Construction Insurance

Safeguard your construction business and protect your assets with an extensive construction insurance program.

Construction Insurance Policies in Canada

Builders Risk

Wrap Up Liability Insurance

Course of Construction Insurance

Construction Site Insurance

Heavy Construction Company Insurance

Best Insurance For HVAC Contractors In Canada

What is Construction Insurance?

Construction insurance, a critical safeguard for your construction company, can provide comprehensive protection for your business, clients, assets, and ongoing projects. This type of insurance is essential due to the inherent risks involved in construction work, which utilizes various professionals, tools, and technologies. A tailored construction company insurance policy can shield you from financial burdens arising from damage or loss caused by circumstances beyond your control, including unexpected accidents and weather-related damages during construction projects, theft of equipment or materials, bodily injury or property damage to others etc.

What is the purpose of construction insurance?

Construction insurance serves as a vital protection mechanism for construction companies within Canada, offering a financial safeguard against common risks encountered in the industry. Such policies typically include construction liability insurance, which covers third-party bodily injury and property damage, and extends to specific risks such as fire, theft, or vandalism through builder’s risk insurance. These coverages are essential in managing the financial fallout from unexpected events, ensuring that construction business operations can continue with confidence.

What does Construction Insurance cover ?

For those in the construction sector in Canada, securing a construction liability insurance policy tailored to the unique risks and the valuable equipment used in a diverse range of projects is essential. This insurance safeguards your business from the financial impact of unforeseen events and liabilities.
A comprehensive construction insurance policy in Canada typically encompasses some or all of the following coverages:

  • Commercial General Liability (CGL) Insurance: Indispensable for all construction businesses, this coverage shields you from third-party claims of bodily injury and property damage. It covers the expenses associated with legal actions, medical bills, and the repair or replacement of damaged property stemming from your operations, whether they occur on your premises or at a job site.
  • Builder’s Risk Insurance: This insurance is designed to protect your construction projects from initiation to completion, covering the structure, materials on site, and the financial losses due to insured events like fire, theft, or vandalism.
  • Commercial Property Insurance: Protecting your business location and its contents and your physical assets while at job sites this insurance offers coverage against damage or loss due to severe weather, natural disasters, fire, theft, and vandalism.
  • Tools and Equipment Insurance: Acting as property coverage for the tools and equipment that you transport to and use on construction sites, this insurance compensates you for damages or losses to your equipment due to theft, vandalism, fire, or flood.
  • Commercial Auto Insurance: Covering the liability and physical damage to all vehicles owned or leased in the company name.
  • Additional coverages include:
  • Pollution Liability Insurance: Given the potential environmental liabilities in construction work, this insurance covers third-party injuries, property damage, environmental damage, and associated costs like clean-up, fines, and emergency responses.

How much does construction instruction cost ?

For a tailored construction company insurance package, you can request a free quote, considering key factors such as:
  • Types of projects: commercial, residential, or industrial
  • Operations: including specialty work like demolition or drilling
  • Structural tasks: involving the alteration of existing structures
  • Hazardous materials: the use of flammables or explosives
  • Business experience and expertise of your workforce
  • Location specifics: including high-risk crime areas
  • Inventory of tools and equipment
  • History of insurance claims
  • Financials: including your revenue streams

Leverage our network of over 70+ Canadian insurance providers to find a policy that matches your business needs.

Does a construction company need an insurance?

Construction operations, no matter the focus—be it commercial, residential, or industrial—carry inherent risks like third-party injuries or damage to property from work incidents. Construction liability insurance offers crucial financial defense against legal claims. Our experience extends to a diverse clientele across the Canadian construction industry, covering a wide array of specialists from electricians to landscapers, and including roles such as demolition experts, HVAC technicians, and more, ensuring they are equipped with the appropriate insurance solutions.
Why Choose ALIGNED Insurance ?
Choosing ALIGNED Insurance for construction insurance means leveraging their expertise and access to over 70+ top Canadian insurers, ensuring comprehensive coverage tailored to your specific needs. Their dedicated brokers offer personalized care, ensuring your business is protected with the right insurance solutions. Plus, with 24/7 support from business insurance experts, ALIGNED provides swift claims assistance whenever you need it. Secure better insurance for your construction projects with ALIGNED and get a free quote today to protect what you’re building with confidence.


1. Should every subcontractor hold a license and insurance?

It’s recommended that all subcontractors you work withhave the proper licensing and carry individual liability insurance that is evidenced by a certificate of insurance that adds your organization as an additional insured. This ensures they are covered for any incidents, accidents, or potential legal actions that might occur during the course of work.

2. What are the liabilities of a contractor in construction?

The liabilities of a contractor in construction primarily encompass legal and financial responsibilities for any damages, injuries, or non-compliance with project specifications or regulations. This includes ensuring workplace safety, adhering to contractual obligations, and managing risks associated with construction activities. Contractors are also liable for any environmental damage caused by their operations and must ensure their work complies with all relevant laws and building codes.

3. How does construction liability insurance work?

Construction liability insurance protects contractors and businesses from financial losses due to claims of property damage or bodily injury caused by their construction activities. This insurance covers legal fees, settlements, and medical expenses associated with such claims. It’s designed to mitigate the financial risk constructions companies face if held liable for accidents or damages occurring on the job site. Policies can be tailored to the specific needs of a construction project or business, ensuring comprehensive coverage.

4. Does my construction business need any additional insurance coverages?

The insurance needs for your construction business can vary significantly based on the services you offer, the nature of your projects, and the risks involved. For businesses that also provide professional advice or consulting services, incorporating professional liability coverage into your insurance portfolio might be necessary. Consulting with a licensed broker, such as one from ALIGNED Insurance, can help you understand your unique needs and ensure you have comprehensive protection.