If you’re a power line contractor, your contract might mention something called a “wildfire exclusion.” Exclusion from a policy means that, in the event of an accident caused by that source, you will need to pay out-of-pocket. As one might infer, having a wildfire exclusion on your policy isn’t good. Let’s talk a little more about what wildfire exclusions are and what you can do if you find out a wildfire exclusion in your policy.
What Is A Wildfire Exclusion?
Wildfires are becoming increasingly more common, especially in places like California. They can cause massive destruction wherever they touch, resulting in expensive damage. In response to the rising frequency of wildfires, some insurance companies include written liability contracts mentioning that wildfires are excluded from the policy. This is especially common for powerline contractors.
Essentially, a wildfire exclusion means that if an accident occurs involving a wildfire, power companies are liable instead of insurance companies. This can not only be expensive but incredibly damaging to your company’s reputation. As such, it is incredibly important to avoid having a wildfire exclusion on your insurance policy.
How To Prevent Wildfire Exclusions
Wildfire exclusions and other related policies can be extremely problematic. Not only will you not be covered after a wildfire, but having a wildfire exclusion includes other gaps in your policy. To prevent the inclusion of wildfire exclusions in your written liability contract, you should avoid signing any contractors that include these conditions. Talk to your insurance company about purchasing a policy that does not include this exclusion.
Three Arbor Insurance
Having huge gaps in your coverage like wildfire exclusions puts you in a vulnerable position in the event that an accident occurs. If you’re looking for an insurance policy that helps you sleep better at night, look no further than Three Arbor. Our team of experts are here to help you find the right policy for your business without sneaky gaps like wildfire exclusions.
Contact us today for more information!
