Many business owners are trying to manage their expenses by outsourcing some work to contractors. And that’s usually a fantastic idea. Hiring subcontractors can help your business in Lincoln, NE, take on more work and operate more efficiently. But it can also expose you to risks you didn’t anticipate.

Business owners often assume subcontractors carry their own insurance and that’s it. You’re protected. Unfortunately, that’s usually not the case. Responsibilities are often shifted back to you, the business owner, either via exclusions, gaps, or sometimes even missing insurance coverage. That’s where Brokers Insurance Agency comes in and helps you analyze your commercial coverage before you sign anything.

How Subcontractor Agreements Can Create Hidden Exposures

Hidden in many contracts are "indemnity" or "hold harmless" clauses, which basically make you financially responsible even if your subcontractor caused the damage or injury on the job. The result? Without the right commercial insurance coverage, one incident can lead to costly claims and legal disputes.

Before work begins:

• Require proof of insurance from your subcontractors, including liability and workers’ compensation. No proof, no work!
• Verify that your business is listed as an additional insured party.
• Check your own coverage limits with Brokers Insurance Agency to ensure your limits are adequate for your exposure.

The Right Coverage Keeps Your Projects and Reputation Secure

Running a successful business is all about managing and understanding risks. At Brokers Insurance Agency, we help Lincoln, NE contractors and small businesses structure their commercial insurance policies in a way that anticipates subcontractor risks. This often includes liability extensions, contractual liability protections, or umbrella coverage to expand your safety net.

Build With Confidence

Every project is a blessing if it is managed right. It brings opportunity, but it also leaves you with unexpected risks. Before you sign your next subcontractor agreement, make sure your commercial insurance adequately protects you and your business.

Contact Brokers Insurance Agency to review your coverage and keep your business building strong.