Updated: Dec 9, 2020
This unique endorsement provides coverage to protect your clients against claims arising out of faulty workmanship, materials or products, such as the ones described below. These claims would otherwise be excluded under the contractor’s general liability policy.
· Failure to obtain a permit or meet building codes and building department requires removal of the work performed.
· Installation of wiring, switches, breaker, or fixtures that are either insufficient or in contravention with plans and specifications requires replacement
· Improper installation of vapor barrier may cause warping and require replacement of exotic wood flooring.
· While replacing an HVAC unit, faulty installation of the new unit causes the heat exchanger or compressor to fail, requiring costly repairs.
· Crooked, hollow sounding, or uneven tile, or tile used in contravention of the plans and specifications requires demolition and replacement of the tile.
· After completing the exterior painting of a house, the paint begins to peel and deteriorate. Thus, the entire house must be re-painted.
Not every carrier offers this endorsement, so talk to your insurance advisor to find out if you can add this to your existing contractor’s general liability policy. Remember it is your responsibility to choose the insurance that is best for you.