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RhettMan
03-31-2008, 02:29 PM
I have been insurance shopping and have come to one conclusion, the agents know im a greenhorn. I recieved a quote for a $577 annual premium for 9 month coverage on 100k. Let me know, i think this is high compared to what my book quotes, "you can expect to pay $300 to $800 a YEAR for $500,000 to $1 million worth of coverage."

I told them

$10k-$15k expected season sales (im a full time college student)
5000 grand worth of equipment
Just me working

What do you fellas think?

hackitdown
03-31-2008, 02:32 PM
I think if you asked them for $1 Mil for 12 months it may not be much more money. I pay about $800 for 1 mil per incident, 2 mil total and $25K in equipment.

You may find that you need the 1 Mil to bid on certain work.

DA Quality Lawn & YS
03-31-2008, 03:24 PM
rhett....keep shopping at other agents. Depending on the nature of your operations, you should be able to get $1mil GL for mow/blow for 300-500 dollars. A little less money if you go with $500K limit of liability.

If you have $5,000 worth of equipment, think to yourself "Can I afford to self insure this amount if I were to lose ALL of my equipment in a loss?" If not, cover it. If you can self insure, don't waste money on coverage. $5,000 is not that much in equipment to pay big dollars covering on a policy.

DynaMow
03-31-2008, 03:25 PM
just got a quote for 1M @ $303 a year

ALC-GregH
03-31-2008, 03:49 PM
I'm still waiting on a quote. The agent did say it would be anywhere from $500-1000 with pesticide coverage. I might have to reconsider pesticides for now and sub it out if I have to until I can get things going. Still up in the air.

Shilohlandscaping
03-31-2008, 05:10 PM
I think I need to look for some better quotes.. looking around at prices and my local agent quoted me $1745 for $300,000.00.. lowest they had. 1m in liability for mowing business was over 2k.

ALC-GregH
03-31-2008, 05:16 PM
my quote, when I get it is for 1/2 mill

Buddy Buds
03-31-2008, 05:29 PM
I got 800+-for $2000000. Also $15000 inland marine policy on my equipment.

ALC-GregH
03-31-2008, 06:58 PM
I just got off the phone with the agent. My policy is $561 a year with 2,000,000 liability and the kicker, it also includes 15k for inland marine on any owned equipment and 25k on leased rented. He also told me that if I add my home (already have 2 vehicles with them) to the policy that I could get a discount rate and would be eligible for a umbrella policy for very little more. With that added, it would decrease the risk of losing everything by boosting the coverage to more then 2mill on my auto policy if I were to get sued for some reason due to a accident that was my fault.

TNT LawnCare Inc.
03-31-2008, 07:22 PM
We renewed today for $459.00 a year, 3 million for General Liabilty and 1 million Personal Liability.

lawnkingforever
03-31-2008, 09:21 PM
350$ for 1million, 12 month policy and 72$ to cover equipment. agent said
not much diffrence in price for 300 thous. and 1mill. in coverage. The insuance company checks rates from all around the country.

Cut It Close
04-01-2008, 10:56 AM
Longtime lurker, first time poster...I just got a quote for $670 from agent using selective. General Liability with 1 million coverage for 12 months... I think its high...Do they go by your credit score to determine a rate?

Cut It Close
04-01-2008, 10:57 AM
Longtime lurker, first time poster...I just got a quote for $670 from agent using selective. General Liability with 1 million coverage for 12 months... I think its high...Do they go by your credit score to determine a rate? Or is it just being in NJ?

Of course I had to double post my first post....Sorry.

martinfan06
04-01-2008, 11:27 AM
Longtime lurker, first time poster...I just got a quote for $670 from agent using selective. General Liability with 1 million coverage for 12 months... I think its high...Do they go by your credit score to determine a rate? Or is it just being in NJ?

Of course I had to double post my first post....Sorry.

Yes i belive that is part of it, and also if youve never had that type of policy before its a little more. A guy whos had a policy for years will get better rate.

DrGreenThumb
04-01-2008, 02:01 PM
We renewed today for $459.00 a year, 3 million for General Liabilty and 1 million Personal Liability.

Who did you get this quote from? I just got one from a local guy for $550, of gerneral 1mil liabilty.

Midwestins
04-01-2008, 04:32 PM
I am in the insurance business, I actually joined this forum to learn more about the lawn care business and I saw this post.

Insurance prices are going to differ greatly depending on where you are located, what your payroll is and also how many years you have been in business. I insure several Lawn care companies and none of them pay the same amount, when you look at insuring your equipment you can expect to pay around $1 per $100 in value, so if you have a mower thatís worth $5,000 you can expect to pay around $50/ year. Smaller equipment can be covered under a blanket policy. Feel free to post more questions and I would be happy to answer them for you.

RhettMan
04-01-2008, 05:22 PM
thanks for the replys guys, this has given me a much better understanding of insurance, btw i got a call today from a company i requested a quote from yesterday saying that they would be glad to insure my company for $755 for 500K 12 months.

Midwestins
04-01-2008, 05:33 PM
That seems like a good rate, you might want to go with 1mil if you plan on going after larger accounts. I know that a lot of the commercial contracts in my area require 1mil limits. Just a thought you can always raise them down the road if you need to get a contract.