In the high-stakes world of construction, one mistake can lead to lawsuits, injuries, or massive financial loss. For New York contractors, where regulatory scrutiny is tight and job site risks are high, securing the right contractors insurance is more than just good business—it’s essential for survival.
At the center of any robust risk management strategy is General Liability Insurance (GLI). But while it’s a must-have, not all policies are created equal. Understanding what GLI covers—and what it doesn’t—is key to protecting your business, especially when working in New York’s challenging construction environment.
General Liability Insurance: What’s Covered
General Liability Insurance provides protection against the most common risks faced on construction sites. Here’s what most standard policies will cover:
1. Bodily Injury
If someone (other than an employee) is injured on your job site—for example, a delivery person trips over a power cord or a falling object injures a pedestrian—your GLI will help pay for medical costs, legal fees, and settlements.
2. Property Damage
If your work damages someone else’s property—like accidentally cracking a neighbor’s foundation while excavating—GLI steps in to cover repair or replacement costs.
3. Legal Defense
Even if you’re not at fault, lawsuits can be expensive. GLI covers legal defense, court costs, and potential settlements if you’re sued over a covered claim.
4. Personal and Advertising Injury
Claims related to slander, libel, or copyright infringement tied to your advertising or business promotion may also be covered.
What General Liability Insurance Does NOT Cover
Even the best GLI policy has exclusions. Understanding them can save you major headaches—and financial pain—down the line.
1. Faulty Workmanship
This is one of the most misunderstood exclusions in construction insurance. If your team installs drywall poorly and it needs to be redone, that’s considered a performance issue and is not covered by GLI. You’ll need Contractor’s Errors & Omissions (E&O) Insurance to address these gaps.
2. Employee Injuries
GLI does not cover injuries to your own employees. New York State requires employers to carry Workers’ Compensation Insurance, which handles job-related injuries to employees.
3. Damage to Your Work
If something goes wrong with your own completed work—like a roof you installed leaks—GLI won’t help. For protection, consider adding Completed Operations Coverage or a Contractor’s Warranty.
4. Tool and Equipment Loss
If your tools are stolen or damaged, GLI won’t help. You’ll need Inland Marine Insurance or Contractor’s Equipment Insurance for coverage.
5. Contractual Liability
If your contract contains indemnity clauses or hold harmless agreements, standard GLI may not fully protect you unless tailored endorsements are added.
Customizing Coverage for High-Risk Construction Work
In New York, many construction jobs involve work at height, urban congestion, and compliance with laws like Labor Law 240 (Scaffold Law)—making the risk level extremely high. To ensure your insurance keeps pace with your exposure, you’ll want to customize your contractors insurance coverage.
1. Scaffold Law Coverage
Labor Law 240 imposes strict liability on contractors for fall-related injuries—even if you’re not at fault. Many insurance carriers limit or exclude coverage unless specifically endorsed. Always verify this with your broker.
2. Add Umbrella or Excess Liability
Basic policies may cap out at $1M per claim, but many projects—especially city or government contracts—require higher limits. Adding umbrella insurance or excess liability can give you the extra protection you need.
3. Secure Additional Insured Endorsements
If you subcontract or work under a general contractor, you’ll likely be asked to name them as an additional insured. Make sure your GLI policy allows for primary and non-contributory status, plus a waiver of subrogation.
4. Use Project-Specific Policies
If you’re working on a large or one-off project, it may make sense to create a dedicated GLI policy for that specific job—minimizing risk to your main business.
Meet BGES Group: Your Insurance Partner for New York Construction
Finding the right contractors insurance in New York can be overwhelming, especially with so many exclusions, specialty laws, and aggressive legal claims. That’s where BGES Group comes in.
BGES Group is a New York-based insurance brokerage that specializes in helping contractors secure the right liability protection—at competitive rates. Whether you’re a general contractor, plumber, electrician, roofer, or demo specialist, BGES understands your risks and knows how to get you insured quickly and effectively.
What BGES Group Offers:
- ✅ Custom-tailored General Liability Insurance policies for New York contractors
- ✅ In-depth knowledge of Labor Law 240 and scaffold law coverage
- ✅ Access to A-rated insurance carriers who understand high-risk construction
- ✅ Help securing Workers’ Comp, Inland Marine, Commercial Auto, Excess Liability, and Umbrella Insurance
- ✅ Fast, responsive service to help you meet project bid deadlines
- ✅ Certificate delivery in under an hour for approved policies
Why Choose BGES Group?
- Over 30 years of experience working exclusively with contractors in New York
- Trusted by hundreds of small and mid-sized contractors across NYC and Long Island
- Proven ability to secure hard-to-place coverage for high-risk work
- Friendly, no-pressure consultations and policy reviews
When it comes to contractors insurance in New York, BGES Group is more than a broker—they’re a strategic partner invested in your success.
Get Protected Today
Don’t wait until there’s a claim to find out your insurance doesn’t cover what you thought it did. Whether you’re launching a new project or just want a second opinion on your current policy, BGES Group is here to help.
Contact BGES Group Today:
📞 Phone: (914) 806-5853 – Gary Wallach
Email: bgesgroup@gmail.com
🌐 Website: www.bgesgroup.com
Conclusion
General Liability Insurance is essential—but not enough on its own. As a New York contractor, you face a unique set of risks that demand tailored insurance solutions. From scaffold law claims to subcontractor exposure and contractual requirements, you need more than just a policy—you need a partner.
BGES Group offers the experience, market access, and commitment to help you navigate the complexities of contractors insurance in New York. Don’t go unprotected. Reach out today and secure the coverage your business needs to grow with confidence.