A handyman insurance policy is highly customizable, which means you can add covers that will provide the maximum protection to your business, as well as ensure your financial stability and peace of mind. While all handyman businesses have their unique insurance requirements, a few key covers provide the foundation from which you and your insurance agent can strategically determine the type of covers that suit your needs and budget.
Handyman general liability insurance overview
All tradespeople should invest in general liability insurance to secure their business in the long run. This insurance product will protect your assets when clients claim damages due to your work. It is an excellent tool to prevent minor mishaps and accidents from becoming expensive lawsuits that tarnish your professional reputation and company.
Typical general liability insurance for handyman includes the following covers:
- When an individual third-party files a claim over injuries they incurred while you are on the job
- Advertising injuries that include libel and slander
- Reimburse for costs incurred as a result of liability lawsuits
Commercial auto coverage
A handyman’s vehicle is an essential tool for ensuring that clients are provided the service they need. It also serves as the central hub of operations for some tradespeople where valuable tools of the trade are stored. Commercial auto insurance will protect you if your vehicle requires automotive repairs, automobile-related injuries, and other damages incurred while on the job. Personal auto insurance will not cover any damages or losses incurred while you render services to clients.
Inland marine coverage
This specific type of policy will safeguard your tools if they are stolen, vandalized, or damaged during transportation. It complements your commercial auto insurance as inland marine coverage will protect the contents of your work vehicle.
Workers compensation coverage
For handyman businesses with more than one employee, you’ll need to obtain workers’ compensation insurance. This cover will protect your staff from accidents and injuries while on the job. Additionally, it will take care of legal fees if your employee/s files a lawsuit against your company. Most states require handyman operations to have workers’ compensation insurance in place.
Professional liability insurance
Also known as errors and omissions insurance, this cover will protect you from lawsuits filed by clients due to your work. In essence, this insurance cover will protect you when the quality of your work is scrutinized. Clients may file professional liability lawsuits due to the following reasons:
- Mistakes that may cost clients time and money
- Missed deadlines
- Instances where clients claim you provided poor professional advice
Umbrella insurance
As the term implies, umbrella coverage will protect you from accidents not covered by your existing insurance policy’s coverage limits.
Final thoughts
Protect the things that matter the most to you by obtaining an insurance policy that includes the right amount of coverage. Carefully assess your needs and find a reliable insurance agent to help you shop an insurance product that strikes the perfect balance between coverage and affordable premium payments.