As a small business, insurance is considered one of the most important things to have. Also known as commercial insurance, general liability insurance can be a lifeline to your small business should you ever need it. Its main purpose is to protect your business’s assets, income, and property. If you own a small cleaning business you want to make sure you have the proper insurance. For example, your cleaning business insurance will differ from auto detailing insurance.
The reason for that is because each company has its own unique set of insurance needs.
With so many coverage options, it can be helpful to have tips about choosing the right insurance. So, we’ve created a complete guide to cleaning business insurance to help you protect your small business.
What is Cleaning Business Insurance?
Cleaning business insurance for a small business is often referred to as a business owner’s policy, BOP, or small business owner insurance. Your insurance will typically have three basic coverage types. Those coverages are general liability coverage, business property coverage, and business disturbance coverage.
What Will Your Cleaning Business Insurance Cover?
There are a few things to understand about what your cleaning business insurance will cover. The first thing it will cover is property damage caused by you or your employees. As a cleaning professional you are going to be on various properties all the time.
Being that accidents happen, the most basic form of liability can save you a lot of worry down the line. For example, let’s say one of your employees gets a cleaning solution on your customer’s carpet. The cost to replace the customer’s carpet may be covered by your general liability coverage.
Your cleaning business insurance would also protect you in the event your customer sustains a bodily injury. An example of that would be if your customer fell on a freshly mopped floor. Your insurance can cover their medical bills and any legal costs if it were needed.
Another thing that your cleaning business can help cover is any legal proceedings. This would be in relation to libel, slander, or copyright infringement. This is important especially in the digital age that we are in.
News can travel fast, especially on social media. This has made the risk for slander and libel claims more prominent.
If someone prints something untruthful about your business that is considered libel. If someone were to speak something untrue about your business that is considered slander. Your business is only as good as your reputation.
So having your cleaning business insurance with basic liability protection is valuable. One more thing that your cleaning insurance can cover is an interruption in your business income.
The loss of income has to be due to relocation or disaster. It is important to note that this coverage may or may not come with a basic business owner policy. You want to check with an insurance agent to ensure that coverage is apart of your insurance policy.
What Your Cleaning Business Insurance Won’t Cover
Just as you want to understand what your cleaning business insurance does cover, you also want to know what it won’t cover. Your cleaning business insurance will not cover any type of negligence.
For example, if your cleaning supplies get near an open flame and cause a fire your small business insurance claim won’t cover that.
This is also true if you are doing business in an area that has natural disasters such as floods or earthquakes. Protection from these natural disasters is a separate coverage that has to be added to your policy by way of endorsement.
Another thing your cleaning business insurance won’t cover is injuries to your employees. General liability insurance is for protecting your business and your customers. It does not extend protection to your employees.
State law requires that if you have at least one employee you must carry workers’ compensation insurance. This is the only type of insurance that will cover the injury of an employee.
One last thing to note is that a basic cleaning business insurance policy will not cover a lawsuit for misinformation. For instance, if you were to tell a customer that a specific product is not harmful to pets, and it causes their pet to get sick you would not be protected.
It is important to know that if you want protection for instances such as the ones listed above, you can buy more for extra money.
The Cost Of Cleaning Insurance
As a small business, it is understandable that cost is a major deciding factor when purchasing insurance. Yet, it’s value will far exceed its cost. The range for basic cleaning business insurance depends on a few factors.
The first factor is the size of your cleaning business. How many employees do you have? What type of properties are you cleaning? Answers to those questions greatly determine your rate.
The next factor is the number of endorsements or more coverages required. Everything that a general liability policy doesn’t cover you will have to add that coverage for an extra cost.
Another factor in the price of your insurance is the state or location of your business. Some states have different requirements for the amount of coverage a cleaning business will need to carry.
Choosing Insurance That Is Right for Your Business
Choosing insurance for your small cleaning business can seem like a daunting task, but it doesn’t have to be. If you are looking to learn more about cleaning business insurance we can help! Reach out for a quote today so you can protect the things that matter the most.