Why Independent Contractors Need the Right Insurance


For a business to succeed, it’s all about teamwork and bringing your own share to the table. As a matter of fact the same thing could be said about life in general. This is why it’s important for independent contractors, especially, to understand the importance of insurance for their business. After all, you’re not only being hired for your competency and talent – you’re also being hired for your reliability.

More often than not, those who aren’t really insured end up putting their employers at risk. Whether it’s not having the right insurance as an electrician, or perhaps not having handyman liability insurance when it matters, if there happen to be any issues with your work, at best others will have to pay for it. This means that you’re also putting yourself through that same risk because in an attempt to earn money you might actually end up losing a great deal more. There are many individuals out there who know how to take advantage of the uninsured, so it’s better to be safe than sorry.

Insurance directly translates to reliability

Independent contractors need to be able to take care of themselves, as the name of the job suggests. If you want employers to even think about hiring you, then you need to be able to show them that you have the necessary coverage to handle any unforeseen events. There’s no telling just how important insurance such as General Liability helps independent contractors. This basically protects them, as well as their employer, in the event of something going wrong. It’s practically a necessity, especially since independent contractors often take on relatively high risk jobs. Being an uninsured electrician or a handyman is just asking for trouble after all.

Without insurance, you likely won’t even be considered

Since the world of business depends on everyone doing their part, you can bet that you won’t even be noticed by employers if they find that you aren’t properly insured. As a matter of fact, some areas require by law that its independent contractors have the right kind of insurance. While it might be a costly endeavor, it will only serve to earn more money in the long run because you’ll be fostering both reliability and trust with your employers.

The risks that you might be subject to on a job can’t be underestimated. To conclude, being an independent contractor, it’s practically a necessity that you have insurance. Even if all you have is General Liability insurance, it goes a very long way to show future employers that you mean business. Without it, not only are you risking yourself but you’re also risking your livelihood. Insurance is most definitely an option that you will not regret.