Insurance is essential for lawn care enterprises, offering protection against risks unique to the industry, such as potential hazards associated with heavy equipment and chemicals.
Whether you’re an independent contractor or overseeing a team, small-business insurance provides a safety net against potential lawsuits and financial losses.
Discover a range of coverage options specifically designed for the landscaping sector to ensure that your business is adequately protected.
1. Assess your risks
Understanding the distinct risks your business encounters is vital in identifying the required insurance protection.
Lawn care and landscaping enterprises encounter specific challenges, including issues such as equipment damage, illnesses resulting from chemical exposure, and injuries caused by tools.
Evaluate elements such as the size of your company, its location, the number of employees, assets, and the nature of your work to assess potential accidents, hazards, and legal issues that could impact your business.
2. Determine which policies you need
The right insurance coverage will protect your business from the full range of risks that you face.
Here are some of the types of business insurance that may be available for lawn care and landscaping companies — and what these policies cover.
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Type of insurance |
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Claims against your business of third-party bodily injury, property damage and personal/advertising injury. If a client trips over your lawn mower and breaks an ankle, they could sue you over the incident. Your general liability policy would cover any legal or settlement costs, as well as medical expenses. |
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Damage to your business property (assets, inventory, equipment) caused by weather events, certain accidents and other hazards. An electrical fire destroying your lawn mower would be covered under your commercial property insurance. |
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Employees’ medical expenses from work-related illnesses or injuries. Most states require employers to have workers’ comp for their employees. If one of your employees is putting flowers in a garden and throws out their back, workers’ compensation insurance would cover their medical expenses. |
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Vehicles that you use for business purposes. Accident-related expenses that arise from bodily injury or property damage are covered. If your employee is driving your landscaping truck and they accidentally back into another car, your commercial auto insurance would cover damage to the car and any injuries the other driver receives. |
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Tools and equipment insurance |
Cost to repair or replace business equipment that is damaged or stolen. Tools and equipment insurance would cover the cost to replace your leaf blower if it’s stolen from a job site. |
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Cost to repair or replace business property that is damaged or stolen while in transit or while being stored by a third party. If you’re driving your lawn seed from one job site to the next and your truck bed breaks, causing you to lose your inventory, inland marine insurance would cover the cost to replace it. |
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Offers additional coverage for liability claims made on other insurance policies, such as general liability, commercial auto or employer’s liability, once they’ve reached the policy limit. If a client suffers a serious lawn mower injury and sues your business, your general liability policy will cover their medical expenses, your legal fees and any damages. If, however, those costs end up exceeding the limit of your general liability policy — e.g., the policy limit is $1 million, but the costs add up to $1.5 million — umbrella insurance would cover the remaining expenses. |
Consider a Business Owner’s Policy (BOP) that combines general liability, commercial property, and business interruption insurance.
BOPs are customizable, offering options like equipment breakdown coverage and add-ons such as data breach and employee dishonesty coverage.
For instance, Allstate’s BOP includes these features, tailoring protection to your specific needs.
3. Shop for your coverage
To find the best insurance for your lawn care business, you have a few options:
Contact insurance providers directly
If you have a preferred insurance company, reach out directly for a quote and purchase your lawn care business insurance.
Many providers offer online or phone quotes, and some connect you with a local agent for personalized assistance.
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Work with a broker
Commercial insurance brokers will talk with you to understand the insurance needs of your lawn care or landscaping company and then contact providers to get quotes on your behalf.
The broker will also help you compare quotes and choose the right policy for your business.
Working with a broker is a much more personalized experience — however, some brokers may charge a fee for their services.
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Use an online marketplace
Online marketplaces allow you to take a hands-on approach to the shopping process.
You can enter information about your business and your coverage needs, and then compare quotes from multiple providers at the same time.
Many of these marketplaces offer access to customer support representatives who can answer your questions, discuss your insurance needs and help you compare your options.
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4. Choose your provider
NerdWallet recommends getting quotes from multiple insurance providers before making a decision on the right choice for your business.
When comparing different providers, you’ll want to look at:
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Coverage: What is covered under the policies the provider offers? What isn’t covered?
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Liability limits: How much of a loss will the insurance provider cover? For example, Next Insurance offers three protection plan options for lawn care business insurance — the Basic Coverage has a $300,000 general liability limit per occurrence, whereas the Pro and Pro Plus Coverage plans each have a $1 million general liability limit per occurrence.
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Cost: How much will the policy cost? Is there a deductible — and if so, how much is it? Based on data from its customers, Insureon estimates that landscaping businesses pay a median premium of about $45 per month, or $530 per year for general liability insurance.
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Reviews: Is the insurance provider well-reviewed? How many complaints have been filed against the company on the National Association of Insurance Commissioners website?
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Customer experience: What is the process for filing a claim, paying your bill or contacting customer service? Can you manage your account online or using a mobile app?
5. Buy your policies
Once you’ve determined which policy and provider are best for your company, you’re ready to purchase your lawn care business insurance.
After you buy your policy, make sure you know when your payments are due, how to file a claim and generally how to manage your coverage.
If you need insurance to validate a business contract or start work on a project, you’ll want to know how to get a certificate of insurance, or COI, to show as proof of your policy.
Some clients may require that you add them as an additional insured on your policy, so make sure you understand how to handle that process as well.
6. Keep your coverage up to date
Review your lawn care business insurance coverage on an annual basis and make sure that your policies are up to date, especially if they are required for a project or a contract.
When your policy is up for renewal, you can reassess your business’s risks, as well as your existing coverage and current experience with your insurance provider, to determine if you want to change your policy.
If your business makes noteworthy changes before your policy is up for renewal — such as hiring your first employee or buying a brand new lawn mower — you’ll want to consider reevaluating your coverage at that time in order to address any new risks your company faces.
T Bag is an insurance expert with a degree in actuarial science from the University of Hartford. He has over 10 years of experience in risk management, product development, and pricing. He is a certified actuary and a member of the American Academy of Actuaries. He is passionate about helping clients find the best insurance solutions for their needs and goals. He is looking for new opportunities in the insurance field.