Main Street America Coverage for Contractors: What's Protected?

Main Street America Insurance delivers comprehensive protection for contractors through specialized Business Owners Policy (BOP) coverage designed for construction and trade professionals. The coverage addresses the unique risks contractors face on job sites and in business operations.

Business Owners Policy Foundation

The Business Owners Policy serves as the cornerstone of contractor protection through Main Street America. This comprehensive package combines essential coverage types into a single policy structure that addresses multiple contractor risks simultaneously.

The BOP provides streamlined protection for contractors who need coverage for their business property, liability exposures, and income protection. Main Street America structures this coverage specifically for artisan contractors and trade professionals.

General Liability Protection

General Liability Insurance forms the first pillar of contractor protection under Main Street America coverage. This protection covers medical expenses, legal fees, and property damage resulting from workplace accidents or covered incidents during business operations.

The coverage responds when contractors accidentally damage client property during work activities. If electrical work causes damage to a customer's wall system, General Liability Insurance covers repair or replacement expenses for the damaged property.

Legal defense coverage activates when lawsuits arise from covered incidents. The insurance provides attorney fees, court expenses, and settlement payments when customers file claims against the contractor's business for alleged negligence or property damage.

Bodily injury protection covers medical expenses when third parties sustain injuries on job sites or from contractor operations. This includes situations where customers, visitors, or bystanders experience injuries related to the contractor's work activities.

The coverage extends to advertising injury claims and personal injury allegations that may arise from business operations. Main Street America includes protection for situations involving copyright infringement, slander, or libel claims against the contractor's business.

Property Insurance Coverage

Property Insurance protects contractor business buildings, workshops, warehouses, and equipment housed within these structures. This coverage responds to damage from covered perils like fire, windstorm, hail, vandalism, and theft.

Building coverage protects the physical structure of contractor facilities. When fire damages a contractor's workshop or warehouse, Property Insurance covers repair or reconstruction expenses for the building structure and attached fixtures.

Business personal property protection covers tools, equipment, inventory, and supplies stored at contractor facilities. The coverage includes hand tools, power equipment, materials inventory, office equipment, and furniture used in business operations.

Equipment coverage extends to contractor tools and machinery regardless of location within the covered premises. This includes specialized trade equipment, measuring instruments, safety equipment, and portable tools used in daily operations.

Tenant improvements coverage protects modifications contractors make to leased business spaces. When contractors customize workshop areas or office spaces in rental properties, this coverage protects the investment in these improvements.

Business Income Protection

Business Income Coverage provides financial protection when covered losses interrupt contractor operations or force temporary business closures. This coverage reimburses lost income during the restoration period following covered property damage.

The protection activates when covered perils prevent contractors from operating at normal capacity. If fire damage to a workshop prevents equipment access, Business Income Coverage compensates for earnings lost during facility repairs.

Extra expense coverage pays for additional operational costs incurred to continue business operations during recovery periods. This includes temporary facility rental, equipment rental, and expedited repair services needed to minimize business interruption.

Civil authority coverage responds when government orders restrict access to contractor facilities following covered events. The coverage provides income replacement when authorities prevent business access due to covered property damage in the surrounding area.

Extended period of indemnity protection continues income replacement beyond the physical restoration period. This coverage recognizes that contractors may need additional time to rebuild customer relationships and restore full operational capacity.

Equipment Breakdown Coverage

Equipment Breakdown protection addresses losses from machinery malfunctions caused by mechanical or electrical failures. This coverage differs from standard property protection by covering internal equipment failures rather than external damage events.

The coverage responds to power surges that damage electrical equipment, motor burnout in contractor tools and machinery, and electrical shorts that cause equipment failure. These internal failures often fall outside standard property coverage scope.

Operator error protection covers equipment damage resulting from incorrect operation or maintenance mistakes. When contractors accidentally damage equipment through improper use or maintenance procedures, this coverage provides repair or replacement benefits.

Breakdown coverage includes expediting expenses for emergency repairs or replacement equipment. Contractors receive coverage for overtime labor charges, express shipping costs, and emergency service fees needed to restore operations quickly.

The protection extends to spoilage coverage when equipment breakdown affects temperature-controlled inventory or materials. This includes situations where refrigeration failures damage stored materials or products.

Errors and Omissions Protection

Errors and Omissions Insurance covers legal expenses and settlements when customers claim contractor work was negligent, incomplete, or failed to meet specifications. This professional liability protection addresses performance-related allegations.

The coverage responds to claims alleging faulty workmanship, failure to complete work according to contract specifications, or errors in professional judgment during project execution. E&O protection covers defense costs and settlement payments for these professional liability claims.

Failure to deliver protection covers situations where contractors cannot complete work within agreed timeframes due to circumstances beyond their control. The coverage addresses customer claims for project delays that result in financial losses.

Omission coverage protects against claims that contractors failed to perform required work elements or overlooked critical project components. This includes allegations of incomplete work or missed project requirements.

The protection includes coverage for alleged violations of professional standards or industry best practices. When customers claim contractor work failed to meet established trade standards, E&O Insurance provides legal defense and settlement coverage.

Additional Coverage Options

Hired and Non-Owned Auto Liability provides coverage for accidents involving vehicles contractors use but do not own. This protection covers liability exposures when contractors drive rental vehicles or employee-owned vehicles for business purposes.

Contractors Extension Endorsement offers expanded coverage options tailored to specific trade requirements. This endorsement allows customization of the base policy to address unique risks faced by specialized contractor operations.

Employment Practices Liability protection covers claims from employees alleging discrimination, harassment, or wrongful termination. This coverage addresses the growing exposure contractors face from employment-related lawsuits.

Data breach coverage protects contractors who store customer information or payment data. The protection includes notification costs, credit monitoring services, and legal expenses following data security incidents.

Eligible Contractor Types

Main Street America provides coverage for various artisan contractor categories. Electricians receive specialized protection for electrical work risks, including coverage for power system damage and electrical fire exposures.

Carpet and floor installation professionals obtain coverage tailored to flooring risks, including protection for customer property damage during installation activities and specialized equipment coverage.

Landscaping contractors receive protection for outdoor work exposures, including coverage for property damage from landscaping equipment and liability protection for irrigation system work.

Painting contractors obtain coverage addressing paint and coating risks, including protection for overspray damage and specialized coverage for surface preparation activities.

Janitorial service providers receive coverage for cleaning operation risks, including protection for customer property damage and specialized liability coverage for cleaning chemical exposures.

Insurance Alliance LLC provides Main Street America contractor coverage solutions throughout our service territories. Contact our experienced team to explore contractor protection options that address your specific trade risks and operational requirements.