Insurance Coverage – Contractor Construction Business Tip #52

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Complete Video Transcript
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tip number 52 from the book 501 contractor tips
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have enough insurance coverage make sure that you have enough
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liability insurance that’s that’s a biggie liability insurance that protects
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you from
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firm business problems or problems from
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construction defects and some way or another whether was your fault or the
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manufacturers
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fault you’re not going to need as much
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inch insurance if you’re doing small home repairs as you will
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if you’re building large hotels so that’s all relative
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you know if your going to be.
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fixing sprinklers and the worst thing that could possibly happen is one of the
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sprinklers comes on
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and on causes a little bit of erosion problem
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and could be fixed in less than an hour that’s not a big thing he
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you’re not getting these much liability insurance for something like that
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as you would if you are building a man I’m
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30 ohms at a time or a large Hilton Hotel
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you know this it’s all relative here to what you’re doing
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don’t let your insurance agent talk you into a larger policy
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if you don’t need it and that’s another thing to I usually had a million dollar
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liability
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yeah policy because I couldn’t see any needing any more than that
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that was a lot of money and I was doing small jobs you know even some of these
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larger job site did
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would have felt well underneath the umbrella love
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up something like that and less there was in again I i cant say
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I mean let’s face it there is their is
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a breaking point to this if you have a million dollars worth of liability
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insurance
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and someone is injured or
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fifty people get injured and they’re suing you for seven hundred million
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dollars
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or even to million dollars
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in all your insurance companies gonna pay is a million but you gotta come up
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with another million
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you’re gone this is just the way this is kinda like rolling the dice
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in also it it’s a tough thing up for liability insurance to figure out
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exactly how much you need
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because you can see the future and at the same time if you’re paying right now
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five thousand dollars a year for liability insurance for million
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and it’s gonna cost you seven thousand dollars but you can afford it
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your your business does not support this kind of an additional expense like this
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then you’re going to need to
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be business savvy here can take away okay can’t then I would have to be a
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little more careful I’m gonna have to spend more time making sure that I don’t
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make any mistakes on on my job site
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I’m or trying to figure out ways to make more money to where you can
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have to add additional coverage now along with liability insurance
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my family went without health insurance for years
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because I couldn’t afford dat I couldn’t afford it you know
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and then there was one time when I hadn’t
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I think I was covered for thirty thousand dollars
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that was my cap on my auto insurance
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and up something happened to where we were involved in a lawsuit
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and it was a lot more than 30,000 luckily the guy who
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started the lawsuit I’m lied about everything
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and the case got so now to court but it did open my eyes
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and again this is why I’m telling you this I’m
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it opened my eyes and made me think I am
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just how much insurance is enough and that’s a hard question
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to answer that’s why I’m not giving you of up
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a fixed price here tip number 52 justice to have enough insurance coverage
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because I don’t know
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what’s going to be enough for you today
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might not be enough for you in the future and what’s what’s in it for you
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today
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might not even be close to someone else who’s real who’s doing another type a
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business or
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or might be more I’m there’s someone else needs to win another type a
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business so it’s really
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relevant to the kinda business you’re doing what you’re doing
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now but its this I’m not just talking about
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liability insurance here talking about any type of insurance that you have got
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to make sure you have enough love it
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if you are a lot of people will actually have a life insurance policy
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if you’re the the thats your construction business that operates
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under your construction license
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and if something happens to you that business is gone
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and you have two hundred employees and then you really didn’t think this stuff
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this thing through enough and this is kinda what I’m talking about here
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you might need life insurance just as well as liability insurance
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to protect your family here did your children
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or your business so I can’t say it enough but I’m gonna say it again what
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the heck repetition is the best way to learn

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