Swimming pool contractors primarily engage in the construction and installation of in-ground swimming pools, swimming ponds and indoor pools. Many of these businesses also provide repair and maintenance services for the pools they have constructed. If you own this type of business, you will need to be sure to protect your financial interests by investing in a solid swimming pool contractor insurance portfolio. A knowledgeable Trusted Choice® Independent Insurance Agent help.
2015 Swimming Pool Construction Industry Facts From IBISWorld
- There are about 14,000 swimming pool construction businesses operating in the U.S.
- These businesses employ nearly 94,000 people.
- The swimming pool construction industry generates approximately $12 billion in revenue each year.
Why Is Swimming Pool Contractor Insurance So Important?
Insurance policies protect businesses from financial damage that can cause them to fail. Those in the swimming pool construction and maintenance industry have their own unique set of risks for which they need to have suitable coverage. For example, consider the following scenarios:
- You are installing a swimming pool at a private residence the homeowner’s child is injured while playing on excavation equipment that you left there overnight.
- A pool that you are maintaining is overly chlorinated due to an employee error or a mechanical malfunction and several swimmers suffer chemical burns on their bodies.
- An employee is responsible for a multicar collision while driving a loaded dump truck from a site where you have freshly dug for a new pool installation.
These are just some examples of problems that can arise and can be mitigated by carrying the right kinds of swimming pool contractor insurance.
Liability Insurance Can Protect Your Swimming Pool Construction Company
A liability lawsuit can be financially devastating to your business. Whether or not the courts rule against your company, a liability lawsuit can be very expensive, particularly when it comes to legal defense costs. Liability insurance shields your business from losses by covering court costs, legal fees and financial damages. However, in order to be covered, you must carry the right types of liability insurance. When building your swimming pool contractor insurance portfolio, your independent insurance agent can talk to you about these coverages:
- General liability: This coverage is a standard part of any business insurance policy. It covers injuries and property damage caused to others in the course of doing conducting business operations. While it covers a wide scope of liability exposures, it does have exclusions, so other liability insurance policies are needed to obtain full coverage.
- Pollution insurance: If your business does swimming pool maintenance, you may use and store a number of chemicals, such as muriatic acid, hypochlorite and other disinfectants. Your CGL policy likely includes exclusions for damage and injuries caused by chemicals. You will therefore need a pollution liability policy to cover your business against claims brought about due to over chlorination of water or the dispersal of these chemicals into ground or water supplies.
- Commercial vehicle liability insurance: If you have business-owned cars, trucks or vans, you need to cover them with a commercial vehicle insurance policy. Larger vehicles, such as dump trucks, will be more expensive to insure, since they can cause significantly more damage in an accident than a car can.
- Hired or nonowned vehicle insurance: If you use rented work trucks or vans or if your employees use their personally owned vehicles to transport tools and material to the job sites or drive them for other job-related purposes, your business can be sued for liability if they are in an accident while doing work errands. To protect your finances, you need to carry hired or nonowned vehicle insurance.
- Workers' compensation insurance: This is not liability insurance, but it can protect your company from liability lawsuits related to workplace injuries by covering your employees' medical treatments and lost wages if they are hurt on the job. It is required in most states, but it is important regardless of where your business is located.
- Umbrella insurance: Insurance companies have limits on how much liability coverage they are willing to offer. If you feel that you need extra liability coverage, you can obtain it through an umbrella insurance policy, which kicks in if a liability claim exceeds the coverage limits of your primary policy.
Be sure to discuss the full scope of your business operations with your insurance agent to ensure that you have the right kinds of liability insurance to cover your various exposures.
Swimming Pool Contractor Insurance Covers Your Business-Owned Property
You have likely invested a lot in the tools and materials used in the daily operations of your business. You can cover your business property by purchasing the right kinds of property insurance. Your agent can help you obtain sufficient coverage to shield your business against financial losses related to loss or damage to your property. Coverage types you want to include in your swimming pool contractor insurance portfolio include the following:
- Property insurance: Your business property is covered as part of your business-owners insurance policy. This insurance covers the structure and the contents of your central location and storage locations against loss or damage brought about by a covered event. Your agent can help you build a property insurance policy that is suitable for your specific business.
- Inland marine insurance: The tools and materials used by your business are not covered by your commercial property insurance when they are not at your central location. You can cover them in cases such as when they are in transit to and from your various job locations and while you are working on-site by having an inland marine insurance policy. This coverage is particularly important if tools and equipment are stored in your truck or work van.
- Equipment breakdown insurance: The power tools and equipment you use in the process of swimming pool installation are necessary for you to get the job done. If any of them happens to break down or malfunction, this insurance can cover the cost of repair, replacement or temporary rental so you can focus on getting the job done.
- Extra expenses insurance: If a covered disaster causes significant damage to your central office, you may need to rent temporary office space so you have a place where you can handle administrative work until your office is repaired. Extra expenses insurance absorbs these extra costs so that your business finances are not adversely affected.
How to Find the Best Swimming Pool Contractors Insurance
When you build your swimming pool contractor insurance portfolio, you will want to be sure that you do not have coverage gaps that leave your business open to unmanageable financial losses. An agent in the Trusted Choice network can help you make the right choices for your business. These agents are available to explain your various coverage options, make coverage recommendations and shop around for competitively prices policies that are suitable to meet your company’s needs. Find a Trusted Choice agent near you to learn more about your options when it comes to buying swimming pool contractor insurance.