Landscaping is a great choice of business for anyone with a green thumb who enjoys working in the sun. However, it's still a business like any other—you're performing services for clients and you've got an inventory of essential equipment you use to render these services.
While many states require that landscaping companies carry surety bonds, these don't protect you—their purpose is to protect your clients from accidental damage to their property. In order to protect yourself, you'll need to carry business insurance. Read on for three great reasons to insure your new landscaping company.
1. Property Insurance Can Protect Your Equipment
Landscaping is a great business to enter because many commonly used tools of the trade are inexpensive, like blowers and trimmers. However, some items such as riding mowers, are decidedly pricier. When you carry business property insurance, you'll be covered for the replacement cost of these items if they're accidentally damaged. When you avoid the need to pay for the full replacement cost of your equipment yourself, your business and your financial livelihood are protected.
Business property insurance covers theft as well, which can sometimes be an issue for landscapers. It's common to leave equipment in the truck while you're working on other tasks such as planting or trimming the edge lines of a property, so you're not always able to keep an eye on them. With business property insurance, you can rest easier knowing that loss of your equipment due to theft will be covered by your insurer.
2. Liability Insurance Protects You from Expensive Lawsuits
General liability insurance protects your business from accidental damage done to a client's property. For example, if you accidentally break a sprinkler head with an electric trimmer, the client can sue you for the cost to repair his sprinkler system along with the resultant extreme water bill. In this situation, general liability insurance would protect your business from legal costs along with the cost of compensating the client for damages.
It's also a good idea to carry professional liability insurance. This type of business insurance covers lawsuits that are specifically related to potential defects in your work as a professional landscaper, whereas general liability insurance protects you against accidental damage done to a client's property.
For example, a client who is unhappy with the quality of your landscaping work or who doesn't believe you fulfilled your end of the contract may try to sue you. Regardless of the truth of the situation, legal fees can add up quickly—you can easily spend large amounts of money trying to defend yourself in court against these types of lawsuits. With professional liability insurance, your legal fees and any resulting settlements or judgments will be covered.
3. Having Insurance Helps to Attract More Clients
Not all clients will ask to see your certificate of insurance before they allow you to work on their property, but some certainly will—they want to make sure that they're protected in the case of any accidental damage. When your landscaping business carries insurance and can provide proof, you'll be able to expand your client base.
As an added bonus, providing proof of insurance to potential clients helps to establish your landscaping business as a reliable one. It represents that you've taken the time to research business insurance and carry it for your landscaping work.
Overall, carrying business insurance for your landscaping company helps to protect your livelihood from damaged equipment and potential lawsuits from clients. The ability to provide proof of insurance can also be a great boon to potential customers. If you're interested in insuring your landscaping company, contact a company that provides business insurance and who has knowledge of the landscaping industry—they'll be able to help you obtain the types of coverage that you need.
