Differentiating Who is Liable For What with Crane Contractors

[climbingmonkey24]

How do you clearly define who is liable for what in certain situations when contracting with a crane company?

A few things that were mentioned to me….

- Establishing a contract that details these scenarios.

- The crane company adding me as “additional insured” on their insurance.

I researched “additional insured” and have a pretty good understanding of what it is, though it seems like there are limits and it could cause the main policy holder’s premiums to go up. Considering my main crane contractor is my friend, I would hope this wouldn’t create an issue between us.

Up to this point I’ve been having him sign a subcontractor form I drafted that basically states we both carry active insurance, details what we are doing, outlines when I have to pay the bill by, and we both sign and date it before a job.

But as I start using the crane more and getting into higher risk projects, I feel like it’s even more important to establish some sort of understanding about liability. I mean ultimately the insurance companies would battle it out if something happened, but having protections in place beforehand I feel could help make that process easier and protect me, and him as well…

Thoughts?

 

[climbingmonkey24]

I’m going to ask my insurance what else they may recommend but still interested in hearing what others who’ve been using crane contractors do.

 

[ATH]

Probably a good idea to sit down with an attorney and your crane operator all together. If something goes sideways you want to be on the same page and you both know the contract wasn't set up to screw one and protect the other. Preserve the friendship!

My insurance doesn't charge anything to list additional insured. If you are asking daily to add a client, I could see the agency needing to capture revenue to cover their time.

Often a bigger entity (corporation, city or University) will require that when working on their property. I've have one client ask to be listed for a residential property (he was a municipal judge... probably has seen what happens. Makes me think I should ask to be listed on a policy when I have contractors working on the house...). Dept of Ag also requires they be listed for pesticide application business license.

I would guess your insurance should probably also want him listed on your policy.