Utah’s construction sector is booming, with more than $24 billion in planned and ongoing projects fueling demand for skilled contractors across the state. For excavation contractors, this growth comes with high stakes. Heavy machinery, unstable soil conditions, and project deadlines create a mix of risks that can quickly escalate into costly liabilities. That’s why securing business insurance for excavation contractors is an essential part of keeping your business compliant and protected.
What Insurance Do I Need for an Excavation Company?
Excavation contractors face unique risks that require a tailored mix of coverages. Key policies include:
- General liability insurance: Protects against third-party claims such as property damage or bodily injury caused by excavation work
- Commercial auto insurance: Covers trucks, trailers, and hauling vehicles essential to excavation projects
- Inland marine insurance: Protects tools and heavy equipment against theft, damage, or loss while on the move or stored at job sites
- Workers’ compensation: Provides coverage for medical expenses and lost wages if employees are injured on the job
- Excess/Umbrella liability insurance: Adds an extra layer of protection for high-risk projects, where claim amounts may exceed the limits of standard liability policies
These coverages work together to safeguard contractors from both expected and unforeseen risks on the job site.
Utah-Specific Considerations
In Utah, excavation contractors must meet state licensing requirements before taking on projects. The Division of Professional Licensing outlines specific criteria, including proof of general liability insurance — making proper insurance a critical step in compliance.
Beyond meeting regulatory standards, contractors in Utah also face the realities of a rapidly expanding construction market. With billions of dollars in projects underway, competition is fierce, and one uninsured claim could sideline a contractor’s business. Partnering with a broker experienced in heavy construction risks ensures coverage keeps pace with both regulatory obligations and market opportunities.
Insuring Excavation Risks
Excavation involves hazards ranging from underground utility strikes to equipment breakdowns and on-site accidents. Each project comes with its own set of exposures, which is why off-the-shelf insurance rarely offers enough protection. Tailored business insurance for excavation contractors addresses the specific risks contractors face while ensuring cost efficiency and compliance.
BTC Insurance specializes in heavy construction insurance and understands the nuances of excavation risks. With localized expertise, BTC helps Utah contractors secure coverages that align with state requirements and the realities of operating in a high-growth market.
Get a quote today to build the protection your excavation business needs to thrive.
FAQ About Business Insurance for Excavation Contractors
Is excavation covered by insurance?
Yes, with the right policies in place. Excavation-specific risks are typically addressed through a combination of liability, auto, equipment, and umbrella coverages.
How much does excavation insurance cost?
Premiums vary depending on factors such as company size, project scope, safety record, and coverage limits. Contractors working on larger or riskier projects can expect higher costs but also greater protection.
Do I need coverage if I subcontract excavation work?
Yes. Even when subcontracting, the primary contractor may still be liable, making business insurance for excavation contractors crucial for protection against claims.
About BTC Insurance Services
Founded in 2011, BTC Insurance Services has proudly served Utah businesses with comprehensive and custom-tailored insurance coverages for a decade, including business insurance for excavation contractors. We pride ourselves on fostering long-term client relationships with a personalized and hands-on approach, and have established a reputation built on quality and transparency. For more information about our products and services, we invite you to contact one of our reputable agents today at (855) 944-3457, or send us a message here.