Demolition Insurance

Demolition Insurance

Demolition contractors are called for any number of demolition projects ranging from family homes to office buildings to cross-State bridges – all of which have needed to be taken down due to various reasons with the most common being deterioration. Demolition contractors work to demolish both the interior and the exterior of a structure all while fighting a number of risky obstacles throughout the process.

Within the demolition industry, there are a number of risks and responsibilities and every contractor knows this. Apart from protecting workers, demolition contractors have legal obligations, liability and financial risks, etc. No matter how large or small, every demolition project site will carry its own set of risks. With that being said, here are a few reasons why you need demolition insurance.

Sites Carry Risk for Injury

Each demolition project will have risks spread all around the site and all the huge equipment and falling buildings are very attractive to young children, who could hurt themselves if they were able to gain access to the demolition site, which could be done if the job site has not been properly secured and sealed off from the public. Even a small injury that stepping onto a nail or falling onto some of the scrap from the demolition could result in an injury claim for your business. If you do not have demolition insurance, your business could go under and you may never work in this industry on your own again. In addition, a lawsuit could be filed, which could be very upsetting.

Insurance Needed to Work

In many cases, most clients – homeowners or corporations – will require that you have proper insurance prior to considering your bid or contract. After all, anyone would prefer that the contractor they are hiring for a demolition project have adequate insurance to cover any issues. Errors may be made and demolition insurance could cover the mistake in addition to possibly covering your work years later.

As a demolition contract, having the proper identification, certification and demolition insurance, you are showing your clients that you know what you need, you are aware of all job associated risks and are completely prepared to deal with them or anything else that comes your way. Having insurance also shows that you are a good business person as this insurance could help you financially if litigation were ever required.

Demolition Insurance Costs

Keep in mind that demolition insurance for contractors will vary in terms of cost and the cost will be based on a number of factors including but not limited to:


  • The amount of coverage/policy being requested.
  • The specific type of work that you perform.
  • Number of employees – both full- and part-time.
  • The company’s yearly turnover.

The demolition industry is risky all on its own without considering everything else. It is important that you have the proper demolition insurance set into place just in case you need it one day. Even if you are tremendously cautious, you can’t keep mistakes and accidents from occurring all the time.