Contractors’ Proof of Liability Coverage Bill Sent to Oklahoma Gov.

May 13, 2009

Oklahoma Senate Bill 306, by Sen. Debbe Leftwich, which requires contractors to provide proof that they have general liability insurance is headed for the desk of Gov. Brad Henry.

“We’ve seen too many cases of Oklahomans paying for work to be done on their homes, only to be left holding the bag when the work is substandard, or the contractor takes the money and runs,” said Leftwich, D-Oklahoma City, in an announcement issued by the Oklahoma Senate. “Requiring proof of liability insurance gives greater protection to consumers.”

SB 306 also requires the contractor to have workers’ comp insurance or an exemption permit.

“Again, should a worker be hurt on the job, we want to make sure the proper party is held responsible, and that this doesn’t fall back on the family or person who hired the contractor,” Leftwich said.

The measure would not apply to individuals modifying an existing single-family or duplex structure on their own property, unless the modifications are being subcontracted. In that case, the subcontractor would have to meet the requirements set forth in SB 306.

The legislation is supported by the Oklahoma Municipal League and the Oklahoma Home Builders Association.

Source: Oklahoma Senate

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