How to Compare Contractors Insurance Companies

How to Compare Contractors Insurance Companies

by Marie King

Contractor insurance company comparison

Required by Law

As a building or roofing contractor, you must compare insurance companies because you are required by law to have contractors insurance. Contractors insurance consists of two components workers’ compensation,which covers medical expenses and provides an income for injured workers; and general liability, which covers third parties when you’re at fault. Every state mandates that you have workers’ compensation, and a number of states also require you have both general liability and workers’ compensation.


The cost is a major consideration in comparing contractors insurance companies. Affordable Contractors Insurance (ACI) lives up to its name. ACI offers a 15% discount on your contractors insurance. Further more, ACI agents will explain how you can get an additional discount on your workmen’s comp if you are eligible for contractors credit premium adjustment program (CCPAP) will reduce your workmen’s comp cost if you have the following:

  • You must work in a state, where it’s offered: Alaska, Connecticut, Florida, Hawaii, Illinois, Maryland, Massachusetts, Missouri, Montana, Nebraska, New Mexico, New York and Oklahoma.
  • You must pay wages of $20.00 per hour or greater, and your wages must be higher than the state average.
  • Your experience modification rate (ERM) must be .1 or lower.
  • 50% of your work must be done in the construction industry.
  • You must apply by the stated deadline.

If you meet these criteria, you can receive a discount of between 5% to 25% on your workers’ comp, depending on how large the difference is between the state average and your wages.


The agent is an important component when you’re evaluating a contractors insurance companies.What you want in an agent is the following;
Helpful- You want in an agent someone, who gives you answers to your questions.
Knowledgeable- You want your agent to understand your industry and its unique needs. An Affordable Contractors Insurance has one focus, which is the construction industry.Because of its focus, ACI agents are able to anticipate what you require in your policy.
Timely- An ACI agent can give you a quote in 15 minutes and a certificate of liability insurance in 24 hours. ACI will be there when you make a claim, and will ensure that the money you’re owed is gotten to you in a timely manner.


Check out the policies of different insurance companies. A number of policies contain boiler plate, which is standard language that can appear in policies of a variety of insurance companies.
What you need to focus on are what is included and what is excluded. Exclusions tell you what an insurance will not pay for. Inclusions tell you what it will pay for. Your ACI agent can help you discern whether you need more inclusions to be covered or that the current exclusions are needed in your policy to be fully covered.