Yes, You Need Insurance Before the First Job
Before you start your first job as a drywall finisher, you need to get insurance. Some clients ask to see proof of coverage before they let you work. This proof is called a certificate of insurance. It shows that your business has a policy in place. You cannot start the job without it in some places. It is best to get it before you meet the client for the first time.
What Insurance You Need
You need workers' compensation insurance. A ghost policy proves you have it, but it does not cover you, the owner. You reject coverage for yourself when you buy it, so the policy pays no medical bills or lost wages to you. It exists to show proof of coverage to the client, contractor or landlord who asks for it.
What Happens If You Don't Have Insurance
If you don't have insurance and a client asks for a certificate, you can't start the job. You might lose the job. Also, if someone who works for you gets hurt and you don't have regular workers' comp for them, you might have to pay their medical bills out of your own pocket. That can cost a lot of money. A ghost policy is for the owner only. That means no employees and no subcontractors of any kind, even subs who carry their own insurance or hand you a certificate. If anyone else works for you — an employee, a subcontractor, a 1099 worker, day labor, or a family member who helps — you need regular workers' comp, not a ghost policy.
How to Get Insurance
To get insurance, go to start your quote. You will answer a few questions about your work and your state. The system will show you the price for a policy that works for you. You can pay for it right there, by card. The premium is fully earned, so once the policy is issued there is no refund. Cimarron issues your policy within 24 business hours of your payment and signed documents. Then you can get a certificate. You do not need to talk to anyone by phone. Everything happens online.
What Your Policy Covers
Your ghost policy proves that your business has workers' compensation coverage. It does not pay medical bills or lost wages to you, the owner. A 👻Ghost Policy never covers the owner; if you want coverage for yourself, you need regular workers' comp. Your quote will tell you how much it costs.
What a Ghost Policy Does Not Cover
A ghost policy proves that your business has insurance. It shows the client that you are ready to work. But, it does not cover you, the owner, if you get hurt. If you want a policy that pays you when you get hurt, you need regular workers' comp, not a ghost policy. A ghost policy is good if you just need proof of coverage for a client.
What to Do If You Have Questions
If you have questions about your insurance, read more about it in our Ghost Policies section. Or, you can get your own quote and see what your policy covers. If you want to learn more about certificates, read our Certificates section. These pages will help you understand what you need to know before you start work.
What to Do If You Are Asked for Proof Before You Are Ready
If you are asked to show a certificate before you are ready, you can tell the client you are in the process of getting your policy. But, it's best to have everything ready before starting a job. That way, you avoid delays and show you are serious about your work. If you say you are working on it, you should finish it soon after. Do not wait too long. Some clients will not wait for you to get your insurance after they have already agreed to the job.
What to Do If You Are Working on a Small Job
If you are working on a small job and the client does not ask for a certificate, you might still need insurance. You should always check what your state requires. It is better to have insurance and not need it than to need it and not have it. Your quote will tell you how much it costs.
