Which insurance types are commonly required for the contractor and the project under A201?

• A. Commercial General Liability, Contractors'/Workers' Compensation, Automobile Liability, and Builder's Risk
• B. Health Insurance and Disability Insurance only
• C. Property Insurance for Owner's home
• D. Fidelity Bond for employees only

Answer: (A)

The idea here is that projects protect against the main financial risks through standard insurance requirements. Under AIA A201, the contractor is typically required to carry four core coverages: Commercial General Liability to cover third-party bodily injury and property damage caused by the contractor’s operations; Contractors’/Workers’ Compensation to cover injuries to employees; Automobile Liability for vehicles used in performing the work; and Builder’s Risk (course of construction) insurance to protect the project property during construction from perils. These protections are common because they address the major risk areas on a construction site and help ensure parties are shielded from direct losses, often with provisions like the owner being named as an additional insured and subrogation waivers as the contract requires. The other options don’t fit the standard risk-transfer package in A201: health or disability insurance are employee benefits rather than project-level protections; property insurance for the owner’s home isn’t about the project; and fidelity bonds for employees alone aren’t the typical insurance bundle used on these contracts.