Common Mistakes That Increase Tile Installation Contractor Insurance Costs
- 2 hours ago
- 2 min read
Tile contractors face daily exposure to property damage, job-site injuries, tool theft, and vehicle accidents. While insurance is essential, many business owners unknowingly increase their tile installation contractor insurance costs by making avoidable mistakes. Understanding these errors can help control premiums while maintaining strong protection for projects, crews, and equipment.
1. Under-reporting or Over-reporting Revenue
Insurance premiums are based largely on revenue and payroll. Under-reporting may seem like a way to reduce costs, but it can lead to audits, penalties, or denied claims. Over-reporting, on the other hand, results in unnecessarily high premiums. Providing accurate financial information ensures fair and stable pricing.
2. Ignoring Proper Risk Management
Failing to implement safety protocols, employee training, or job-site documentation increases the likelihood of claims. Insurers often offer better rates to contractors with written safety programs, proper licensing, and documented procedures. A poor safety record directly impacts long-term insurance costs.
3. Choosing Incorrect Coverage Limits
Some contractors select limits that are too high, paying for protection they may not need. Others choose limits that are too low, exposing the business to serious financial risk. Properly structured policies with balanced deductibles and limits help prevent overpaying while maintaining adequate protection.
4. Not Verifying Subcontractor Coverage
Using uninsured or under-insured subcontractors can significantly increase liability exposure. If a subcontractor causes property damage or injury and lacks coverage, the responsibility may fall on your business. Always require certificates of insurance and additional insured endorsements when applicable.
5. Failing to Review Policies Annually
As your tile installation business grows, adds vehicles, hires employees, or takes on larger commercial projects, your risk profile changes. Failing to review your policy annually can lead to gaps in coverage or inflated premiums that no longer reflect your operations.
Lower Tile Installation Contractor Insurance Costs Strategically
Avoiding these common mistakes helps control tile installation contractor insurance costs while ensuring proper coverage. Partnering with a knowledgeable brokerage like Wexford Insurance allows you to compare multiple carriers, adjust limits appropriately, and secure competitive pricing tailored to your business.
👉 Request your tile installation contractor business insurance quote from Wexford Insurance today and protect your company with confidence.
