What type of Insurance?

pondoludicrous

pondoludicrous

Location
Flagstaff Arizona
Ive been doing some small jobs on the side and have been thinking about getting some liability insurance. How much would I need and how much will I have to spend? What should I look out for? Ive heard about bonding but have no idea exactly what that is.

thanks

Mike Dunn
 
gen liability is what you need. Look for a policy w/ at least 500k in coverage. Around here for a one mand band policy i'd say you'll spend 800-1500 per year.

And make sure your health insurance is paid up. Or better yet get a basic work comp policy.
 
in my state the minimum policy is 300k for a few more bucks you can upgrade to 500,000.
Well worth the extra $ and it may give the client a little more assurance.
Keep in mind 99 % of of the competetion will be carrying 1,000,000 and a full work comp policy.
Carrying policies like the part timers is a sure bet to be paid like one.
 
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Carrying policies like the part timers is a sure bet to be paid like one.

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What a BS cliche. Why not carry 5 million then you can be better than everyone else.
Carry the appropiate amount of insurance for the risk involved. Why not self-insure if you have the means?
And guess what? You're not carrying insurance to protect the customer, you're carrying it to protect you!
 
I just completed a job in a local town that requires you have $500,000 in liability insurance. I carry 300,000 as a general rule (and if the situation calls for it I up it for that particular job)
Well they weren't going to approve my permit to work. When I met with the Code Enforcement Officer I asked her why 500,000. Show me the reasoning behind picking that number. She said the board of supervisors picked it cause the lawyer said to.
I took her out to the job site and showed her the tree in the middle of the yard, no structures, no power lines.
Guess what? I did that job with my 300,000.

This insurance bandwagon that everyone jumps on burns me.
 
[ QUOTE ]
[ QUOTE ]
Carrying policies like the part timers is a sure bet to be paid like one.

[/ QUOTE ]

What a BS cliche. Why not carry 5 million then you can be better than everyone else.
Carry the appropiate amount of insurance for the risk involved. Why not self-insure if you have the means?
And guess what? You're not carrying insurance to protect the customer, you're carrying it to protect you!

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I don't see how it's bs. If a customer is comparing two different companys credentials as a way of determining which co. to choose. Then this could be a very important factor.. For example MB tree service and K.C. tree serv. both have similar prices and both have good references, experience, and the what not. However it seems MB tree co. only carries 300k ins and health insurance however K.C. happens to carry 1 million and full work comp. Who do you think the client might choose?
I think it says alot about the companies dedication to protecting themselves and the public by carrying good insurance. Sure you may not do 1million in damage out there cutting down mrs. smiths tree located in a field however if you plan on working for high dollar properties or commercial properties you will need better coverage.
 
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I don't see how it's bs. If a customer is comparing two different companys credentials as a way of determining which co. to choose. Then this could be a very important factor.. For example MB tree service and K.C. tree serv. both have similar prices and both have good references, experience, and the what not. However it seems MB tree co. only carries 300k ins and health insurance however K.C. happens to carry 1 million and full work comp. Who do you think the client might choose?


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I'm fairly new here, so I'm baseing my thinking on what the attitude is at TH and AS. The reason I say its BS cliche is because of the whole "fulltime, professional" vs "parttime, hack" arguement/putdown that goes on. "If you don't do as I say your not a professional". Additionally, that customer will not pick on your above criteria. The choice will be made on "price, references, experience, and the what not" way before insurance comes into play.

Out of 120-140 jobs per year I may have 10 to 20 customers ask for insurance. How much or what type does not matter to them.

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Sure you may not do 1million in damage out there cutting down mrs. smiths tree located in a field however if you plan on working for high dollar properties or commercial properties you will need better coverage.

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My point exactly, he's doing small side jobs. He doesn't need a million or $$$$$$$$$$$$$.
BTW, my general liablity company, Mid-Continent Insurance Co will not write a million dollar policy as a SOP. they will only issue it on a job to job basis and only after receiving the request, in writing from my customer.

Do you carry commercial atuo insurance or errors and omissions?
 
why wouldn't it be.
do you carry commercial auto insurance on all your work vehicles?
I know lots of guys running around in their personal pickup, some with a dump insert, on their personal auto insurance. if they hit something, say back into their customers car in the driveway, they dont have converage, unless they lie about it
they claim to be fully insured, but they're not
 
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My point exactly, he's doing small side jobs. He doesn't need a million or $$$$$$$$$$$$$.

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Here's my 2 cents worth: When looking for coverage and limits one advisor laid it out very clearly..."do you ever work when kids are likely to be nearby" If answered in the affirmative then even 1 million aint enough. If you ever have the risk of killing someone (including yourself, crew or bystanders) then any lawsuit will seek at least a million.

That said, GCL and Umbrella policies are in order.

my guess? $1 mil each
 
i personaly carry 1 million in liability and the same on my vehicles...if you have employees you better have comp...but if you are completely solo.. get a disability policy that will cover you in the event of injury and a health policy that will cover you if you are working...there are some limitations there..but there is a package that is sold to most contract fallers available.... bonds are to gaurantee your contractors liscence and /or a performance bond if you are doing government type jobs.....if you are truly small ..stay small and insure according to the size of risk you work with.. if there is a chance you could smoke a house or two with one tree have big insurance or refer the job to someone and ask for a commision..
 
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