Contractor Insurance
Ontario’s construction and skilled trades sector is one of the country’s largest industries. It employs more than 1.5 million general contractors and independent tradespeople supporting everything from residential builds to large commercial infrastructure projects. Contractors in Ontario operate in a high-risk, fast-moving environment, with tight timelines, strict safety standards, and increasing client expectations. As a result, they face significant financial and operational risks.
Contractor insurance provides essential protection for contractors across all trades, from plumbers managing home renovations, electricians coordinating subcontractors, or businesses leading major development work. As a leading brokerage in Ontario, KASE Insurance works closely with construction professionals to deliver industry-specific protection that meets project and regulatory requirements.
Reach out to our team for a transparent and competitive general contractor liability insurance quote that meets project demands and satisfies client and regulatory requirements.
What Is Contractor Insurance & Why Do You Need It?
Contractor insurance, also known as general contractor insurance, is a tailored package of coverage designed to protect contractors from the financial risks associated with construction and skilled trade work. It protects contractors against third-party claims, such as:
Accidental Property Damage
Covers damage caused to a client’s home, building, or materials during your work, protecting you from expensive repairs and disputes.
Third-Party Bodily Injury
Provides coverage if a client, inspector, or visitor is injured due to your tools, materials, or job-site conditions.
Workmanship & Installation Claims
Helps cover damages if a completed job causes issues such as leaks, structural problems, or system failures.
Tools & Equipment Loss
Reimburses you if essential tools, machinery, or equipment are stolen, damaged, or lost, minimizing downtime.
For many clients, proof of general contractor liability insurance is also a requirement before work begins, making it both a smart business move and a competitive advantage.
A strong contractor liability insurance policy can also be bundled with additional coverage for equipment and tools insurance, builder’s risk, commercial auto, and more. With a tailored plan from KASE, your insurance can scale while managing the risks your business faces.
Source: Canva
What Does Contractor Liability Insurance Cover?
Contractors work with heavy equipment, hazardous materials, and in environments where accidents can happen instantly. Besides physical risks, contractors could also face steep medical, repair, and legal fees from a single incident.
Securing contracting insurance protects business operations, employees, and clients from devastating consequences, including financial, physical, and operational.
Commercial General Liability Insurance (CGL)
General liability insurance for contractors is foundational coverage that protects against third-party bodily injury or property damage claims caused during your work on or off a construction site. It covers legal expenses, medical fees, and settlements.
Installation Floater Insurance
Covers materials, fixtures, and supplies while they’re in transit, stored on-site, or waiting to be installed. This is crucial for contractors handling plumbing systems, electrical components, framing materials, roofing supplies, or HVAC equipment.
Commercial Auto Insurance
If your company has a fleet of vehicles or trucks that you use for your business operations, then you need a comprehensive commercial auto insurance policy. Bundled with contractor insurance, this policy protects vans, trucks, and fleet vehicles used to transport tools, materials, or employees. Includes liability, collision, and comprehensive coverage for accidents, theft, or damage.
Commercial Property Insurance
Provides protection for your shop, warehouse, storage units, and office contents. It covers equipment, inventory, and business property against fire, theft, vandalism, and other insured losses.
Builder’s Risk Insurance
Covers buildings and structures under construction or renovation, including materials, supplies, and temporary structures. It protects against fire, theft, vandalism, weather events, and accidental damage during the build. Essential for contractors involved in new construction or large-scale upgrades.
Business Interruption Insurance
If an insured loss forces your business to pause operations, BI covers lost income, ongoing expenses, and temporary relocation costs. Contractors benefit from this when damage to a shop, warehouse, or project delays disrupt workflow or revenue.
Wrap-Up Liability Insurance
Wrap-up liability is purchased for large construction projects and covers all contractors working under a single project policy. It provides uniform protection for project owners, GCs, and trades, helping simplify claims and reduce coverage gaps on complex or multi-phase builds.
Pollution Liability Insurance
Protects against accidental environmental damage or contamination caused during work. This is important for contractors dealing with fuel, chemicals, soil disturbance, demolition, mould, or older buildings that may contain hazardous materials. Covers cleanup, third-party claims, and regulatory fines.
Professional Liability Insurance (E&O)
Covers claims arising from design recommendations, project oversight, consultation work, or professional advice that results in financial loss for a client. Ideal for contractors offering planning, drafting, inspection, estimating, or advisory services in addition to hands-on labour.
Who Needs General Contractor Insurance?
Insurance for contractors is crucial for any individual or business performing skilled trade or construction work. This includes:
Self-employed tradespeople require coverage for liability, tools, vehicles, and unexpected incidents on residential or commercial job sites.
Electrician insurance covers contractors working on homes, businesses, or industrial properties where electrical risks such as electrocution, falls, and third-party injuries.
Plumber insurance covers plumbing contractors working on water lines, fixtures, and systems where property damage risks are common.
Managing sewer and watermain infrastructure with high exposure to costly third-party claims.
Roofing contractors working at heights where the risk of falls and property damage is elevated.
Operating heavy excavation equipment around utilities and structures.
Small businesses that employ contractors who maintain outdoor landscapes and use equipment that can cause injury or property damage.
These trades face risks from tools, materials, project errors, and damage caused during interior or structural work.
Subcontractors supporting larger construction projects need coverage for liability, installations, and any damage linked to their specific trade.
Whether you’re a general contractor, a subcontractor, or managing subcontractors, the right contractor liability insurance protects your business. It builds client trust and ensures you’re prepared for unexpected risks.
Find the Best Rates on Contractors Insurance with KASE
At KASE Insurance, we design comprehensive contractor insurance plans tailored to Ontario’s construction industry. Our experienced brokers understand the unique risks of construction site work and build policies tailored to your tools, vehicles, subcontractors, and projects.
We partner with Canada’s top insurers to secure competitive rates, ensure project compliance, and provide hands-on claims support, keeping your business protected from job-site risks and liability exposures.
Protect your business, win client trust, and stay one step ahead of risk with a customized contractor insurance policy.
Read what clients have to say about KASE
By far the most professional and trustworthy insurance brokerage I have known. We have been working with this firm for number of years now and I have nothing but good to say about their team and services. Stan and his team won't stop until we are fully satisfied. They are always on top of things, super fast in their assistance and very professional. I highly recommend this firm to anyone seeking for great insurance brokerage to work with. Big Thank You to Stan and Kase Insurance for many many years of great service!
Reviewer: Alex K
out of 5 stars
Stan and is team at KASE Insurance have been fantastic in explaining what insurance we needed for our business. Very hands on approach and detailed. I work highly recommend KASE Insurance for any business owner looking for great service.
Reviewer: Kyle Grooms
5 out of 5 stars
The KASE team is very easy to work with. They answer your questions quickly, walk you through the process patiently, and find you great rates. We've been working with them for a few years and we haven't felt the need to shop elsewhere because of their customer service.
Reviewer: Sasha Boersma
5 out of 5 stars