What Plumbing Insurance Do I Need?
Changing pipes and fittings in a wet environment bring daily risks to you and your plumbing business.
As a plumber, your business needs the right plumbing insurance package to project you in the case of an accident or a damage claim.
Ask your Western business insurance expert about what plumber’s insurance package you need for your plumbing business, whether it’s commercial or residential.
At Western, we’ve got the expertise and knowledge to get you the right plumber’s insurance package to fit your needs at the right value for you.
What kind of plumbing insurance do I need?
Go over the types of coverages you need in detail with your Western business insurance expert to make sure your plumbing business has the right plumber’s insurance package.
- Commercial General Liability Insurance (CGL): Also called plumber’s liability insurance, it’s essential for skilled trades and construction-related businesses.
This type of insurance usually covers damages awarded against you and helps pay your legal defense costs, regardless of the lawsuit’s outcome.
Without commercial liability insurance, you would be responsible for paying any liability costs out of your own pocket.
- Tools and Equipment Insurance: This type of insurance is considered necessary because you can’t do your job without your tools. It replaces or repairs damaged or lost equipment and tools, accessories, or other property. Anything valued at less than $1,500 is considered a tool and anything above $1,500 is considered equipment.
- Surety Bond: When you accept a job, you are obligated to complete it. A surety bond, or contractor bond, will pay your customer if your plumbing business does not complete a job. You can obtain a surety bond for a specified amount from your Western insurance business expert.
- Pollution Liability Insurance: This is a specialized type of coverage that will protect you against pollution-related accidents that cause third-party injury or property damage. Pollution liability insurance is considered essential for plumbers, especially when working on waste disposal lines and water systems. CGL policies usually will have an exclusion for any liabilities caused by pollution. Check with your Western insurance expert to see if you need pollution liability insurance.
- Commercial Vehicle Insurance: Your personal car or truck insurance usually won’t cover your plumbing business. If you have a business car, truck, or van that you use as part of your plumbing business, it needs commercial coverage as part of your plumbing insurance package.
- Commercial Property Insurance: Commercial property insurance can cover losses due to fire or lightning, including removing property to protect it from further damage. You can also include vandalism and malicious mischief in your commercial property insurance in your plumber’s insurance package.
- Professional Liability (also called Errors & Omissions or E&O): will protect your business against liability claims arising from services provided in the course of doing business.
- Business interruption insurance: You may want to consider adding business interruption insurance to your plumber’s insurance package. If there is an insured loss at a job site or other work premises that is severe enough to stop your business operations, the expenses associated with getting your business running again will be covered.
Business interruption insurance policies typically cover vandalism, fire, wind, flooding, and other risks (make sure to understand what your policy covers). Your policy will help compensate you for lost income and expenses that you will need to continue paying even while you are unable to work.
You can expect to be asked to show proof of insurance with prospective clients. Your Western insurance expert will go over in detail what is needed for your plumbing business.
- How much plumbers insurance do I need and how much will it cost?
It’s recommended that plumbers should have $2 million in coverage to make sure that you and any employees are protected in all foreseeable situations.
Every plumber has unique requirements so it is unlikely that all plumbers would pay the same monthly or annually for their coverage. Ask your Western business insurance expert to help you get the right coverage at the right value for you. Your Western insurance expert will go over in detail what is needed for your plumbing business.
Western Insurance has licensed INSURANCE EXPERTS across Canada to get your plumbing business the right plumber’s insurance package. Fill out our form in one minute. One of our insurance brokers will contact you shortly. Our experts are also available now in branch or on the phone to help you navigate the insurance journey that will give you the right policy for plumbing business.