Why Garage Door Contractors Get Denied Business Insurance
- Nate Jones, CPCU, ARM, CLCS, AU
- 11 hours ago
- 3 min read
Many garage door contractors are surprised when their business insurance application is denied or non-renewed. Insurance companies carefully assess risk, and garage door installation is considered a high-hazard trade due to heavy equipment, elevated work, and vehicle exposure.
Understanding why insurance denials happen can help contractors correct issues, reduce risk, and secure coverage with the right provider—such as Wexford Insurance, which specializes in contractor insurance.
Why Insurance Companies Deny Garage Door Contractors
Insurance carriers deny applications when they believe the risk outweighs the premium. Below are the most common reasons garage door contractors face rejection.
A history of frequent or severe claims is one of the top reasons for denial. Insurers look closely at:
Vehicle accidents
Liability lawsuits
Multiple claims signal higher future risk, making insurers hesitant to offer coverage.
2. Lack of Safety Programs
Garage door installation involves lifting heavy doors, working with high-tension springs, and using ladders. Contractors without documented safety practices may be denied due to:
No employee safety training
Lack of written safety procedures
Poor jobsite risk controls
Insurance companies prefer businesses that actively reduce workplace injuries.
3. Incomplete or Inaccurate Applications
Missing or inconsistent information can lead to automatic denial. Common mistakes include:
Underreporting payroll or revenue
Failing to disclose subcontractors
Omitting vehicle or equipment details
Inaccurate job descriptions
Incomplete applications raise red flags during underwriting.
4. High-Risk Services Offered
Some garage door contractors perform work that insurers consider higher hazard, such as:
Commercial or industrial door installations
Automated or high-speed door systems
Large multi-door commercial projects
Without specialized coverage, these services can lead to denial.
5. Poor Driving Records or Vehicle Exposure
Insurance companies closely review:
Number of company vehicles
Driver motor vehicle records
Accident frequency
Vehicle maintenance practices
Poor driving history significantly affects commercial auto insurance approval, which can also impact overall business coverage.
6. New or Inexperienced Businesses
Startups and new contractors often face denials because:
No operating history
Limited financial records
No prior insurance coverage
Insurers may view new garage door businesses as unproven risks.
7. Operating Without Required Coverage
Contractors previously operating without insurance—or with lapsed coverage—may struggle to secure new policies. Gaps in coverage suggest:
Financial instability
Poor risk management
Higher likelihood of future claims
How Wexford Insurance Helps Contractors Get Approved
Unlike general insurance providers, Wexford Insurance specializes in contractor and high-risk business insurance. They help garage door contractors:
Identify issues causing insurance denials
Correct applications before submission
Match contractors with carriers that accept higher-risk trades
Structure coverage to meet underwriting guidelines
Secure coverage even after prior denials
Conclusion
Garage door contractors are often denied business insurance due to claims history, safety concerns, vehicle exposure, high-risk services, or incomplete applications. While denials can be frustrating, they’re often avoidable with the right preparation and guidance.
Working with Wexford Insurance gives garage door contractors access to specialized carriers, underwriting expertise, and tailored solutions, helping businesses secure coverage—even after a denial.
