Which insurance policy would typically cover a contractor's liability for damage to a client's property caused during work?

Which insurance policy would typically cover a contractor's liability for damage to a client's property caused during work?

• A. Workers' compensation
• B. General liability
• C. Auto insurance
• D. Health insurance

Answer: (B)

General liability insurance protects a contractor from claims that arise when their work causes damage to a client’s property. If a landscaper accidentally damages a driveway, fence, sprinkler system, or planting beds while performing work, this policy would typically cover the cost to repair or replace the damaged property, up to the policy limits. This type of coverage specifically addresses third-party property damage and is the standard protection for those risks that occur on a client’s site. Workers’ compensation, by contrast, covers injuries to the contractor’s employees and not property damage. Auto insurance relates to vehicles and incidents involving them. Health insurance covers medical costs for individuals’ health needs. So for damage to a client’s property caused during work, general liability is the appropriate and typical coverage.

General liability insurance protects a contractor from claims that arise when their work causes damage to a client’s property. If a landscaper accidentally damages a driveway, fence, sprinkler system, or planting beds while performing work, this policy would typically cover the cost to repair or replace the damaged property, up to the policy limits. This type of coverage specifically addresses third-party property damage and is the standard protection for those risks that occur on a client’s site.

Workers’ compensation, by contrast, covers injuries to the contractor’s employees and not property damage. Auto insurance relates to vehicles and incidents involving them. Health insurance covers medical costs for individuals’ health needs. So for damage to a client’s property caused during work, general liability is the appropriate and typical coverage.