Why you need liability insurance!

Discussion in 'Business Operations' started by FATWEASEL, Aug 23, 2006.


    FATWEASEL LawnSite Senior Member
    from NC
    Messages: 326

    This probably should be posted in the "Just Starting..." forum but it's pertinent to anyone who operates their own business.

    Most of you, like me, see insurance as a necessary evil but every blue moon thank God in Heaven that you have it. If you DON'T have it, maybe this will convince you otherwise and save you some pain and suffering down the road.

    This did not involve MY insurance but I am affected by someone else's.:rolleyes: I have a full-time job at a manufacturing company that a few years back started a 5-S plan (japanese) which boils down to, "a place for everything and everything in it's place). They've spent untold millions developing it.:dizzy: :hammerhead:

    Anyways, part of their effort involves painting darn near everything that paint will stick to, including some 80 foot material silos in the middle of the plant with white epoxy enamel paint.

    This was a contracted job, done by a small family owned company that does most all of our major painting jobs. I've personally never thought most of them were that bright or did that great of a job. I'm no longer alone in that thought.

    Thursday and Friday of last week...the painting company starts spray painting the tops of the silos in moderate winds. The silos are a good 450 feet from the parking lot and the parking lot is another 600+ feet long. Can you see where I'm going with this?

    Saturday...reports started coming in from employees who had tiny specks of white paint all over their vehicles wanting to know if this could have happened at work. :dancing: ;)

    Monday...total number of reports topped 150 vehicles.:dizzy:

    Tuesday...total number of reports topped 300 vehicles.:dizzy: :dizzy:

    Wednesday...last number I heard topped 400 vehicles.:dizzy: :dizzy: :dizzy:

    One of the department managers took his Escalade for an estimate and returned with something in the $8000 range. He was at the close end of the parking lot. One of my co-workers took his 06 F-150 and returned with a $2700 price tag if they could remove the specks and replace some of the molding, not a repaint. He was at the far end of the lot near ME.:cry: I've yet to get an estimate on mine.

    Here's the clincher.......drum roll .......................................................................................................................1 State Farm adjuster to talk to everyone, individually!!!!!:laugh::laugh: :laugh:

    FATWEASEL LawnSite Senior Member
    from NC
    Messages: 326

    Oh yeah, the moral of this story is to make sure your azz is covered.

    I'm sure the guy that owns this company would have never figured in a million years that he could potentially be looking at having over 400 cars repaired or repainted because of something he or one of his employees did on the job.

    I can't even imagine what his rates will be now.;) :angry:
  3. robbo521

    robbo521 LawnSite Senior Member
    Messages: 601

    had it happen at a old job i had.man next door to me had a old gmc black truck and was sweet.farmer had a plane spraying cotton and the yellow spray got the truck,live 25 yards from old field.it eat the paint off.old farmer just pulled a load out and paid him.
  4. fiveoboy01

    fiveoboy01 LawnSite Silver Member
    Messages: 2,988

    OMG. That is hilarious. Not for the people whos cars need repainting though. I'm guessing there are quite a few PO'd individuals.

    Good illustration of why liability insurance is a necessary evil.
  5. VBsnow

    VBsnow LawnSite Member
    Messages: 242

    That happens all of the time. We get claims on this TOO MUCH. What is not fun is having to argue this point with new business owners who say they are too good to allow this to happen. We just replaced a 3k convertable top on a car and the painter was rolling paint, not spraying.
  6. topsites

    topsites LawnSite Fanatic
    Messages: 21,653

    Sorry sir, but what do you mean by HIS rates, try OUR rates!

    You do know, anytime someone files a claim, EVERYBODY pays for it, not just the claimant.

    Maybe that explains why my premium went up slightly this past time, with that stupid note talking about a mark on my credit record that's been there for years (which is to say, why now, why not before).

    dang insurance is nothing but a scam.
    cover deez.
  7. VBsnow

    VBsnow LawnSite Member
    Messages: 242

    I know the market in Richmond. Even with a small blemish on credit you should be looking at a possible decrease right now. The market is improving and prices are dropping. Most companies who use credit in underwriting that have not in the past may be re-underwriting there books. It sounds as though you may have been caught up in this. Why don't you just try other agents? Richmond is much easier to write insurance in than say Hampton Roads where I am. We have more problems writing property due to the proximity of water. Good luck.

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