HBA Membership

To apply for HBA membership, you must provide proof of general liability & workers’ compensation insurance, have a B or better grade with the Better Business Bureau (BBB), and be approved by a vote of the Board of Directors. All prospective members must likewise be sponsored by at least one current HBA member.

Interested parties must complete the HBA Member application and submit a one-time non-refundable application fee of $25 and annual dues payment of $550. Once the application and necessary documents are received, they are reviewed by the HBA Board of Directors and you will receive information on next steps. If application is not approved, the board will refund the dues.

Elevate your business and customer confidence by joining the Home Builders Association of Greater Springfield. Apply today!

Better Business Bureau

General Liability Insurance

General Liability insurance is a form of Casualty Insurance that protects a business from most liability exposures they will encounter in the course of their operations.

  • General Liability Insurance is separate and distinct from other liability coverages such as: Automobile Liability, Professional Liability, Employment Practices Liability, and Employers’ Liability (Worker’s Compensation).

General Liability – or “GL” as it is most often referred to – provides coverage for litigation expenses (attorney’s fees, courts costs, investigation expenses, etc.) and the cost to settle a claim arising out of a third-party claimant’s suit for damages due to “Bodily Injury” or “Property Damage”.

  • Ex. of a “Property Damage” claim against a contractor could be an improperly installed pressurized water line that leaks and causes damage to the home. The General Liability policy would pay to replace damaged items that the leaking water came into contact with (Sheetrock, trim, discolored grout, etc.)
  • An example of a “Bodily Injury” claim against a contractor could be a situation where a remodeling contractor improperly wires new appliances by not grounding them. The homeowner or another third-party then uses the appliance and completes the circuit, electrocuting themselves.

As a contractor it is important to verify you are adequately insured against damages that you may cause to a third-party claimants’ person or property in the scope of your operations. Uninsured claims against a contractor can result in monetary settlements that may have drastic financial implications on your small business and personal assets.

Please consult a qualified Insurance Professional when making your insurance buying decision to ensure you are purchasing a General Liability Policy that does not contains exclusions that remove much needed coverage for you organization.

The only way to verify if an organization has an active General Liability Policy is to request a Certificate of Liability Insurance from the organization’s Insurance agent.

A certificate of Liability Insurance, or Acord 25, is an industry standard form that displays to the Certificate Holder (requestor) the insured’s active Liability Policy Numbers, Policy Term, and Limits of Insurance.

More importantly, this form also requires the Insurer to notify the Certificate Holder if the insured’s insurance lapses for any reason within 10 days of cancellation.

As a homeowner, it is important to request this information prior to work commencing. If an uninsured contractor causes significant damage to your home, you may find yourself paying out-of-pocket to replace damaged material and hiring a new contractor to redo the work.

As a homebuilder it is crucial that you obtain Certificates of Insurance from all of your subcontractors that also includes some additional wording, when appropriate. This ensures that subcontractors working on your behalf have their own active General Liability insurance and the homeowner or any other third-party should not be able to file a claim against your insurance policy for work you did not complete.

Workers’ Compensation Insurance

Defined by the US Department of Labor

Workers’ compensation (workers’ comp) is a form of accident insurance paid by employers. No payroll deductions are taken out of employees’ salaries for this insurance. If you’re injured on the job or acquire a work-related illness, workers’ comp will pay your medical expenses, and if you can’t work, it will also cover wage-loss compensation until you’re able to return to work.

Workers’ compensation insurance also protects your company from lawsuits brought by workers who were injured while working.

  • ANY employer in the CONSTRUCTION industry is required to carry workers’ compensation insurance if it has one or more employees
  • All other employers are required to carry workers’ compensation insurance if they have 5 or more employees
  • Per the Department of Labor: The definition of “employee” includes both full and part-time employees and includes every person in the service of an employer under ANY contract of hire, express or implied, oral or written, or under any appointment or election, including executive officers of a corporation. Quick translation – An employee is defined as a W-2 employee, a subcontractor, a volunteer or a family member.
  • If anyone is working on your job site without workers’ compensation insurance, you could be liable if they get hurt.
  • Is a company that only employs family members required to carry workers compensation insurance by state law?
    • If the company is an LLC: The company is required to carry workers compensation insurance per statute 287.037
    • If the company is incorporated: The company can exempt themselves from workers compensation insurance. They must file form WC-134
  • The HBA of Greater Springfield requires our members to provide proof of workers’ compensation insurance coverage if they are required by state law to carry workers’ compensation insurance.

For more details, view this flyer provided by the Missouri Department of Labor & Industrial Relations: https://labor.mo.gov/media/pdf/wc-259-ai

The best way to determine if a company has Workers’ Compensation insurance (or any necessary insurance) is to request the name and number of their insurance agency. Once that information is shared with you, reach out to the insurance agency and request a copy of the company’s certificate of insurance.