What type of insurance can protect contractors from third-party liability claims?

General liability insurance is specifically designed to protect contractors from claims made by third parties for bodily injury, property damage, and personal injury that may occur as a result of their work. This type of insurance covers legal costs, medical expenses, and damages awarded in lawsuits, making it essential for contractors who may face lawsuits from clients, visitors, or others who may be affected by their work.

While worker's compensation insurance is focused on protecting employees from injuries sustained on the job, property insurance covers damages to the contractor’s own property, and professional liability insurance addresses claims related to negligence or failure to deliver professional services, general liability insurance remains the key form of protection against third-party claims. This distinction is important for contractors who need to ensure they are safeguarded from a variety of potential liabilities while working on their projects.