What Does General Liability Insurance Cover for Texas Contractors?

If you run a contracting business in Texas—whether you're a plumber, electrician, roofer, or general contractor—you know that accidents happen. A single mistake on a job site can lead to a lawsuit that could bankrupt your company. That is why General Liability (GL) Insurance is the cornerstone of commercial protection.

What Does GL Insurance Cover?

    General Liability insurance protects your business from third-party claims involving bodily injury, property damage, and personal injury. Here is a breakdown of the core coverages:

1. Third-Party Bodily Injury

    If a client or a bystander is injured on your job site or at your place of business, GL covers their medical bills and your legal defense costs if they sue. *Example: A customer trips over an extension cord your crew left in a hallway and breaks their arm.*

2. Third-Party Property Damage

    If you or your employees accidentally damage a client's property while working, GL pays to repair or replace it. *Example: You are painting a house and accidentally spill a gallon of paint on an expensive antique rug.*

3. Completed Operations

    This is crucial for contractors. It covers claims that arise *after* a job is finished. *Example: You install a new pipe in a bathroom. A week later, the pipe bursts and floods the client's home. GL covers the water damage.*

4. Personal and Advertising Injury

    This covers non-physical damages, such as copyright infringement, libel, or slander. *Example: You use a competitor's logo in your advertising without permission, and they sue you.*

Why Do Clients Demand It?

    If you want to win commercial contracts or work for larger general contractors, you will be asked to provide a **Certificate of Insurance (COI)** proving you have General Liability coverage. Clients want to know that if you mess up and damage their property, your insurance will pay for it—not them.

At Argo Insurance, we provide fast, affordable General Liability policies and can generate COIs for your clients instantly so you never miss out on a job.