Insurance for part-timers

Discussion in 'Business Operations' started by grassrootsinab, Nov 26, 2003.

  1. grassrootsinab

    grassrootsinab LawnSite Member
    from up here
    Posts: 215

    I've been running my lawn business for about 5 years in my small town. I mostly have residential (seniors) and a couple of businesses. I don't consider myself a scrub...I have good equipment and we do a great job. When I first started out I looked into getting liability insurance however I found out that it was going to run $600-1000. At the time I was only making about $4500 per year (april-September...those dang Canadian winters). I couldn't justify 25% of my income going out in insurance.

    Now I have 1 part-time employeee (friend of the family who I have workers comp coverage for) but am going to be making about 8-12K per season. Does anyone know of a CHEAP insurer (I know I'm from Canada and this may be an issue). Everyone I talk to has a fixed rate for businesses. There has to be an insurer out there that has a percentage or something like that. Any insight you guys have would be apprecieted...I just feel I need the coverage but being part time it's hard to find quality buisness partners.

  2. walker-talker

    walker-talker LawnSite Platinum Member
    from Midwest
    Posts: 4,771

    I have Continential Western Insurance Group. They charge me $500 a year for 1mil liability, 2mil agg.
  3. Team Gopher

    Team Gopher LawnSite Platinum Member
    from -
    Posts: 4,041

    Hi Grassroots,

    Here is a quote from this post that deals with insurance in Canada.

    "Usually (in Canada anyway) the cost for liability insurance is based on your gross receipts. I guess they figure the more work you do, the higher the chance of a claim. Try to keep all your insurance (even home, auto, cottage, boat, snowmobile etc.) with one company (or broker) to take advantage of any multi-policy discounts that are available (they are also more likely to help you out if you have problems). Also be careful of "high risk" types of work ie. chemical applications, commercial snowplowing. I ended up subbing out all of my weedspray and chemical applications 'cause the cost of the insurance just didn't warrant me doing it myself. Also in my opinion, don't try to save money by having too little liability insurance, my fiance is an insurance broker and they have a client who is is still paying for an accident he had in 1984 that ended up costing more than his liability limit. I have 2 million with an umbrella rider that covers me and all my personal "stuff" up to 5 million"

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