Hiring a contractor to do some work on your home or office could happen for a number of reasons ranging from faulty service installations to small repairs on walls, doors or windows. In any case, you will need a competent professional who is able to carry out the task at hand. However, it is just as important to only work with bonded and insured contractors.
What is a Bond?
A bonded contractor has a bond from a surety company that ensures that you won’t pay for any expenses incurred due to the contractor’s inability to finish the job. The bond is usually issued as a certificate which carries a number that can be verified before the contractor begins the job.
Insurance for Contractors
Insurance, on the other hand, is issued to contractors of repute who have been in the business for quite some time as established professionals. It ensures your property from damage caused by the contractor during the course of work.
Some types of insurance also cater for the compensation of workers and employees of the contractor in the event of an accident. Despite the security of insurance, it doesn’t provide compensation for poor quality work and this is why you should only work with bonded and insured contractors to ensure that you’re covered in any situations that could arise from the contractor’s carelessness or incompetence.
• In the event that the contractor fails to carry out the job satisfactorily, you can contact the surety company for compensation by proving that the contractor failed to carry out the job to the standard agreed upon
• Failure of a contractor to pay subcontractors as at when due thereby leading to the termination of the project is also grounds for contacting the surety company for compensation to complete the job
• In the event that the contractor disappears and cannot be found or contacted while the job is still going on, a bond ensures that you can call the surety company to avoid picking up the pieces all on your own
• In the event of injuries on your property, a bonded and insured contractor is covered and ensures that you will not be subject to liability.
It is clear that there are a lot of advantages in hiring only bonded and insured contractors as it guarantees protection from the possible financial loss which could be the case if a job is not completed. This means that uninsured contractors represent a serious risk because they may be incompetent, unlicensed or completely unqualified to do the job you have at hand and this means you might end up paying more than once. Before you give out any job or enter into any agreements, ensure that you ask for the bond certificate to be sure that you’re hiring an insured and bonded contractor.