A smart homeowner knows that you only hire fully insured remodeling contractors. However, do you know what "fully insured" really refers to in this case? Do you know why it is so important to hire only the fully insured? Here is what the phrase "fully insured" means in reference to remodeling contractors and why it is so important.
Fully Insured DOES NOT Refer to Damage to Your Home
Some homeowners hire fully insured remodeling contractors thinking that "fully insured" means that the contractor insures your home against damages. Nope. Your homeowner's insurance does that. Besides, if that is what you think of a remodeling contractor, would you honestly want to hire him/her? You would probably be worried that that particular interpretation of "fully insured" means that the contractor and his/her crew damage a lot of property, and nobody wants that!
Fully Insured Means That Everyone Is Protected
Fully insured actually means that the contractor and his/her crew are fully insured against accidents and injuries. It not only protects them if they are injured on your property, but it also protects you. If someone is injured on your property, he/she could be sued by you for medical bills, time off from work, etc. When a contractor says that he/she is fully insured, it means that he/she and the crew have plenty of insurance to pay for on-the-job injuries and that you and your homeowner's insurance will not be sued for any injuries they incur while working.
Why It Is So Important to Hire Only the Fully-Insured Contractors
Job injuries, especially those related to construction and remodeling, are fairly common. If you were to hire those who are not fully insured, every injury every crew member gets becomes your responsibility and your financial problem. That is a very scary thought indeed, given that all you wanted was a new kitchen or a new roof.
As injuries rack up, you are paying far more for that remodeling project than you originally had intended or even budgeted for. If you do not have enough money to finish the project because you are paying the crew's medical bills, they can actually stop working until you are ready to pay them for the ongoing work! It becomes much less of a nightmare and less of a headache when you take your time to find the correct (and fully insured!) contractor to do the remodeling job right.Share