Insurance & LiensQuestion 468 of 690
A property owner is injured when a wall built by the contractor's crew collapses on her. Which of the contractor's policies is designed to respond to this third-party bodily injury claim?
a.The contractor's workers' compensation policy
b.The $25,000 contractor license bond
c.Commercial general liability (CGL) insurance
d.Builder's risk insurance
Explanation
Commercial general liability (CGL) insurance covers third-party bodily injury and property damage caused by the contractor's operations. Workers' compensation covers the contractor's own employees, not third parties.
Practice all 690 questions free — no signup required.
Related questions on this topic
- Every California employer subject to workers' compensation must, in the workplace, do what regarding coverage?
- A general contractor hires an unlicensed "subcontractor" who brings their own crew to the job site. If one of that crew is injured, who is most likely treated as the employer for workers' compensation purposes?
- A contractor's workers' compensation policy is cancelled and the contractor has not filed an exemption certificate. What is the consequence for the CSLB license?
- Which type of insurance is specifically designed to cover a structure and its materials against fire, theft, and weather damage WHILE it is still under construction?
- Which statement best describes the key difference between an insurance policy and a surety bond?
- A general contractor requires each subcontractor to provide proof that they currently carry liability and workers' compensation insurance. The document the subcontractor's insurer issues to verify this coverage is called a:
Last reviewed: · editorial process
PrepPass Editorial Team · Verified against California CSLB Contractor License Law & Business Exam · How we review