What is one typical minimum type of liability insurance required in construction projects?

Commercial general liability insurance is a fundamental requirement in construction projects because it protects contractors and project owners from various risks associated with third-party claims. This type of insurance covers bodily injury, property damage, and personal injury that may occur during the construction process. It serves to mitigate financial exposure due to accidents or unforeseen incidents that could result in substantial claims against the contractor or owner.

In the context of construction, the insurance helps ensure that if a worker or a visitor is injured on the job site, or if the construction work inadvertently damages the property of others, there will be financial protection in place to cover such liabilities. This not only safeguards the financial health of the business but also assists in maintaining compliance with legal requirements and contractual obligations, which often stipulate proof of liability insurance.

Other options such as industrial accident insurance, health insurance for workers, and property insurance may play roles in protecting specific aspects of a construction project, but they do not provide the broad coverage of liability claims against third parties, which is critical in the construction industry.