Water conditioning is the function of eliminating or modifying minerals, chemicals, and pollutants from a water source. Presently, more than ever, there is an increasing alarm about our water supply containing a wide range of contaminants such as chlorine, ammonia, chloramines, and many other unsafe chemicals. Applying the proper type(s) of water conditioning will create really clean water that tastes good and is good for you.
Although water conditioning and water softening are very different processes that eliminate or alter certain chemicals found in the water supply, a contractor that connects these systems to a residential or commercial building is required to be licensed in most states.
The California CSLB defines a water conditioning contractor as a business that “installs water conditioning equipment with the use of only such pipe and fittings as are necessary to connect the water conditioning equipment to the water supply system and to by-pass all those parts of the water supply system within the premises from which conditioned water is to be excluded.”
Since water conditioning contractors normally operate in or around an occupied building, there are considerable exposures to risks for bodily injury, property damage and products-completed operations.
Because of the consistent hazards at the job site, water conditioning contractors need to obtain commercial general liability coverage to have financial protection in the event you are found liable for injuries or property damage to a third party. You will need protection for products-completed operations should the installation work be considered faulty. Your state will require this coverage before your license can be issued.
Workers’ Comp will protect your employees and subcontractors in the event they are injured or become ill from a job-related incident. Having this coverage will satisfy your state’s requirement in order to become licensed. Accidents happen, and your workers’ compensation will be available to pay for medical expenses, lost wages, and prevent you from being financially responsible for an employee’s work-related injury or illness.
Most state licensing boards and customers typically require water conditioning contractors to provide a surety bond before you can begin working on a project. Your bond is a financial guarantee to your state’s licensing department and your customer that you will complete the job according to the project agreement and that all subcontractors and suppliers will be paid as agreed upon.
Water conditioning contractors should never take the chance insuring their company vehicles on a personal auto policy. Your commercial auto policy will offer higher limits, allow unlimited vehicles, and unlimited drivers. Your company will be financially insulated from claims that result after an at-fault accident, and your assets will be covered for damaged resulting from an accident or other covered peril.
Water conditioning contractors use expensive tools and equipment every day for every job. Insuring these tools and equipment will offer the financial protection your business needs if they are damaged due to a covered peril or stolen from the job site or while in transit.