Cleaning Insurance: The Complete Guide

Published on January 21, 2021

Cleaning insurance helps to mitigate the financial risks associated with owning a business.

In many states, cleaning insurance is required. However, even if it’s not required where you live, you should still choose to take advantage of this opportunity to protect your business.

When you choose the right cleaning insurance policy, you’ll be protected against risks like:

  • Lawsuits
  • Bodily injury
  • Employee illness
  • Property damage

By offsetting these financial risks with cleaning insurance, you help to better ensure the success and profitability of your business for many years to come.

However, choosing the best insurance policy for your cleaning business can seem like a daunting task with the overwhelming coverage opportunities.

By the end of this article, you’ll know all of the factors you should consider before choosing the right cleaning insurance policy for your business.

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What Cleaning Insurance Covers

Your cleaning insurance protects your business against lawsuits and accidents, such as an employee accidentally knocking over grandma’s priceless heirloom vase off the credenza while dusting.

Aside from usually being a legal requirement, your insurance gives you the extra financial cushion you need to keep your business afloat.

After all, no matter how wonderful your employees are, accidents WILL HAPPEN. By insuring yourself, you're protecting your business from financial risks that can bankrupt your business.

As you search for insurance providers, it’s important to find one that can match your cleaning business’ needs as much as possible.

The Basic Coverages of Cleaning Insurance

Based on a wide range of factors, the cost of your cleaning insurance will greatly vary.

Factors like your location, coverage needs, driving history, claims history, employees, and your vehicles ALL contribute to your insurance policy and rate.

Now, let’s talk about the basic coverages you should consider before deciding on a cleaning insurance policy.

General Liability

One of the most common forms of cleaning insurance coverage is general liability because it’s the most basic coverage every cleaning business should have.

General liability protects your business from accidents and lawsuits related to things like bodily injury and property damage.

Oftentimes, many clients (especially in commercial cleaning) will require you to have general liability coverage. This is because general liability not only protects you from liability, but it also protects your clients too.

If you want to maintain a profitable cleaning business, then general liability insurance coverage is a must-have.

Commercial Auto Insurance

Here’s the deal, if you’re just starting out, your personal auto insurance isn’t going to protect you.

Insurance companies define a commercial vehicle as a vehicle you’re using as transportation between job sites and/or transporting any work supplies. This includes cargo vans and cars.

Commercial auto insurance is separate from personal auto insurance because of the higher risk factors involved.

For instance, you drive way more frequently between job sites than someone that’s merely commuting to and from work.

In other words, if you don’t purchase commercial auto insurance, you’re not only at risk for not having coverage, but you’re also at risk for breaking the law.

The best way to protect your business is to ensure you have adequate commercial auto insurance coverage to protect your business from liability and legal implications.

Business Owners Policy (BOP)

As additional cleaning insurance coverage to consider, the business owners policy is most helpful to those who own any commercial buildings (such as an office).

This coverage combines your general liability coverage with your commercial buildings and personal property coverage—all rolled into one simple coverage.

If you have an office of any kind, then it would be in your best interest to consider getting a business owners policy to protect your property and save you from liability.

Talk to your insurance provider to see if the business owners policy is right for you.

Worker’s Compensation

Whether you work alone, or you have multiple employees, you should consider adding worker’s compensation to your cleaning insurance policy.

When you have worker’s compensation, you’re protecting you and your employees’ wages.

Worker’s compensation makes sure that you and your employees’ medical expenses and wage are paid for in the event of a work-related illness or injury.

Not only is this an amazing employee benefit, but it also will help you to find more committed and qualified cleaners.

Additionally, many states require that ALL businesses with employees have worker’s compensation.

Click here to check your local laws to ensure you’re following in accordance.

How to Get the Best Cleaning Insurance Policy

On average, cleaning businesses spend $500-$1,000 a year on cleaning insurance. The amount you spend on cleaning insurance greatly relies on numerous factors like:

  • Location
  • Driving history
  • Claims history
  • Coverage needs
  • Number of employees
  • Commercial building(s)
  • Age, type, and number of vehicles
  • Type, age, and amount of equipment
  • Types of services you offer (residential, commercial, or both)

In addition, your cleaning insurance cost also depends on the level of coverage you want as well as your state’s laws for the minimum coverage required.

In order to get the best deal possible, make sure you get as many quotes as possible to find the best deal.

You’ll want to get quotes from numerous insurance companies, and then get your final quote from an insurance provider you have a relationship with (like your personal insurance provider).

By doing this, you can peg the insurance companies against each other to get the best offer. In many cases, you can get sizable discounts by bundling your insurance policies together into one policy.

Additionally, you might be able to get a better offer from your current insurance provider who doesn’t want to lose you as a client.

In order to better optimize your time, consider using a quote sourcing site (like Insureon) so you can pull multiple quotes from various insurance companies at once.

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Choose the Best Cleaning Insurance for Your Business

Protect the cleaning business you’ve poured your time and money into with the best cleaning insurance for your business.

After all, it’s better to ensure your business has the coverage it needs than to lose even more money due to potential accidents or lawsuits.

Cleaning insurance is highly individual based on a wide range of factors.

As a result, you should always talk with your insurance provider to find the best offer and get the best possible coverage for your cleaning business.


Related: Why Your Cleaning Business Needs to Be Insured and Bonded


Originally published Jan 21, 2021 3:14 PM

Alyssa Sanders

Alyssa is a Marketing Specialist at Service Autopilot. Her bookworming began after she discovered the Harry Potter series. Her love of books evolved into writing and creating content. When she's not writing an SA blog to help service industry owners, she's watching sci-fi or has her nose in a book.
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