Handy Man Insurance Policy

[flowergal44]

I’m starting a small handy man business. What type of policy should I be requesting from a broker. Mainly, what is the cheapest policy I can get that cover just the bare bones basics.

Thank you all for any help,

 

[resjudicata]

@flowergal44 The minimum you need is commercial general liability insurance. You can request quotes for $2MM and $5MM and decide what makes sense for your business. If all you are doing is residential handyman work, then $2MM will probably satisfy your customers. Commercial, and you will need $5MM. The difference in cost is negligible. You can also get a small amount of tool cover at little or no additional cost.

The cost will likely be between $1000-$2000 per year. Some smaller insurers (eg, Portage Mutual, Wawanesa, Commonwell) may come in below $1000.

Make sure the policy includes Broad Form completed operations.

Call a couple of brokers and find someone you can work with. Treat it more like a job interview than a sales call. You are looking to hire a professional advisor who you will work with and trust for years to come. Make sure there is a fit.

Good luck with your new business. If you're not a moron you'll probably be very successful. People are desperate for trustworthy contractors. All you have to do is show up when you say you'll show up and do what you promise. It's that easy.

 

[flowergal44]

@resjudicata Thank you!

 

[sandraovercomer]

@flowergal44 I have a business that's 75% cleaning and 25% handywoman services and my commercial general liability insurance is currently $70/month for $2M liability, through northbridge insurance and the brokerage is Aon. Tools coverage is not little to no cost to add imo. It would have added another $20-$30/month or something to my policy which is more than 30%. And unless you have a whole bunch of stuff that needs replacing the same time due to an incident covered by that part of the policy, I found it to be a redundant add on anyway as most policies have $500 deductibles on tools coverage. (there's one that's $250 but still). And the deductible on your CGL insurance will likely be $1000 as well just so you know.

 

[flowergal44]

@sandraovercomer Thank you for the advice!