Risks Impacting Restoration Contractor Insurance

Restoration Contractor InsuranceAs a restoration contractor, you provide an important service that allows home and business owners to reoccupy their property following a fire, flood, and other major damage. However, it’s a business fraught with many risks and challenges. Will mold and mildew return despite your best efforts? Will a disgruntled homeowner threaten a lawsuit against you? Learn more about the challenges that require restoration contractor insurance and the typical coverage in the industry.

Challenges Covered with the Right Restoration Contractor Insurance

Preserving objects of sentimental or historical value, choosing the right restoration products, meeting deadlines, and uncovering hidden issues are all part of what it takes to succeed in the restoration contractor industry. Learn more about why it’s important to protect yourself with the right insurance type and limits.

  • Preserving historical or sentimental objects: Restoration contractors focus on restoring damaged buildings to a functional state. That could include a historic building or newer home or business. It’s unlikely your clients will be happy to part with any of their belongings unless they completely understand the process and why it’s necessary. In the worst cases, misunderstandings that arise could cause bad feelings that lead to litigation.
  • Choosing the right products: New products are always entering the market. Many of them add to your toolkit and help you produce better results in your restoration efforts. However, using new materials on an older structure can cause chemical reactions and other issues that are hard to predict. For example, it may be difficult to match the color of the existing building because paint and stains fade or change color over time. Choosing the right insurance can protect you against lawsuits and inadvertent errors.
  • Pinpointing hidden issues: You could spend several days reconstructing a wall damaged by a flood without knowing that the flood also damaged the pipes. Days or weeks after you leave, a burst pipe can undo all your hard work. This is just one example of hidden problems that can complicate the ultimate success of your painstaking restoration efforts.
  • Meeting deadlines: No matter how hard you try, there are always contingencies that can put you behind schedule so meeting deadlines isn’t always possible. Protect yourself against lawsuits with insurance suited to the industry.


At Hawsey Insurance, we can provide recommendations for restoration contractor insurance and offer an online quote.

Types of Insurance to Consider

In order to cover day-to-day risks such as the ones above, we recommend that you consider adding the following types of coverage to your restoration contractor insurance:

  • Bailee Coverage: When you work on a building marred by water or fire damage, you accept control of the property until you finish the job. If the property suffers more damage under your watch, you may find yourself in court. Bailee coverage may cover the cost of additional damage that occurs during the restoration process.
  • Pollution and Mold Liability: Once you begin a restoration project, it’s a race against time. Mold and pollution related to the job can spread throughout the building quickly, causing property damage or illness. We can help you customize your commercial insurance to cover these contingencies.
  • General Liability: General liability helps pay for injuries and damages to other people. This can include anyone who enters the property and exposes themselves to potentially dangerous situations. However, this coverage typically does not include mold damage.
  • Errors and Omissions:  It’s easy to make a mistake in such an exacting field. Errors and omissions insurance can protect you against unintentional negligence.


Call Hawsey Insurance at (601) 856-7707 to find out more about restoration contractor insurance. Contact us online with your questions or stop by one of our offices in Madison, Jackson, and Southaven, MS. We service business owners in Mississippi and the surrounding states.