Running a pressure cleaning business involves the use of power washers, pressure washers, chemicals, and other equipment that you’ll use to clean various kinds of surfaces like buildings, structures, and vehicles, among others. As when operating any kind of machinery or working any kind of business, there is always some amount of risk involved. To protect your company and yourself from expensive lawsuits and having to pay damages, make sure you have the necessary insurances for protection. Obtaining the mandatory licenses and permits as according to your state rules and regulations is also very essential. Here are some of the important insurances you’ll need.
General Liability Insurance
Despite the best of precautions, you might cause water damage to the interiors, furnishings, property, or any other possessions of the client. This damage can occur because of accidental seepage. At any time, the equipment you’re using could malfunction, fall, or shift resulting in physical injury to a person or damage to property. General liability can protect you against all these possibilities. When you acquire the licenses for your pressure cleaning business, it will outline the insurance amount needed, but you might want to maintain coverage of at least $1 million.
Building or Structure Insurance
The building or structure where you conduct your pressure cleaning business, park your pressure washing truck or trailer, and store your equipment and office supplies need coverage if you own it. When buying the necessary insurance, make sure you insure it for the amount you’ll need in case you need to replace it. Insuring it for its selling price may not give you adequate coverage if the condition of the structure is unlikely to fetch you a good market price. You might even incur more expenses to repair or replace it than its market value. Buy protection against the possibility of fire, damage from accidents or intentional damage by vandalism.
Coverage for Other Business Property
The furniture in your office, computers and other gadgets, machinery, inventory, chemicals and supplies, equipment and tools, all need protection from loss resulting from fire, theft, vandalism, water seepage, burst pipes, and any other possibilities. When getting insurance for them, make a detailed list of every single item. You can either buy insurance that pays the expense for replacing it or the value of the item at the time of its loss.
Equipment Floater
Should you buy business property insurance, it will protect the loss of equipment located in your business premises. But, you’ll also need protection for the equipment when you transport it to worksites during pressure cleaning jobs. To cover loss on a job site from possible theft or damage, you’ll need to purchase floater coverage that protects your equipment irrespective of where it is located.
Loss of Business Earnings
In case you need to shut down your pressure cleaning business operations for a short while because of a fire or any other cause, you’ll suffer loss in earnings during that time. Business interruption insurance helps pay the earnings you lose and may assist you with renting temporary premises and hiring equipment. The insurance company might also help with informing your customers about the the situation and providing alternate contact details.
Blanket Insurances
You might need to get a Waiver of Subrogation by which the client and owner of the property where you’re working might require you to give up your right to claim damages for any loss of equipment you might incur while conducting the pressure cleaning. This coverage can typically cost you $100 per contract. Your client might also request you to add him as the additional insured entity. You can get this coverage for no added cost.
Other Insurances
Consider getting employment practices liability insurance against any claims for wrongful termination, harassment, or discrimination that a disgruntled employee might file against you. You might also want to get coverage for any injury you or a worker might suffer while working on the job site. Some states have regulations regarding the wastewater you can discharge into the drains from your pressure cleaning operations. In that case, you might want to get limited pollution coverage.
Getting the proper amount of coverage offers your pressure cleaning business from the possibility of going bankrupt in case of damages awarded. Check with a reliable insurance provider and your state rules and regulations for the mandatory protection you need to get and make sure to purchase it. For more assistance and advice, consider consulting a certified lawyer.
References:
1. Moore, Jennifer. “License Needed for a Pressure Washing Business.” Houston Chronicle n.d. Web. 11 Aug. 2016.
2. “What Everyone Ought to Know About a Pressure Washing Business.” Pressure Washr. N.d. Web. 11 Aug. 2016.
3. Mackechnie, Chris. “How Much Insurance do I Need for my Pressure Washer Business.” Houston Chronicles. n. D. Web. 11 Aug. 2016.
4. “Pressure Washing Insurance.” Joseph D. Walters Power Wash & Window Wash Insurance Options. n.d. Web. 11 Aug. 2016.