How many have actually needed business insurance

Discussion in 'Starting a Lawn Care Business' started by VMcNeill, Oct 5, 2006.

  1. VMcNeill

    VMcNeill LawnSite Member
    Messages: 55

    Those of you that have it, have you ever had a need for it? I'm asking because liability insurance is currently right up there with my future quick 36as far as priorities go. That is to say I plan on getting it as soon as the money from this business starts rolling in. I plan on starting in February '07 and if everything goes right I should have libility insurance along with my quick 36 by May '07.

    The advertising, equipment and certification costs will eat most of my $4000 start up budget. I don't plan on advertising for commercial accounts until 2008 anyway so I'm not worried about it from that angle. I guess I will just have to be careful.
  2. topsites

    topsites LawnSite Fanatic
    Messages: 21,653

    I had insurance my first, and now my fifth year. No, no insurance the 2nd, 3rd, or 4th year.
    Never needed it, except to calm down parents and friends and other concerned folks who REALLY thought I should have it but more so the funny customer who thinks they're going to spend a LOT of money but they're so nervous about the insurance bit that twice I done got talked into getting it, and twice I questioned the decision several times throughout the year (meaning I could've done without either of those customers, easily - they didn't spend even half their brags, and if they did it sure wasn't worth it).
    I don't intend on paying the $400 premium next year, likely this is the last time I carried it.
    It's almost to the point where if someone asks me if I have it, that's a red flag to me.
    But this is something only you can decide, here in VA it's not required by law.
  3. fiveoboy01

    fiveoboy01 LawnSite Silver Member
    Messages: 2,988

    Insurance is like:

    A fire extinguisher
    Your seatbelt
    A gun

    Better to have it and not need it, than to need it and not have it...
  4. Tadams

    Tadams LawnSite Senior Member
    Messages: 787

    Most commercial jobs will require you to have it. I don't know of anyone that has filed a claim with their ins. If they did, the premium would go through the roof. If you break a window or something minor you just pay for it out of your pocket.

    And yes, I do have a million dollar policy.
  5. Rons Rightway Lawncare

    Rons Rightway Lawncare LawnSite Bronze Member
    Messages: 1,164

    I have had it twice in my 12 years of cutting grass and never needed to use it when I had it....

    Well truthfully, both years I also had coverage on my equipment with the same insurance and as luck would have it, some A hole did swipe a Echo blower out of the back of my truck while I was in Burger King getting lunch.... Insurance bought me a new blower so that part of the coverage paid for itself right there.

    Just about 2 months ago I somehow shot a rock with my trimmer into a customers sliding glass door shattering the glass. Cost to fix was over 430$. Since I had no coverage I had to pay that out of pocket. I have only once before had to pay for damage when a friend who used to work for me weedeated the wires coming out of a house to the airconditioner, he was trying to get the weeds behind the unit knocked down. My customer hired a A/C guy to fix - just re hook up the wires - and took the amount off my bill, she never even gave me the chance to fix it myself.

    I will say I do have a note on my desk right now to look into getting insurance again. I paid around 500-600 dollars per year, for full coverage liability and coverage for my equipment. For that amount I think it is worth it.... Imagine if someone steals your ZTR or your in a accident and it is your fault and all your tools end up broken or catch fire... insurance would be good then! What if you slide down a hill with your mower and bump into the customers new BMW??? Yeah, I will get coverage again, I am stupid for not having it now.
  6. mslawn

    mslawn LawnSite Senior Member
    from LA
    Messages: 483

    If you do not carry insurance, you are asking for trouble. I can not believe people are too cheap too carry it. Charge a little more and let your customers pay for it. You only use it when the bad one happens or it will jack your premuim sky high. I pay about $10,000.00 a year for comercial auto, GL and worker comp., it would be nice to pocket that, but I am not stupid enough to do that. I would rather have the coverage for the unexpected.
  7. mslawn

    mslawn LawnSite Senior Member
    from LA
    Messages: 483

    If this is advice, it is really bad advice!
  8. topsites

    topsites LawnSite Fanatic
    Messages: 21,653

    I did say this is something only you can decide.
    Thanks for sharing.
  9. SamTheLawnMan

    SamTheLawnMan LawnSite Member
    Messages: 219

    If you don't have it and something happens... YOU DESERVE THE CONSEQUENCES!!!!!! And that's all I have to say about this matter.
  10. TNT LawnCare Inc.

    TNT LawnCare Inc. LawnSite Bronze Member
    Messages: 1,157

    I'd say anyone who's not insured is crazy. You could be asking for serious trouble even if your only doing residentials. You have a severe accident,like hurting someone or there pet,your personal liability picks it up ,no insurance and your screwed. Its not worth it. Get the insurance its cheap. 4-5 hundred bucks come on guys!

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