What is Contractors and Manufacturers Program?
A Contractors and Manufacturers Program is a specialized insurance package designed to meet the unique risks faced by contractors and manufacturers. These businesses often deal with heavy machinery, specialized tools, product assembly, and job site risks. This type of insurance combines general liability, property coverage, and other essential protections under one tailored policy.
Who Needs It
This program is ideal for:
- General contractors and subcontractors
- Specialty trades (e.g., electricians, plumbers, HVAC)
- Product manufacturers and assemblers
- Fabrication and machine shops
If your business creates, installs, or builds physical products or systems, this coverage is likely necessary to protect against property damage, liability claims, and operational interruptions.
What It Typically Covers
Coverage will vary by provider, but most Contractors and Manufacturers Programs include:
- General Liability: Covers third-party bodily injury and property damage claims.
- Commercial Property: Protects buildings, equipment, and inventory from fire, theft, and other losses.
- Products and Completed Operations: Covers liability from products or work after a job is finished.
- Equipment Breakdown: Covers mechanical or electrical equipment failure.
- Inland Marine: Protects tools and equipment while in transit or on job sites.
- Business Interruption: Reimburses lost income due to a covered event that halts operations.
Common Exclusions and Limitations
Like all insurance policies, this program has exclusions. Common ones include:
- Intentional damage or misconduct
- Wear and tear or maintenance issues
- Employee injuries (covered under workers' comp instead)
- Product recalls
- Professional services not related to manual work
Always review your policy to understand specific exclusions and limits.
Factors That Influence Cost
Insurance premiums can vary depending on:
- Type and size of business
- Annual revenue and payroll
- Claims history
- Location and job site risks
- Equipment value and property size
Customizing your policy to fit your operations can help manage costs while ensuring adequate protection.
Proof of Insurance & Compliance
Most clients or general contractors will require you to show proof of insurance before starting a project. This typically involves providing a Certificate of Insurance (COI) that outlines your coverage. Some states may also require specific types of insurance for licensing or permits. It's important to stay compliant with local laws and industry best practices.
How to Get a Quote
Getting the right insurance starts with understanding your risks. Our team can help tailor a Contractors and Manufacturers Program to fit your business needs. Get a quote today to protect your operations.
Related Coverages
Frequently Asked Questions
What is the difference between general liability and products-completed operations coverage?
General liability covers incidents that happen during work, while products-completed operations covers claims after work is completed or a product is in use.
Do I need this program if I already have general liability insurance?
General liability is a part of the program, but this package includes additional coverages like property, tools, and business interruption that general liability alone does not provide.
Can I customize my Contractors and Manufacturers Program?
Yes, most policies can be tailored to your business type, size, and risk exposure.
What documents are required to get a quote?
Typically, insurers request details about your operations, number of employees, revenue, equipment, and any prior insurance claims.
Is this insurance required by law?
Some coverages may be required by state law or contract agreements, but the full program is usually not legally required—it’s designed to protect your business comprehensively.
Still have questions? Talk to a local insurance expert.