EIFS & Insulation Contractors Insurance: Quote From $13/month

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As an EIFS contractor, a lot of upfront planning, monetary investment, and attention to day-to-day operational details go into ensuring that your clients get the best non-load cladding systems for their exteriors. Unfortunately, even with the aforementioned, mistakes still occur, which puts your business and reputation in jeopardy.

It is best that you take on a more proactive role in protecting your business and everything you've worked hard to accomplish. After all, your insulation projects are as risky as water restoration projects.

That's where EIFS insurance comes in. This is an insurance program consisting of different policies that protect EIFS contractors from claims related to property damage and bodily injury from clients, members of the public, or disgruntled sub-contractors.

Read this guide to:

• Know the cost of each policy commonly included in EIFS contractor insurance plans

• Learn how each type of coverage for EIFS contractors works and compare quotes

• Know the pros, cons, and rates of the recommended companies for EIFS contractor insurance

EIFS Insurance Cost 

The table below shows the cost of the most essential types of EIFS insurance coverage you need to get:

EIFS insurance cost $41 per month or $492 per year for a $1 million general liability insurance. This assumes that you have 5 employees and generate an annual revenue of $500,000-$750,000. 

There are certain steps you can take to improve your chances of getting cheap EIFS insurance. For instance, consider: 

• Instituting better internal procedures 

• Adopting specific loss control procedures 

• Investing in continued education on EIFS

• Getting high deductibles

• Removing add-ons from general liability insurance if you don’t need them

• Have clients sign off hold harmless agreements

• Becoming a registered member of EIMA 

If you were to work with the best EIFS insurance companies available, here's what you'd pay in premiums:

EIFS Liability Insurance

As with any other related work such as siding installation and masonry work, EIFS installation is rife with risks. 

Consider this. You might hire an independent contractor and he might fall from a height. Besides, you likely work with dangerous equipment that could harm third parties. 

Finally, installing EIFS and other insulation materials means that you are always working with materials packaged in large quantities. While moving these, you might damage the inventory or your customer's property. 

To protect yourself from the financial, legal, and reputational damage linked to claims filed citing any of these, it is important that you invest in EIFS general liability insurance. Use the table above to compare the general liability policies of the best EIFS insurance companies. 

100% of contractors purchase EIFS liability insurance. This provides coverage for the following when a claim is filed:

• Medical treatment of the claimant

• Reimbursement for the damaged property of the claimant

• Legal defense costs

• Court judgments

EIFS Contractor Errors And Omissions Insurance

Further, by the nature of EIFS contracting, the general contractors and other clients will be relying on you to offer professional advice on what EIFS or other insulating products to get. They will also be counting on you to have exceptional skills for seamless installation. 

When the client feels that your advice resulted in financial loss or property damage, they are likely to sue your business. While you might be the best EIFS contractor around and have a foolproof business, mistakes will inevitably occur.

It is given this eventuality that you add an errors and omissions (E&O) coverage in your EIFS insulation contractors insurance. Use the table above to compare the quotes of errors and omissions insurance for EIFS contractors. 

Also known as professional liability insurance, this policy covers:

• Inaccurate advice

• Accusations of negligence 

• Missed deadlines 

• Breach of contract 

This means that if you failed to disclose a defect on the EIFS selected, failed to complete work by the set date, or were accused of providing less than stellar workmanship, then the professional liability policy for EIFS contractors, roofing contractors, and drywall contractors would pay for: 

• Legal defense costs 

• Court  judgments

EIFS Contractor Tools And Equipment Insurance

You likely have invested in power tools and other safety supplies that are essential to your business. As these are important, you want to ensure that they are sufficiently protected. 

That's why you ought to consider investing in a tool and equipment policy, similar to what tile contractors and fence installers do. This protects owned, hired, and borrowed equipment. Use the table above to compare the quotes of tools and equipment insurance from the best companies.

Tools and equipment insurance kicks in when your business’s equipment gets damaged or lost because of:

• Fire

• Theft

• Vandalism

• Operator error

• Impact

• Water

Note that this policy in EIFS insulation insurance comes with exclusions. For instance, it doesn't cover corrosion, rust, or normal wear and tear.

Commercial Property Insurance For EIFS Contractors 

For starters, you will likely lease, rent, or purchase an office or warehouse space where you perform administrative tasks or store equipment, EIFS supplies, and more. 

The building itself and the contents therein are susceptible to theft, vandalism, fires, extreme weather events, and other perils. 

It is given this risk that you ought to invest in commercial property insurance for EIFS contractors. Use the table above to compare the quotes of commercial property insurance from the companies we recommend. 

A commercial property insurance policy for EIFS contractors, plastering contractors, and paving contractors protects the building and its contents and helps you pay for repairs to the building or the cost of replacing stolen or damaged inventory. 

It would be best that you invest in business interruption coverage, which is often included as an optional policy in commercial property insurance. This policy reimburses you for any ongoing expenses, including rent, salaries, and lost income if you need to relocate, renovate the office, or wait for an economic crisis to pass. 

Commercial Auto Insurance For EIFS Contractors

Commercial auto insurance for EIFS contractors, swimming pool contractors, and door installation contractors grants a shield if something happens while you’re using a vehicle for commercial purposes. Here’s a summary of its functions:

• Cover the medical treatment of persons who got injured  or had their property damaged because of an accident your vehicle caused

• Cover the repair or replacement of your vehicle’s parts that got damaged because of fire, theft, vandalism, and other covered perils

• Pay the medical treatment of your commercial vehicle’s driver and passengers if they get involved in a vehicular accident caused by an uninsured/underinsured driver

Workers Compensation Insurance For EIFS Contractors 

An additional policy you must get as an EIFS contractor with employees is worker's compensation insurance. 

This policy protects your business against losses when an employee experiences an occupational disease or injury and asks for compensation. Workers' compensation insurance will pay for: 

• Medical expenses 

• Lost wages 

• Retraining 

• Disability benefits 

• Death benefits 

It is important to note that most states mandate that any business with employees purchase workers' compensation insurance. This might even be a requisite for getting a business license.

Further, note that your workers' compensation policy will likely not cover your subcontractors as these are not considered to be your employees. The same is true for volunteers and interns. 

Employee Dishonesty Insurance For EIFS Contractors

As a contractor working with a team of employees, you've got to protect your business from the costs of theft, dishonesty, and fraudulent acts committed by your team. Suppose there were claims of forgery, alteration, theft, unauthorized electronic funds transfer, credit card fraud, or counterfeit fraud. In that case, this policy will cover your losses. 

Flood And Hurricane Insurance For EIFS Contractors

If you run your business in an area prone to floods or hurricanes, you ought to purchase flood or hurricane insurance. Note that most basic commercial property insurance policies might not cover flood or hurricane damage. As such, you want to stay proactive by having your provider add this to your basic coverage. 

Inland Marine Insurance For EIFS Contractors

This policy covers your tools, equipment, and inventory while they are in transit. If any of these were to be stolen on-site or damaged during transit, the inland marine policy would cover the costs of their replacement or repair.