What type of insurance must a plumbing firm maintain?

A plumbing firm must maintain general liability insurance as it provides essential protection against claims arising from injuries or damages that occur as a result of the company's operations. This type of insurance covers various liabilities, including bodily injury, property damage, and legal fees resulting from lawsuits. It's crucial for plumbing businesses, which often work in different environments and may inadvertently cause accidents or damage while performing their services.

Maintaining general liability insurance not only safeguards the plumbing firm's financial resources in the event of an incident, but it also enhances the business's credibility with clients, who may require proof of such insurance before hiring contractors. This protective measure is a fundamental aspect of a responsible business operation in the plumbing industry.