You likely started a landscaping business because you wanted to work outdoors, love making lawns beautiful or needed a way to express your creativity. No matter your reason, running a business is still hard work. There are a few practical things you need to protect yourself, your staff and your business from accidents and potential lawsuits.
In this post, we’ll go over five different types of insurance every landscaping business should have to be fully protected from anything that might go wrong.
General Liability Insurance
The first type of landscaping insurance every business in this industry needs is general liability insurance. This is a basic type of insurance for all businesses that protects you in case a client files a claim against your business.
This type of insurance can protect you from claims such as:
- damaging a client’s property
- injuring someone while working on the job
- failing to provide services requested
- and more
It’s important to also establish your business as a limited liability company (LLC) or other business entity that separates your business assets from your personal assets. This way, your business insurance will cover what the business owns and your personal assets are protected from being dragged in to cover damages in a lawsuit.
Business Property Coverage
Landscaping businesses often own or rent lots of equipment to complete their day-to-day jobs. You might have riding lawn mowers, push lawn mowers, weed eaters, a trailer to carry equipment and even a company truck or car. All of these are considered valuable business assets.
You can (and should) take out an insurance policy to cover this business property. These insurance policies cover damage to your equipment or offer compensation if they break. It can help you purchase new equipment in the event one of your current pieces is damaged, stolen or no longer works.
The best part about this type of insurance is that it helps reduce potential overhead costs by offering reimbursement for new equipment. Although you should always take good care of your equipment, sometimes accidents happen. With this type of insurance coverage, you don’t have to worry about an accident eliminating your monthly profit margins.
Worker’s Compensation
The federal government and your state government both require you to withhold a certain amount of your employees’ earnings to cover worker’s compensation claims. However, having an additional insurance policy can further help you protect your business from these claims and pay a team member what they’re owed if they get hurt on the job.
Any business with employees needs a worker’s compensation policy, but it’s especially important for landscaping businesses. With team members working in the sun and operating large equipment, accidents are more likely to happen during landscaping than in a business office.
Depending on the type of incident and how long your employee is out of work, worker’s comp claims can really add up. Be sure to put appropriate safety measures into place in your business and purchase an insurance policy to help protect your business in the event of an accident.
Cyber Insurance
We live in the digital age, which means you need a way to protect yourself from cybercrime as well. Many businesses now use databases or online platforms to store their client information and receive payments. These avenues are, by nature, susceptible to cyber attacks.
A cyber insurance policy helps to protect your business in the event that your client information is stolen, leaked or compromised in a way that violates your responsibilities as a business. It helps give you the peace of mind that you’re not financially liable for any accidents that might happen with online portals or payment methods.
It’s important to always employ safe online practices, such as using encrypted services and regularly updating your software. This can help you prevent cybercriminals from accessing your information or stealing client information. In addition to these measures, your insurance policy will protect your business from any lawsuits that might come in the event of a data breach.
Running a landscaping business is a great job for someone who enjoys the outdoors. Be sure to consider these four insurance policies as ways to protect your business from accidents and potential lawsuits. That way you can keep focusing on what makes you happy!