Cleaning Business Insurance: How to get it, Types & Cost
As a cleaning business owner, you’re a busy bee, juggling clients, schedules, and a million other tasks.
But have you ever thought about what would happen if a client trips over, let’s say, a mop and falls flat on their face during cleaning, or worse, severed a limb?
That’s where cleaning business insurance comes in. It’s like a safety net, protecting your business from unexpected accidents and legal claims.
In this guide, we’ll break down the basics of cleaning business insurance.
We’ll explore why it’s so important, the different types of coverage available, and how to get the best policy for your business.
Get ready to take some notes!
Steps to get your Cleaning Business Insurance
Who needs cleaning business insurance?
Accidents happen, and even the most careful cleaner can make a mistake.
A Cleaning Business Insurance protects your cleaning business from unexpected costs, giving you peace of mind and helping you build trust with your clients.
If you offer any of the following services, cleaning business insurance is for you:
- House cleaning services: Whether you’re a solo cleaner or part of a larger cleaning company, insurance can protect you from liability claims if an accident occurs in a client’s home.
- Commercial cleaning services: Businesses that clean offices, retail stores, or industrial facilities need insurance to protect against accidents, property damage, and potential lawsuits.
- Janitorial services: Janitorial services, such as those in schools, hospitals, or apartment complexes, require insurance to cover accidents and property damage.
Why cleaning business insurance is a must-have
Before jumping the gun, let’s delve into the specific reasons why cleaning business insurance is essential:
1. Protecting Your Assets
Even the most careful cleaning professional can face unexpected lawsuits.
A slip and fall, property damage, or a client’s accusation of negligence can lead to significant medical bills and legal costs. Insurance can help cover these expenses.
Accidents happen. A spilled cleaning solution, a dropped tool, or a faulty appliance can cause damage to a client’s property. Insurance can help you compensate for these losses.
2. Maintaining Your Reputation
A negative incident, such as a serious injury or significant property damage, can severely tarnish your cleaning business’s reputation. Even if the incident was an accident, it can lead to negative reviews, lost clients, and damage to your brand.
Insurance can help you manage these situations professionally and financially. It can cover legal fees, medical costs, and property damage claims. It’s worth noting that handling these situations efficiently and responsibly minimizes the impact on your reputation and protects your business’s future.
3. Peace of mind
With cleaning business insurance, you can relax knowing you’re protected. No more worrying about unexpected accidents or costly lawsuits. You can focus on what you love – growing your business and providing top-notch cleaning services to your clients.
Types of Cleaning Business Insurance Policies
Now that you have a better idea of why you have to invest in insurance for your cleaning business, let’s take a look at the several types of insurance policies you can benefit from.
Here are some of the most common:
1. General liability
General liability insurance is a fundamental policy for any business, including cleaning services. It covers claims of bodily injury and property damage to third parties.
For instance, if a client trips and falls at a property you’re cleaning, general liability insurance can help cover medical costs and legal fees.
2. Tool and equipment
If you rely on expensive cleaning equipment and tools, tool and equipment insurance can protect your investment. This policy covers theft, damage, and loss of your equipment.
Let’s say your high-powered commercial vacuum cleaner is stolen from a job site or damaged during a move, tool and equipment insurance can help replace it, minimizing downtime and ensuring you can continue providing top-notch cleaning services.
3. Commercial auto
If you use company vehicles for your cleaning company — which if you’re still not, then you probably should— commercial auto insurance is essential. It provides coverage for accidents, theft, and property damage involving your company vehicles.
An example would be if you’re driving a company van to a client’s home and you’re involved in an accident, commercial auto insurance can cover the cost of repairs to your vehicle, medical expenses for any injuries, and property damage to the other vehicle involved.
It can also provide liability coverage if you’re found at fault for the accident!
4. Workers' compensation (Workers Comp)
Workers’ compensation insurance is a legal requirement in many states. It covers medical expenses and lost wages for employees who are injured on the job. Let’s say, God forbid, a cleaning technician slips and falls on a wet floor while cleaning a commercial kitchen.
Workers’ compensation insurance can cover their medical expenses, lost wages, and rehabilitation costs. This ensures that your employees are financially protected and can focus on their recovery.
5. Additional Insurance Coverage for Cleaning Businesses
Many small business owners get a Business Owner’s Policy (BOP). In addition to general liability insurance, it also includes:
- Commercial property insurance to help protect the owned or rented building and equipment you use to operate your cleaning business.
- Business income insurance to help replace lost income if you can’t operate because of covered property damage.
Factors affecting the cost of cleaning insurance
It all comes down to cost. Depending on several factors, your cleaning business insurance cost can differ. Here we break down the key elements that insurers consider when setting your premium:
- Business size: Larger businesses typically require more coverage to protect their assets and operations. This often translates to higher premiums.
- Type of cleaning services: Specialized cleaning services, such as medical or industrial cleaning, involve higher risks. Insurers may charge higher premiums to cover potential liabilities associated with these services.
- Location: Insurance rates can vary significantly by state and region due to factors like local crime rates, natural disaster frequency, and legal costs.
- Claims history: A history of claims can negatively impact your insurance rates. Insurers may view businesses with frequent claims as higher risks.
- Deductible: A higher deductible can lower your monthly premium. However, you’ll be responsible for paying a larger portion of a claim out of pocket.
How to secure the best cleaning business insurance quote
Time to organize and strategize. Here are a few tips to find the best cleaning business insurance for your company:
1. Consult with an insurance agent
An experienced insurance agent can be your trusted advisor. They’ll take the time to understand your unique business needs, such as the types of cleaning services you offer, the size of your team, and your specific locations.
This tailored approach helps them identify potential risks and recommend the optimal coverage options.
2. Check out online insurance marketplaces
Online insurance marketplaces offer a convenient way to compare quotes from various insurers. You can input your business details and quickly receive multiple quotes.
While this method provides flexibility, it’s essential to remember that online quotes may not always capture the nuances of your specific business.
3. Partner with a business insurance broker
A business insurance broker can act as your advocate. They have in-depth knowledge of the insurance market and can negotiate with multiple insurers to secure the best possible rates and coverage.
Brokers can also help you understand complex insurance policies and ensure you’re adequately protected.
How much does cleaning insurance cost?
Monthly premiums can increase significantly if you opt for higher coverage limits. For instance, if you prefer a $1 million policy over a $250,000 one, you’ll likely face higher monthly costs.
While exact figures vary, Forbes Advisor suggests these ballpark figures:
| Policy Type | Estimated Monthly Costs | Total Coverage Amount |
| General liability | $40-$50/month | Up to $1 million |
| Deep cleaning | $100-$200/month | Up to $100,000 |
| Move-out cleaning | $400-$600/month | Varies by claim (often $500,000 policy limit) |
Steps to secure cleaning business insurance
Now that you understand the importance of cleaning business insurance and the various types of coverage available, let’s dive into the practical steps to secure the right policy for your business.
1. Gather your business details
Before you start the insurance application process, gather essential information about your cleaning business.
This includes your annual revenue, the number of employees, the types of cleaning services you offer, and the specific locations where you operate.
Having this information readily available will make the quote process run smoothly.
2. Shop around for the best deal
Don’t settle for the first insurance quote you receive. Instead, shop around and compare quotes from multiple insurers. This allows you to identify the best coverage options at competitive prices.
Consider factors like the insurer’s reputation, claims process, and customer service when making your decision.
3. Thoroughly review your policy
Once you’ve chosen an insurance policy, it’s crucial to carefully review the policy document.
Pay close attention to the coverage limits, exclusions, and deductibles. Understand what is and isn’t covered by your policy to avoid any surprises in the event of a claim.
4. Activate your coverage by paying your premium
After selecting your policy and reviewing its terms, you’ll need to pay your premium to activate your coverage. Ensure you make timely payments to maintain continuous protection for your business.
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The wrap-up
Investing in cleaning business insurance and getting your certificate of insurance is a strategic move that can protect your business from financial risks and ensure its long-term success.
Now that you have a better understanding of the various types of coverage, and how to carefully review policy terms and compare quotes from multiple insurers, you can make informed decisions to safeguard your business.
Don’t procrastinate. Remember, peace of mind is priceless, and the right insurance policy can provide just that.
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