When hiring an interlock contractor in Ottawa, asking about insurance coverage isn’t just smart—it’s essential. The right insurance protects you from potentially devastating financial liability if something goes wrong during your driveway, patio, or walkway installation. In this comprehensive guide, we’ll explain exactly what insurance your interlock contractor should carry, how to verify coverage, and what red flags to watch for.
Why Contractor Insurance Matters for Your Interlock Project
Interlock installation involves heavy equipment, excavation, material delivery, and multiple workers on your property for days or weeks. During this time, accidents can happen—a worker could be injured, your property could be damaged, or a passerby could be hurt by falling materials. Without proper insurance, you could be held personally liable for these incidents, facing lawsuits that could cost hundreds of thousands of dollars.
Professional contractors understand this risk and carry comprehensive insurance coverage. Those who don’t are either cutting corners to offer cheaper prices or operating unprofessionally. Either way, hiring an uninsured contractor puts your financial security at serious risk.
4 Essential Types of Insurance Your Interlock Contractor Must Have
1. General Liability Insurance (Minimum $1 Million Coverage)
General liability insurance is the foundation of contractor coverage. This policy protects against third-party bodily injury and property damage claims. For interlock work, this means coverage if:
- A worker accidentally damages your home’s foundation during excavation
- Heavy equipment crushes your garden fence or damages underground utilities
- A delivery truck backs into your neighbor’s car
- A visitor to your property trips over materials and is injured
- Improper grading causes water to flood your basement
In Ontario, reputable interlock contractors carry at least $1 million in general liability coverage. Many professional companies carry $5 million or more. This coverage limit should be clearly stated on their Certificate of Insurance.
2. Workers’ Compensation Insurance (WSIB in Ontario)
In Ontario, the Workplace Safety and Insurance Board (WSIB) requires most employers to carry workers’ compensation coverage. This insurance covers medical costs and lost wages if a worker is injured on the job.
Why this matters to you: If your contractor doesn’t have WSIB coverage and a worker is injured on your property, you could potentially be held liable for their medical bills, lost income, and rehabilitation costs. This could easily exceed $100,000 for a serious injury.
Always ask for proof of WSIB coverage and verify the account is in good standing. You can request a Clearance Certificate from your contractor, which confirms they’re up to date on their WSIB premiums.
3. Commercial Auto Insurance
Interlock contractors use trucks, trailers, and sometimes heavy equipment like skid steers and excavators. Commercial auto insurance covers accidents involving these vehicles, including:
- Collision damage to the contractor’s vehicle
- Liability if the contractor’s vehicle damages property or injures someone
- Coverage for tools and materials being transported
Without this coverage, if a contractor’s truck damages your driveway during material delivery, you might have no recourse for repairs.
4. Tools and Equipment Insurance
While not legally required, professional contractors carry insurance on their tools and equipment. This protects their business assets and ensures they can complete your project even if equipment is stolen or damaged.
This insurance matters because contractors without it may struggle to complete your project if their equipment breaks down or is stolen, potentially leaving your property in disarray while they scramble to replace tools.
How to Verify Your Contractor’s Insurance Coverage
Don’t just take a contractor’s word that they’re insured. Follow these verification steps before signing any contract or allowing work to begin:
Step 1: Request a Certificate of Insurance (COI)
Ask your contractor to provide a current Certificate of Insurance. This document, issued by their insurance company, should include:
- Insurance company name and contact information
- Policy numbers for all coverage types
- Coverage limits (dollar amounts)
- Policy effective dates and expiration dates
- Types of coverage (general liability, WSIB, auto, etc.)
The certificate should be recent—ideally issued within the last 30 days—to ensure policies haven’t lapsed.
Step 2: Verify Directly with the Insurance Company
Certificates can be forged or outdated. Call the insurance company listed on the certificate to confirm:
- The policy is currently active
- Coverage limits match what’s stated on the certificate
- The policy covers the type of work being performed
- There are no exclusions that would affect your project
Legitimate contractors won’t be offended by this verification—they understand it’s standard practice.
Step 3: Check for “Additional Insured” Status
For larger projects, consider asking to be named as an “additional insured” on the contractor’s general liability policy. This provides you with direct coverage under their policy and gives you notification if the policy is cancelled.
Most insurance companies can add you as an additional insured for a small fee, usually paid by the contractor. This is common practice for commercial projects but less common for residential work—however, it’s worth asking for on high-value installations.
Step 4: Confirm Coverage Limits Are Adequate
Minimum coverage isn’t always sufficient. For a typical residential interlock project in Ottawa valued at $15,000-$30,000, you should expect:
- General Liability: At least $1 million (prefer $5 million)
- WSIB: Must be current and in good standing
- Commercial Auto: At least $1 million
For larger projects exceeding $50,000, higher coverage limits may be appropriate.
Step 5: Request Proof Before Work Begins
Make insurance verification a condition of your contract. Specify that the contractor must provide proof of insurance before starting work and maintain coverage throughout the project duration.
Include language in your contract stating that failure to maintain insurance is grounds for contract termination.
Red Flags in Insurance Documentation
Watch for these warning signs that could indicate insurance problems:
- Expired or soon-to-expire dates: If the certificate shows the policy expires during your project timeline, ensure the contractor will renew coverage
- Name mismatches: The business name on the insurance certificate should match the name on your contract exactly
- Unable to verify: If you can’t reach the insurance company or they can’t confirm coverage, don’t proceed
- Reluctance to provide documentation: Professional contractors provide insurance certificates immediately upon request
- Suspiciously low prices: Contractors who significantly undercut competitors may be saving money by skipping insurance
- Photocopied or low-quality documents: Always request original certificates directly from the insurer
- Generic or template certificates: Legitimate certificates are customized and include specific policy details
What to Do If Your Contractor Is Uninsured
If you discover your contractor lacks proper insurance, don’t proceed with the project until they obtain coverage. Here’s what to do:
- Stop work immediately: If work has begun, halt the project until insurance is verified
- Request they obtain coverage: Give the contractor the opportunity to purchase insurance before terminating the contract
- Set a deadline: Provide a reasonable timeframe (typically 5-7 business days) for them to obtain and verify coverage
- Document everything: Keep records of all communications about insurance
- Consider contract termination: If they refuse or delay obtaining insurance, this may be grounds for terminating your agreement
- Find a reputable contractor: Work with established companies that maintain proper insurance as a matter of course
Remember: No amount of cost savings is worth the financial risk of hiring an uninsured contractor.
Your Homeowner’s Insurance: Limited Protection
Many homeowners assume their own insurance will cover contractor-related incidents. While your homeowner’s policy may provide some coverage, it’s not designed to be your primary protection against contractor negligence.
Your policy might cover:
- Some property damage to your home
- Injury to workers in limited circumstances
- Some liability for accidents on your property
However, relying on your homeowner’s insurance has serious drawbacks:
- Filing claims increases your premiums
- Your deductible applies (typically $500-$2,000)
- Coverage limits may be insufficient for serious incidents
- Claims could affect your future insurability
- Your policy may have exclusions for contractor-related damage
Before starting any major interlock project, call your insurance agent to understand your coverage and any limitations. Some insurers require notification of major construction projects.
Additional Protections: Bonds and Guarantees
Beyond insurance, consider these additional protections for larger projects:
Performance Bonds
A performance bond guarantees the contractor will complete the work according to contract specifications. If they fail to complete the project, the bonding company pays to have another contractor finish the work. While uncommon for residential interlock projects under $50,000, performance bonds provide excellent protection for larger installations.
Payment Bonds
Payment bonds protect you from liens on your property if the contractor fails to pay their suppliers or subcontractors. In Ontario, suppliers can place a lien on your property for unpaid materials, even if you’ve paid the contractor in full. A payment bond prevents this scenario.
Understanding Insurance Costs: What You’re Paying For
Professional interlock contractors typically spend 5-10% of their annual revenue on insurance costs. These expenses include:
- General liability premiums: $3,000-$8,000 annually for a small contractor
- WSIB premiums: Based on payroll, typically 3-7% of wages
- Commercial auto insurance: $2,000-$5,000 per vehicle annually
- Equipment insurance: 1-2% of equipment value annually
These costs are built into project pricing. When a contractor offers prices significantly below market rates, they may be cutting corners on insurance to appear more competitive.
Reputable contractors view insurance as a necessary cost of doing business professionally. At Interlock Experts, we maintain comprehensive insurance coverage because protecting our clients is just as important as delivering beautiful interlock installations.
Questions to Ask Your Interlock Contractor About Insurance
Before signing a contract, ask these specific questions:
- “Can you provide a current Certificate of Insurance showing all coverage types?”
- “What are your general liability coverage limits?”
- “Is your WSIB account in good standing? Can you provide a Clearance Certificate?”
- “Are all workers on this project covered by WSIB or are any subcontractors involved?”
- “If subcontractors are used, do they carry their own insurance?”
- “Can I verify your insurance directly with your provider?”
- “What happens if your insurance lapses during our project?”
- “Have you had any insurance claims in the past three years?”
- “Will you provide updated certificates if policies renew during our project?”
- “Is the business name on the insurance exactly as it appears on our contract?”
Professional contractors will answer these questions clearly and provide documentation promptly. Hesitation, vague answers, or difficulty providing certificates are major red flags.
The Bottom Line: Insurance Is Non-Negotiable
Hiring an insured interlock contractor isn’t just recommended—it’s essential for protecting your financial security. The risks of working with an uninsured contractor far outweigh any potential cost savings. A single accident could cost you tens or hundreds of thousands of dollars in liability, legal fees, and property damage.
Professional contractors understand this and maintain comprehensive coverage including general liability ($1 million minimum), WSIB, and commercial auto insurance. They provide certificates readily and welcome verification.
When selecting an interlock contractor for your Ottawa property, make insurance verification the first step in your due diligence process. Request documentation, verify coverage directly with insurers, and confirm adequate coverage limits before allowing any work to begin.
At Interlock Experts, we carry comprehensive insurance coverage on every project because protecting our clients is fundamental to our business. We provide insurance certificates upfront and welcome verification—because we know educated homeowners make the best clients.
Ready to Work with a Fully Insured Interlock Contractor?
Don’t risk your property and financial security with an uninsured contractor. Interlock Experts maintains full insurance coverage including $5 million general liability, current WSIB standing, and comprehensive commercial insurance.
We provide insurance certificates with every quote and welcome verification. Our professional interlock services include driveways, patios, walkways, and repairs—all performed by fully insured, experienced craftsmen.
Contact Interlock Experts today at +1 613 981 0199 for a free consultation and quote. We’ll provide proof of insurance upfront so you can proceed with confidence. Visit our contact page to schedule your appointment, or browse our portfolio to see why Ottawa homeowners trust us for their interlock projects.
When it comes to contractor insurance, verification isn’t optional—it’s essential. Let us show you what working with a fully insured, professional interlock contractor looks like.