Essential Insurance Coverages for Roofing Contractors

Roofing is one of the highest-risk construction trades. Working at heights, using power tools, handling heavy materials, and exposure to severe weather all create serious liability and injury risks. Because of this, roofing businesses need stronger and broader coverage than most contractors.

Here are the coverages every roofing contractor should carry and why they matter.

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1️⃣ General Liability Insurance (Most Critical)

Protects your roofing business from third-party property damage and injuries.

What it covers:

• Damage to a customer’s house (e.g., falling shingles, damaged gutters)

• Water intrusion caused by improper roofing work

• Bodily injury to clients or bystanders

• Damage to landscaping, vehicles, or surrounding property

• Legal fees and settlements if someone sues

Why it's crucial for roofers:

Roofing is one of the NUMBER ONE trades where property damage occurs—especially from leaks, structural penetrations, or wind lifting unsecured materials.
A single water damage claim can easily run $10,000–$100,000+.

Most residential and commercial clients require proof of General Liability before hiring a roofer.

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2️⃣ Workers’ Compensation Insurance (Legally Required in Most States)

Covers employee injuries while working at heights or using tools.

What it covers:

• Medical bills

• Lost wages

• Disability

• Rehabilitation

• Death benefits

Why it's crucial:

Roofers have some of the highest injury rates in construction due to:

• Falls

• Heat exposure

• Cuts and lacerations

• Lifting heavy materials

Without workers’ comp, a single injury can bankrupt a roofing company.

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3️⃣ Commercial Auto Insurance

Covers vehicles used to transport ladders, shingles, tools, and employees.

What it covers:

• Accidents caused during business use

• Damage to other vehicles/property

• Injuries to others

• Theft or damage to the work truck/van

• Optional coverage for equipment stored inside

Why it's crucial:

Personal auto policies exclude business use.
Roofers transport heavy materials and equipment daily, dramatically increasing risk.

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4️⃣ Tools & Equipment Coverage (Inland Marine)

Protects portable tools and roofing equipment.

What it covers:

• Theft

• Damage

• Lost tools on job sites

• Rented or leased equipment

Why it's crucial:

Roofing tools are expensive and frequently stolen from trucks, trailers, or job sites.

This coverage ensures your crew can replace tools quickly and continue working.

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5️⃣ Contractor’s Installation Floater

Protects materials and supplies before or during installation.

What it covers:

• Shingles, metal panels, tar, nails

• Rolled roofing, membranes, underlayment

• Materials stored on-site or in transit

• Items damaged by weather, fire, or theft before installation

Why it’s crucial:

Roofing materials are often left overnight on roofs or sites.
Rain, wind, or theft can cause thousands in losses before the job is finished.

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6️⃣ Commercial Umbrella / Excess Liability

Adds extra protection above your General Liability and Auto policies.

Why it’s crucial:

Falls, water damage, and structural claims can exceed standard limits.
An umbrella adds $1M–$5M+ in extra coverage.

Larger commercial roofing contracts usually require this.

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7️⃣ Professional Liability (Errors & Omissions)

Covers claims involving:

• Incorrect measurements

• Design errors

• Improper recommendations

• Faulty installation advice

Why it’s crucial:

Roofers often recommend materials, slope designs, ventilation solutions, and waterproofing methods.
Bad advice can lead to expensive roof failures.

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8️⃣ Builder’s Risk (For New Construction or Major Renovations)

Covers the structure during construction.

What it covers:

• Fire

• Wind

• Vandalism

• Theft of materials

• Weather damage

Why it’s crucial:

If you’re installing a roof on a new or unfinished structure, damage before completion can be financially devastating.

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9️⃣ Cyber Liability (Optional But Increasingly Important)

Protects against:

• Hacked customer records

• Compromised payment apps

• Ransomware attacks

• Stolen financial data

Roofers now use:

• Online contracts

• Digital scheduling

• Payment apps

• Customer portals

Any breach can create a legal and financial mess.

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⭐ Summary: The Core Coverages Every Roofing Contractor Must Have

Absolute essentials:

1. General Liability

2. Workers’ Compensation

3. Commercial Auto

4. Tools & Equipment (Inland Marine)

5. Installation Floater

Highly recommended:
6. Umbrella / Excess Liability
7. Professional Liability
8. Builder’s Risk
9. Cyber Liability