3 Types of Insurance That Plumbers Need

Plumbing, like any trade, comes with dangers to you as the worker, the property you’re working on, and others around you. In all provinces, it is thus mandatory to have insurance as a tradesperson.

While plumbing sounds like a “safe” trade, if you are working on a large construction site, there are dangers, including falls from ladders or scaffolding, electrocution from exposed unfinished wires, or a sudden natural disaster. All these dangers mean that you may be unable to work.

Even smaller residential projects, such as fixing a leaking tap or replacing a bathtub, can expose you to potential problems.

Then there are the issues you don’t think about until it is too late, such as vandalism to your commercial vehicle or theft of your tools. These are all factors that you need to consider and have coverage for in case of an unfortunate event. 

Understanding the main types of insurance that you should have, and what could be added as “bonus” coverage, will help to ensure that you and your business are protected in any event. 

Take a look at the following insurance policies you should know about:

Commercial General Liability (CGL) Insurance

This is possibly the most important insurance policy you could get as a plumber because it covers most situations and is budget-friendly.

With business costs running high enough already, this insurance policy provides more than adequate coverage to ensure that if something happens, you do not take a huge financial hit. 

CGL insurance covers two very important areas: 1) you, the plumber, and 2) the property, third parties, and your reputation.

1. You, the plumber: Being a plumber doesn’t mean that you only work with water and pipes. Depending on the project and the age of the build, you could be exposed to hazardous chemicals. 

   If you are working with other tradespeople, then there is a chance for electrocution or injury from gas-line explosions. 

   Additionally, depending on the size of the construction, there is a chance of falls from ladders or scaffolding. All of these scenarios can have the potential to disrupt your business, prevent you from working, and encounter bodily harm or worse. 

2. Additional elements: Protecting your business and other people is also essential. So, in the event of property damage, third-party bodily injury, and even reputational damage are also covered.

No one wants to think about these things, and your reputation is not always the first thing that comes to mind. However, in the event of an unfortunate accident, these are all real factors that can damage you as a business. 

If you are just starting out as an independent plumber, or you have been in business for years, then contractor liability insurance is essential in either case.

Commercial Vehicle Insurance

Aside from giving coverage while on the road, commercial vehicle insurance helps to protect your business as well. 

Most insurance policies will cover damage to your vehicle or a third party’s vehicle in the event of an accident. Your level of coverage may also cover bodily harm and medical expenses claimed by a third party. 

Commercial vehicle insurance covers bodily harm caused by your vehicle, damage caused to your property by your vehicle, and theft or vandalism. 

It may not sound like much, but your company vehicle is the difference between driving to work with all your tools and equipment or walking there while trying to carry everything.

Commercial vehicle insurance covers potentially large claims, especially medical claims, which can reach thousands of dollars very quickly. It also helps to get you back on the road immediately with a rental vehicle while yours is repaired so that you can continue to work and meet your clients’ deadlines.

Commercial Property Insurance

Property insurance just makes sense. You are working on someone’s property with pipes designed to carry large volumes of water, sometimes under high pressure. Therefore, ensuring you are protected against burst pipes seems like a no-brainer. 

However, commercial property insurance doesn’t stop there. It also covers and protects you from:

• Theft and vandalism

• Natural disasters that damage the property or restrict access to it

• Lost income from business interruptions from any of the above 

Surety bonds are also sometimes included in this coverage. They provide a guarantee that you, the contractor, will complete the project as per regulations, and as directed by the client. While not always required, it’s good to have.

Great Additions to Your Existing Coverage

Listed above are the three most common and important insurance policies that you, as a plumber, should have. However, there are additional policies that you can add to your coverage to get more protection. 

While they may not be essential in the beginning, as your company grows, the following are things you should consider:  

• Tools and equipment insurance. This provides coverage in the event that they are damaged, lost, or stolen.

• Business interruption insurance. Should you be unable to work due to circumstances out of your control, this coverage is excellent. 

• Errors and omissions insurance. This protects you from claims of professional negligence. 

Insurance companies will often bundle this additional coverage into your main policy, so it is worth talking to them to see what they can offer.

More importantly, you need to ensure that you keep your costs down while still getting the essential coverage you need to be able to operate your business without any added stress.

Contact the Insurance Experts

Whether you are new in the business and venturing out on your own for the first time, or you are a seasoned vet in the trades world, the right coverage ensures the right protection for any circumstance. 

Being able to add or remove the insurance at any time gives you the freedom to add coverage when your business grows or downgrades during harder financial times.

Whatever your insurance needs may be, reach out to W.B. White Insurance and speak to a trained professional who can help you make the right choice for your coverage.  

Call us at 1-877-420-4572 today or contact us online, and let’s get you covered.