What should I think of to protect myself when buying a flip????

[Matt N.]

Hey all - I have a distressed property I am purchasing. It is in contract and I have a bid from my family member contractor who will be performing the work. I have a business parter in the deal too. 

I want to make sure I have thought out any risks associated with the contractor. 

First, is there any type of insurance you think I need to get, and if so, do you have any suggestions on what to look into? I want to make sure I am protected if anyone gets hurt on the property or if anything happens. 

Second, the contractor is guaranteeing a certain time frame to get it done and a $50 penalty per day to come out each day it is late. Does anyone know where I might go to get a good contract for myself and contractor to use? I can then tailor it up but looking for a good template. 

Last, do you have any general suggestions on what to think out on this contract? I plan on rinse/repeating this process with this person and hope to think everything out at the onset. 

Thanks!