Abram Interstate Insurance Services, Inc., CMGA

Helping Independent Insurance Agents Since 1996

What does “Contractor” mean? | Product Highlight: Contractor’s Insurance

Published on May 9, 2017

When we hear the term, “contractor,” most often we think of construction work of some sort. The reality is, though, that the types of contractors that exist are far and wide. A “contractor” may install the HVAC units in your new office building, they may clean your home, or they may be doing the interior design at your cabin in Lake Tahoe.

The term encompasses anyone who goes under contract to provide supplies or services that you or your business are not prepared to do yourself. Because the group is so varied and wide-spread, contractor’s insurance is always in high demand, and can be hard to find.

There are a lot of inherent risks with a contractor’s line of work. Of course, a large risk is present for any business that doesn’t operate in a space their own space. Anywhere that a contractor is working belongs to someone else, so there is always a possibility that existing property could be damaged, that a job could be done sub-par and could call for a lawsuit, or that someone gets accidentally injured from the work the contractor is doing.

We know that this makes contractors insurance a hot ticket item — one that your clients NEED, and one that you may have a hard time finding access to. Abram Interstate now has a broad market for contractors in many fields!

Contractor Insurance Product Highlights:

Broad Specialized Features

  • BOP Form – Occurrence Based Zero Deductible
  • Direct Bill
  • Cyber Liability Available

Limits and Coverage

General Liability – Occurrence Based

  • General Liability Limits Up to $2ML Each Claim/$4ML Aggregate
  • No Deductible Required
  • Blanket Additional Insured
  • Waiver of Subrogation

Commercial Auto

  • Up to $2ML CSL
  • Symbol 1 or 7

Course of Construction

  • New Construction, Renovations and Road Projects
  • Low Minimum Premium Applies
  • Earth Movement and Flood Coverage Subject to Minimum Deductible of $25,000
  • Various Deductible Options Available

Commercial Property

  • Business Income 12 Months ALS
  • Property Limits Up to $5ML TIV Per Location
  • Property Enhancement Endorsement Included
  • Optional EPLI
  • Optional Employee Dishonesty

Contractors Installation

  • $3ML Per Jobsite (Higher Limits Available)
  • Tools & Equipment Coverage Included

Inland Marine

  • Scheduled TIV With Values Over 5ML
  • Miscellaneous Tools & Equipment
  • Coverage on Personal Property at Jobsites
  • Hauling Other Contractor’s Equipment
  • Midterm Coverage for Upgrades Made to Covered Equipment
  • Contract Penalties for Lost Time due to Damage to Covered Equipment From Covered Clause of Loss
  • Employees, Tools and Clothing
  • Errors or Unintentional Omission for Failing to Include an Item, Description of an Item or Location of a Fixed Placed Item
  • Cost of Prorated Nonrefundable Warranty
  • Expenses to Preserver Property (Moving and Storage) if There is a Threat of Imminent Danger
  • Expenses to Protect Equipment From Imminent Danger From Fire, Storm or Flood
  • Newly Acquired Equipment Coverage Increased From 90 Days to 180 Days
  • Waiting Period for Covering Replacement Items’ Rental Costs is Eliminated
  • Largest Deductible on the Policy Will be the cap on all Deductible

Contractors Pollution

  • Monoline CPL
  • Contractors Pollution Liability (Occurrence or Claims-made and Reported Coverage Available)
    • Coverage is Provided for Emergency Response Expense, Including Expenses Incurred by the Insured’s Employees
    • Coverage is Provided for Pollution at a Non-Owned Property Used to Store Equipment During a Project
    • Coverage is Provided for Temporary Storage of Asbestos Waste at the Insured’s Property
    • Coverage is Provided for Contingent Transportation at the Insured’s Waste Hauled by a Third-party Carrier
    • Coverage is Provided for Fines, Penalties, Punitive, Exemplary or Multiplied Damages Where Allowed by law
    • Coverage is Provided for Work Performed by or on Behalf of the Named Insured, Including the Insured’s Liability for Work Performed by Subcontractors
  • Professional Liability (Claims-made and Reported Coverage)
    • Coverage is Provided for Professional Services Performed by or on Behalf of the Named Insured, Including the Insured’s Liability for Professional Services Performed by Subcontractors
    • Coverage is Provided for Recommendations Made for Site Selection, Transportation, Disposal, or Treatment of Pollutants
    • Up to $25ML in Limits
    • $1,250 Minimum Premium for a Standalone CPL Policy
    • CPL Deductible as low as $0
    • Typical Enhancements Include Additional Insured, Waiver, Mold and Transportation Pollution Liability
  • Additional Enhancements are Available via Endorsement, Including, but not Limited to:
    • Non-owned Disposal Site Liability Coverage
    • Sudden and Accidental Premises Pollution Liability Coverage

Preferred Classes and Industries

  • HVAC
  • New Residential Construction Contractors (Generals, Developers & Artisan)
  • Appliance and Accessories Installation or Service
  • Carpentry
  • Carpet, Rug, Furniture Cleaning
  • Drywall or Wallboard Installation
  • Painting Exterior
  • Siding Installation
  • Stucco
  • Residential Cleaning Services
  • Electrical Work – Within Buildings
  • Interior Decorators
  • Masonry
  • Plumbing
  • And many more!

Our contractor program focuses on artisan/trade contractors and risks who do tract work or new condo work.
We do our utmost to meet the 3 “T” rule. 
Trades, Tracts & Townhomes!


Abram Interstate Insurance Services, Inc. is a California wholesale insurance broker (CMGA) that has licensing and expertise to place business in both admitted and non-admitted markets for Personal Lines Insurance, Commercial Lines Insurance, and Agribusiness Insurance in California and surrounding areas.

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