Your Car
Before you hit the road, be sure to clear snow and ice from windows, lights, mirrors and the roof. If you don’t, you’ll leave a trail of dangerous conditions for the other drivers around you. This is one of the simplest driving safety tips.

Turn on Your Lights
Winter weather and limite daylight hours can make for limited visibility.  Keep your headlights on at all times so that you can see and be seen.

Slow Down
Failing to allow yourself enough time to stop is a major cause of winter driving accidents. In slippery conditions, stopping distances can triple. Driving at a slower speed, anticipating stops at traffic lights and intersections, and applying brakes sooner than usual are excellent safe winter driving tips to remember. When braking, brake carefully with short, rapid application of the brakes. Always allow plenty of extra space between you and other vehicles to minimize the need for quick stops.

Know How to Handle a Skid
If you’re going a slower speed on winter roads, you shouldn’t find yourself skidding, but if you do, it’s important to know how to handle it. Determine where you want your car to go and turn your steering wheel toward that point. Avoid over-steering.

Get Over the Hill
Drive too slowly and you’ll find yourself spinning your wheels on hills.  Drive too fast and you’ll risk skidding.  So what can you do?  Maintaining momentum. Apply light and even pressure on the gas pedal, and approach the hill with medium speed. At the top of the hill, slow down and roll down the hill slowly.

Maintain Your Car Insurance
While no additional coverage is needed for winter, you should make sure your auto insurance policy has coverage for loss of use. This way, if you happen to get into an accident, you can get a rental car while your vehicle is getting repaired. 

According to NJ insurance agents John Hawk Agency, preparation is key when it comes to winter weather safety tips.  Teenage drivers who are new to the road in general need some extra guidance before they get behind the wheel.  Parents or family members are urged to take teens out to practice in an empty parking lot upon first snow fall.  But the fact is, no matter how old you are, winter driving safety is something you should always have on your driving radar to avoid a car accident.