Originally Posted by
PistoneScrapProcessing
George, I can chime in on this for a minute because all I do is sub-contracting work for scrap yards. First off if you are the owner or picking up the jobs the first thing you need to look at on your liability insurance is the box marked Sub-Contractors. If its not marked you need to call your insurance company and ask how much you would have to pay to have subcontractors added to the policy. The next question that your insurance agent is going to ask is who is going to be subcontracting for you? Whats there experience? What do you have to prove that they aren't a liability to you and secondly the company insuring you. Remember insurance companies are in the business to make money not lose money on insuring some dummy who is going to cost them money in losses and court costs. Who ever you would be thinking of hiring better be able to talk the talk and walk the walk. The sub contractors insurance policy better be spotless. Secondly if the insurance agent is smart enough they will ask for a copy of workmans comp. If you can pass muster on all those questions and get the paperwork in order then the next question is. DO YOU HAVE ABSOLUTE FAITH IN THE CONTRACTOR YOU ARE HIRING? I put that in caps for a reason one small small accident can cost you your entire life your entire business and ruin your name. A small fire turns into a big fire. A contract employee backs into a gas line. A contract employee cuts through a live wire and electrocutes himself. All of these are plausible possibility's when using a contractor. Safety is the first and foremost thing and trust is second. Remember sometimes the lowball contractor isn't always the best to use cheap price usually means cheap work. The old you get what you paid for remark usually is what you hear. The contractor which can produce a good safe labor conducive environment and still make you a good "not spectacular awesome profit the lowballer would make you" profit would be the better choice to use. I have worked my whole life and am thankful every that I never never had an accident where an employee was seriously injured.
What kinda contractor work are you talking about to?
I alluded to this earlier but you have put it in plain English.
Sub Contractor injures himself on a clients property he would have the same rights a burglar, maybe not in the US but in Canada for sure.
Proof of insurance and compensation a must.
On my commercial trucks I carry 5 million public liability, it's cheap. Personal compensation coverage is also very reasonable if you have a clean slate.
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