Do Independent Contractors Need Their Own Insurance?

Independent contractors know how important it is to financially protect themselves and their businesses. Unlike employees at a larger company, they’re often responsible for their own insurance coverage, which can make a significant difference if something unexpected happens on the job.

At Bienvenido Insurance, our team is dedicated to helping independent contractors, freelancers and gig workers across San Antonio, TX understand their contractors insurance options and secure the right policy.

Why Insurance Matters for Independent Contractors

Carrying your own insurance isn’t just a smart business move; it may also be required by clients or state regulations, depending on your industry. Without proper coverage, you could be personally responsible for damages, injuries or legal claims that arise from your work.

Although there may be situations where another party’s insurance can cover independent contractors, such as while contributing to certain larger projects overseen by general contractors, circumstances may vary and you should not rely on this to always be the case. As such, having your own insurance can be critical to protecting your finances, reputation and ability to keep working if the unexpected occurs.

Types of Insurance Coverage to Consider

There are several types of insurance that independent contractors in Texas may benefit from, including:

• General liability insurance. Covers against claims of bodily injury, property damage or reputational harm caused by your work
• Professional liability insurance. Covers claims arising from errors, omissions or negligence in the services you provide
• Commercial auto insurance. Legally required if you use your vehicle for business purposes
• Workers’ compensation insurance. While not always mandated by law for independent contractors in Texas, some clients may require it
• Tools and equipment coverage. Helps replace or repair business equipment if it’s lost, stolen or damaged by covered incidents

How We Help Contractors Find the Right Policies

Our team at Bienvenido Insurance understands the unique financial risks faced by self-employed professionals. We work closely with independent contractors to assess their needs, explain available coverage options and find policies that fit their budget and business goals. Whether you’re just starting out or looking to update your policy, we’re here to guide you every step of the way.

Contact us today to discuss your insurance needs and get a personalized quote.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.