Bonded vs. Insured

The difference between the two

If you hire a contracting company to do work on your home and something goes awry, you need to know that the mistakes made will not be paid for out of your pocket. Only reputable HVAC contractors may be bonded and insured and these two forms of protection are very important for you as a consumer. But are we even really sure what it means to bonded and insured? Today we will be going over what they are and the differences between the two.

What It Means to be Bonded

A contractor’s bond will protect a consumer if the contractor does not complete a job, if the company has done shoddy work on your home, or if it fails to pay financial obligations such as permits. This will also cover any damage a worker may have caused to your property.

Contractors pay a premium to a surety company every month in order to be considered bonded; and in the state of Florida the amount of that bond must be $15,000. Always make sure that a company has a bond number and certificate. If you ever have an issue with the contracting company because of subpar or unfinished work and are having a hard time dealing with them, you can contact the surety company directly to have the issue resolved.

What It Means to be Insured

There are two types of contractor’s insurance: liability and workers’ compensation.

If a contractor causes damage to your home or property it will be covered by liability insurance; It does not usually cover bad craftsmanship by the worker (that is what a bond is for).

If, for example, a worker falls off of your roof though, that would be covered by workers’ compensation. If you ever choose to have work done by a company that doesn’t provide workers’ compensation this accident will then have to be paid for out of your homeowner’s insurance, which is no bueno. Workers’ comp will also provide funds to the worker’s family in the event of a work-related death or injury. Make sure to ask to see proof of all insurances carried by a contracting company working in your home.

Call the Professionals

Professional AC & Heating, Inc. is a licensed, bonded and insured company that has taken care of central Florida’s HVAC needs for over 25 years now. Make sure you only choose companies will all of these certifications to ensure you won’t get taken advantage of one day. We come to work with proof of all 3 in hand to show we’re professional and ready for business. Give us a call today for service on any part of your HVAC system!

Licensed, Bonded and Insured Contractors (bryantsuretybonds.com)

Hiring a Contractor: What’s the Difference Between Bonded and Insured? | Angi

The Difference Between Being Bonded vs. Insured (kellerinsurance.com)