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In North Carolina does a subcontractor have to have workman's comp and general liability?
In North Carolina, a subcontractor is not automatically required to carry workers' compensation insurance, unless they employ three or more employees—in which case coverage is mandatory for those employees.
However, a general or principal contractor must obtain proof of coverage before subcontracting work. Under N.C. Gen. Stat. § 97-19, if a subcontractor is uninsured, the principal contractor becomes liable for the subcontractor's employee injuries unless they have obtained a valid certificate of insurance or certificate of compliance from the subcontractor, even if the subcontractor has fewer than three employees.
General liability insurance, on the other hand, is not mandated by state law but is strongly recommended for both contractors and subcontractors to protect against property damage, bodily injury, and other liabilities arising during project execution.
What else can I help you with?
Does General contractor liability insurance cover default of payment to subcontractor?
no
Does a builders risk policy provide liability?
It depends if the builder's risk policy is just for property or for property and liability. You can have a builder's risk policy, which includes general liability. If the insured is owner of the building, the general liability exposure is the cost of the project and will classes under subcontractor.
What are the differences between subcontractor default insurance and bond in terms of providing financial protection against subcontractor defaults?
Subcontractor default insurance and bonds both provide financial protection against subcontractor defaults, but they work in different ways. Subcontractor default insurance reimburses the general contractor for costs incurred due to a subcontractor default, while bonds guarantee that the subcontractor will fulfill their obligations. Bonds require a third-party surety to pay if the subcontractor defaults, while insurance is a direct reimbursement to the general contractor.
Does a contractor need to be on the subcontractors policy as additional insured?
This is not as simple a question as it may seem. Subcontractors generally carry their own liability insurance. The General Contractor should verify that the sub contractors insurance either matches or exceeds their own policy limits as this is part of the contract terms for almost every general liability policy. In effect if you let an uninsured subcontractor work on your job, unless you endorse your own policy to cover the subcontractor and pay the additional premium, their would be no coverage under the General Contractors insurance policy for liabilities of the Subcontractor. Basically if you get this wrong, the General contractor will be on the hook and out of pocket for all the subs damages with no coverage for it. If you want the subcontractors covered under the General Contractors insurance policy it can certainly be done but will be significantly more expensive as you would be asking to insure a third party''s work.
What is public liability insurance and how is it different from general liability insurance?
General liability covers Public and Producs Liability, therefore by having General Liability cover, public liability is covered also.
Subcontractor Agreement?
Get StartedA Subcontractor Agreement is an agreement between a general contractor (the "General Contractor") and another party who has subcontracted to perform work and services for the General Contractor (the "Subcontractor"). The General Contractor is the party who will contract directly with the owner of the property on which the Subcontractor will be working. Frequently, the General Contractor has portions of the larger project that the General Contractor prefers not to do. Therefore, the General Contractor contracts those portions out to another party, the Subcontractor.If it is available, the Subcontractor may wish to review the Original Contract between the Owner and the General Contractor to be sure that there are no conflicting terms between it and the anticipated Subcontractor Agreement.This agreement allows the parties to describe which services and materials the Subcontractor will provide, specify the price for the work, and assign various rights and liabilities between the parties. Important provisions regarding indemnification, insurance, change orders, unforeseen conditions, defaults, the nature of the parties' relationship and miscellaneous concerns are also included.This agreement should be signed by both parties and becomes effective as of the date inserted at the beginning of the agreement.
Can a subcontractor provide a clear scope of work for their subcontractor?
Do you mean a contractor? Normally a contractor will hire a subcontractor to perform a portion of the entire scope of work. An example is that a general contractor will hire an electrician to install the wiring in a house.
Why would a subcontractor get a general contractor license?
So they can work as a general contractor and not have to work for someone else.
Why do you have to pay general liability insurance on your subcontractors when they have to provide you with general liability in Arizona?
In Arizona, even if subcontractors provide their own general liability insurance, it's often required for the primary contractor to maintain their own policy to cover any additional risks or liabilities that may arise during a project. This dual coverage helps protect against gaps in the subcontractor's insurance, ensuring that the primary contractor is safeguarded from potential claims. Furthermore, having your own liability insurance can also fulfill contractual obligations and provide broader protection for your business. Ultimately, it's a prudent risk management strategy.
Can a subcontractor for termite treatment on a Hollywood Florida home put a lien on the house when the contractor was paid in full but will not pay the subcontractor?
Not likely. There is no privity of contract between the homeowner and the subcontractor. The homeowner had an agreement with the general contractor, and that's the only person they have a duty to pay. The subcontractor can only pursue payment from the general contractor - to put a lien on the home would be to punish an innocent party - the homeowner. This is between the subcontractor and the general contractor, and there's no reason to bring the homeowner into this, since the homeowner doesn't owe the subcontractor anything.
What are the difference between direct subcontractor and nominated subcontractor?
a nominated subcontractor, with various provisions for obtaining indemnities by the subcontractor (or Employer) but under the main contractor responsibility and coordination, or ** another contractor, which FIDIC provides the incumbent Main Contractor is required to give site access, etc, etc to but coordinated by the Employer My own understanding, very simply put is that a nominated subcontractor is actually a "normal" subcontract between Main Contractor and Subcontractor, BUT that the nominated subcontractor is selected by the Employer and price agreed with the Employer directly. That would mean that the Main Contractor has the accountability for the subcontractor, notwithstanding any indemnities. The Consultant has stated today that in their opinion: ** the nominated subcontractor is selected by the Employer and signs a contract direct with the Employer ** the Employer will secure assurances, bonds / performance sureties and warranties direct with the subcontractor, and ** that the Main Contractor DOES NOT sign a subcontract with the subcontractor ** that the main Contractor will not be held liable for certain specified warranties My understanding is that the Main Contractor still should sign a subcontract with the nominated subcontractor and assumes the responsibilities of a Main Contractor over the Subcontractor - though the Employer states that the Main Contractor has no liability specified warranty issues and quality (only). I would believe the Main Contractor still has a number of responsibilities in respect of the subcontractor and their general performance. The Consultant assures they have checked FIDIC and it is normal for the Employer to sign a subcontract direct with the Nominated Subcontractor. I would believe in that case it is not a "Nominated Subcontract", but instead a direct supplementary contract between the Employer and their Contractor (secondary contractor) Can you kindly advise quite simply, the contractual position of a nominated subcontract under FIDIC ...... ie does the Employer sign the contract / subcontract with the Nominated Subcontractor, or is it a subcontract between Main Contractor and Nominated Subcontractor with the normal (in general terms) obligations by the Main Contractor for the Subcontractor, to the Employer.
What does it mean for someone to be a subcontractor to someone else?
A subcontractor is an individual or a business that signs a contract to perform part or all of the obligation of another's contract. A subcontract is hired by a general contractor.
