At one point in our lives, we’ve dreamt of buying or even building our own houses. From kids’ house sketches to an aspiring 20-something-year-old’s unique house designs, we have always been studying and working to save money for our dream houses.

However, as a first-timer, you should always be aware of how and where your money will be spent, especially if this hard-earned money is allocated for your future home. A part of securing your money is making sure your contractor is legitimate and insured. After all, when building your own home, you have all the control in all of its aspects. You can’t risk losing all your money just because your contractor is not insured. Knowing the coverage of the contractor’s insurance is also essential before starting everything.

You might ask, “Why do I have to have an insured general contractor? It’s their job anyways.” Well, let’s tap on these reasons:

1. Proof of Legitimacy

A licensed contractor generally has insurance because it’s typically required and mandatory. Nowadays, you can avail services from contractors, legitimate or not, all over California. So why not entrust your home to a licensed and insured one?

2. Additional Costs for Damages

Building a house is not something to be done in a short period of time. It comes with unexpected circumstances like injuries, damages to physical properties, damage by calamities, etc. If you have a license and insured contractor, they are held liable for all of these damages. They are covered by insurance if any unfortunate events come to place. However, if your contractor is not covered by insurance, you will be held liable for all these injuries, damages, and even deaths, and this is not something that can be easily dealt with. Different types of insurance coverage are present for every damage done. You might want to discuss this with your contractor first before getting any job done.

3. Long-Term Costs

After everything that has been discussed, you may now have an idea as to which may cost more in the long run. The main reason why other people go for unlicensed contractors is that they are way cheaper and than licensed one. This is because of the absence of insurance as well. You might save money in the beginning, but when huge construction mishaps take place, you will be the one to shoulder all these expenses. In the end, you’ll be spending more money and you’ll get more stressed out because of these unexpected events.

Starting a new life at your new home should be hassle and stress-free. You don’t want to start on the wrong foot with these liabilities and additional costs. Hiring an insured contractor can save you and your future home.…