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While people are always busy, they need to keep their yards neat and clean. For this reason, lawn care businesses are always in demand. From essential services such as trimming, cutting, and yard cleaning, to more advanced services such as garden set-ups, the lawn care industry plays a key role in people’s lives.
But despite being careful, you and your employees are still subject to financial uncertainties and other risks. Besides, accidents can happen, and one lawsuit can make you shut down your business operations altogether. Getting the right lawn care liability coverage for your business is advisable.
Lawn care companies have specialized structures, and business owners can choose different insurance coverage for their businesses. From General Liability Insurance to Commercial Auto to Worker’s Compensation insurance, all of which are meant to protect your business from losses.
Types of Insurance Coverages for Lawn Care Businesses
General liability is among the most important coverage for lawn care businesses. It covers property damage, bodily injury, personal or advertising claims as well as other liabilities.
It is essential to have a commercial auto policy to protect your business from costly liabilities in the event of an accident while doing business. Where will you get money to cover your vehicle that got into an accident recently?
Commercial auto policy will cover your work vehicles in case of a crash while on the road.
Most states require you to have a worker’s compensation insurance, even if you have only one employee. This policy will cover any job-related illnesses or injuries. Even if your state doesn’t require you to have worker’s compensation, we would still advise you get this type of insurance to protect yourself and your employees.
Inland Marine Policy
It might not sound like something you need for your lawn care business, but inland marine insurance protects your goods should they get damaged or lost while on transit. It covers your equipment or tools against theft or loss.
Business Umbrella Policy
The main aim of umbrella insurance is to offer coverage when policy limits are reached. It provides extra coverage if your policy has reached the maximum declared coverage. The best thing is that it can provide additional coverage to multiple policies at a go.
Employer’s liability is a unique insurance policy that offers coverage for employment-related charges such as breach of contract, harassment, discrimination, wrongful termination, and other work-related issues.
What’s the Cost of Lawn Care Insurance?
Different factors determine the cost of lawn care business insurance. Things such as claims history, top-line sales figures, driving history, overall credit, degree of exposure, and payroll figure will affect the policy premium.
The kind of policies you buy and the coverage limits affect the lawn care insurance cost. For instance, a landscaping company specializing in hardscapes will pay a different premium compared to a basic lawn care company.
Why You Should Prioritize Coverage Over Cost?
No matter which lawn care insurance policies you choose for your business, don’t aim for the lowest premiums. Purchase a plan that provides the best coverage to avoid paying from your pocket for unexpected incidents.
While it can be tempting to buy a low-cost policy, be sure to consider various factors such as declared coverage limits, consistency of the insurance company, slow payouts, carrier reputation, among other considerations.
Is Lawn Care Insurance Mandatory?
Depending on which area you operate your business from, the law may require you to have lawn care insurance. For instance, as long as you’ll be operating vehicles to transport your equipment or goods, all state law will require you to have commercial auto insurance.
Also, if you have employees in your company, most state laws will require you to have workers’ compensation. But this may be optional if you’re running your business alone.
Talk to a trusted insurance agent so they can explain the various policies required in your state. While requirements vary in each state, some policies such as general liability will offer your lawn care company the protection it needs even if it is not mandatory.
Read Your Policy Carefully
Just like any other business contract, read your insurance policy carefully before signing it. Ask your agent to clarify any terms you might not understand.
Knowing exactly what your lawn care insurance covers and what it doesn’t will enable you to manage your risks better. It will also help plan for emergencies that could affect your business.