Plumber Insurance: Fixing Pipes & Protecting Your Business
Any plumbing business needs insurance coverage, just like any other business. Before delving into the basics of plumber insurance, keep in mind that:
- The type of insurance you need depends on your type of business
- Some insurance covers are required by law
- Policies range from property damage, accidental injuries to vehicle and equipment
The plumbing trade is lucrative, but it has its fair share of risks and challenges. It can be affected by many hazards like injuries in the line of duty or damage to the client’s property.
Plumbing insurance comes in handy to protect your business against certain perils.
There’s a coverage designed for every type of risk your business is likely to face. This absolves you of the liability of meeting the cost of the expenses that follow an unfortunate event.
Whether you’re a plumber, pipefitter, bathroom installer, or heating engineer, the law requires you to have some types of coverages.
Types of Plumbing Insurance
There are several standard insurance policies available for plumbers. Knowing what each entails is an essential step towards finding the right coverage for your business.
Some of the policies are as follows:
Business Owner Policy (BOP)
Ideally, when looking for plumber insurance start with the Business Owner’s Policy.
It covers your business just like homeowners insurance protects your home and possessions. This option helps you cut down on insurance costs as it provides three crucial coverages in one.
General Liability Insurance
The first coverage is General Liability Insurance that meets the costs of personal injury and property damage. It covers a client who gets injured while at your shop or any damages to the client’s property.
The coverage also protects you from some claims of slander and libel. However, it doesn’t cover your own mistakes in plumbing services. For such coverage, what you need is a professional liability policy.
Commercial Property Insurance
This policy is for the physical location of your business. It also covers the equipment, whether the property is owned or leased.
Business Income Insurance
This policy can help you recover any income lost. It comes in handy when your business encounters damages like a fire outbreak.
Commercial General Liability
This policy covers accidental injuries and damage to property in the course of work. In some jurisdictions, you can obtain a plumbing contractor license without proof of general liability insurance.
The insurance is imperative and includes:
- Costs of repair for property damage to a client’s home
- Physical injury to customers, leading to a court case
- Problems with plumbing installation
Worker’s Compensation Insurance
Workers’ comp is directed towards covering the medical bills or employees injured at work.
It also meets the payroll costs for the period an employee is away from work. It helps in ensuring your employees get medical care and can still support their families following an injury.
Good enough, this policy protects your business from possible lawsuits. Remember, these can be costly and time-consuming.
In many states across the United States, you may not operate a plumbing business without this policy. However, the requirements differ from state to state, especially for companies that hire contractors.
Commercial Auto Insurance
Your technicians spend much of their time on the road in company vehicles from one job to another.
If an employee from your company is at fault in a car accident, the consequences can be costly. This is especially true where there are injuries caused to another motorist.
In most states, all registered vehicles have to carry liability insurance; the same way personal vehicles have insurance coverages.
The policy protects your company vehicles and employees in case they get into an accident. It protects it from damage, medical bills, and theft, or vandalism.
Commercial Property Insurance
Plumbing businesses need property insurance to protect commercial property investment.
This includes the tools and equipment, as well as the office space. It covers both owned and leased property within the premises from fire and vandalism.
Product Liability Insurance
Public liability insurance isn’t a legal requirement, but it’s a wise idea to have it.
It’s instrumental in protecting you against financial liabilities associated with faulty products. It comes as part of the standard Tradesman Saver package.
If your business installs or sells a product that later causes damage to a client’s property, this insurance comes into play.
For example, you may install a radiator that leaks and causes extensive damage to your client’s property. The client can file a lawsuit against you.
If the leak is a result of a fault in the radiator, the insurance will compensate.
However, this insurance won’t cover leakages as a result of faulty installation. The claim will be passed back to the manufacturer but will first be made to you as the plumber.
Inland Marine Insurance
This policy provides financial protection for a plumbing business that doesn’t remain in a fixed location.
Only get the policy if your business is not covered under the standard commercial property insurance. The coverage is for tools, supplies, equipment, and anything else the company frequently transports.
The range of equipment ranges from drain snakes to caulking and soldering machines. The policy coverage compensates you if the tools are damaged in transit or on the job site.
The list of plumber insurance coverages available is non-exhaustive. You must know what your business needs most.
If you can’t afford every policy, consider buying the policies required by law first. With time you can diversify your options.
Find the Right Insurance for Your Business
After familiarizing with the types of plumbing insurance you need for your company, you need to find a reliable provider. Insurance companies are in plenty, but their services differ.
One factor that differentiates them is the cost of the policies.
Some factors insurance companies consider when giving you a quote include the location, business size, number of employees, and claims history.
Ensure you shop as far and wide as you can before settling for any insurance company.
For your plumber insurance needs in West Deptford, NJ, look no further. Talk to Keller Insurance for reliable and affordable plumbing business insurance services.