Plumbers make their living helping other people get out of messy situations. But what happens when something goes wrong for a plumber? Plumbing insurance is a special type of business insurance designed for the unique risks plumbers and related professionals face.
If you want to know the ins and outs of plumbing insurance (who needs it, why it’s important, and how to get it), this guide is for you. When you’re ready to shop, independent insurance agents are experts who know insurance like you know plumbing. They can help you find the right deal at the right price.
What Is Plumbing Insurance?
Plumbing insurance is a type of business insurance. Like all business insurance, it mixes and matches different types of coverage and is highly customizable depending on your business’s size and niche. Common components of plumbing insurance include:
- Liability insurance: Covers the cost of legal representation and damages if you’re sued
- Commercial property insurance: Covers damage to any buildings and items that your business owns
- Commercial vehicle insurance: Covers company vehicles
- Inland marine: Covers portable equipment
- Installation floater insurance: A type of inland marine insurance that covers materials and products from the time they leave your property until they are installed or used
- Workers' compensation: Covers medical costs for your employees if they’re injured on the job
- Business income insurance: Covers up to a year of lost income due to an insured property loss (such as the theft of critical equipment)
Plumbing insurance can be sold in premade packages or it can be fully customized. An independent insurance agent can help you find a package that matches your business’s needs, or they can help you start from scratch.
Why Is Plumbing Insurance Important?
Plumbers work on some of the most necessary parts of homes and businesses — kitchens and bathrooms. That means that when things go wrong, they can really go wrong, leaving your business on the hook for a massive legal settlement.
Plumbing is also a dangerous job, one that can injure your workers and cause massive medical bills. Most customers will want to see proof of insurance before allowing you to work in their home or business. Add expensive and finicky equipment to the list and it’s not hard to see why plumbing insurance is so important.
It’s hard enough to be a small business owner — plumbing insurance helps you manage the worst risks so you can focus on the day-to-day stuff.
Who Needs Plumbing Insurance?
Anyone who does plumbing work needs plumbing insurance. That includes:
- Plumbing contractors or business owners
- Septic tank installers
- Pipe fitters
- Home builders
- General contractors
Plumbing insurance helps protect these professionals from all the worst case scenarios of plumbing.
How Much Does Plumbing Insurance Cost?
The cost of plumbing insurance depends on the size of your business and the coverage options you choose. It’s also affected by your business’s location, assets, number of vehicles, and state regulations.
Plumbers can expect to pay at least several thousand dollars per year for their insurance. Workers' compensation, which is legally mandated in most states, is one of the most expensive parts of plumbers insurance, often costing $2000 or more for small businesses on top of the cost of other coverages such as liability and commercial property.
Why Independent Insurance Agents?
Insurance is sold two ways: through captive and through independent insurance agents. Captive agents are bound to one company only. Independent agents can shop between as many companies as they want so they can find you the real best deal for you — not just the best deal one company offers.
Independent insurance agents are small business owners just like you. They know the insurance market inside and out and can help you find coverage designed for your business’s needs. As your business grows, they’ll help your insurance grow with it. Independent insurance agents and small business — a match made in heaven.