In this article, we’ll explain the key types of insurance coverage every plumber should consider and how they work together to protect your business.

1. General Liability Insurance

General Liability Insurance is one of the most important coverages for plumbing contractors. This policy protects your business if you’re held liable for:

• Property Damage: For example, if you accidentally cause water damage to a customer’s home while repairing their plumbing system. If you were to accidently break a pipe, that is a different coverage often called Voluntary Property Damage coverage. You may or may not have this on your general liability coverage.
• Bodily Injury: If a customer or third party is injured on a job site, this coverage can pay for medical expenses and legal fees. Like any other liability coverage, there is a degree of negligence that must be met. Meaning, you must be at fault or the cause of this injury.
• Completed Operations Claims: If a repair you completed causes an issue later, such as a burst pipe or fixture failure, general liability insurance can provide protection.

Without this coverage, one lawsuit could be very costly.

2. Workers’ Compensation Insurance

If you have employees, Workers’ Compensation Insurance is often required by law. This policy helps protect your team and your business by covering:

• Medical Expenses: If an employee gets injured on the job, such as a back injury from lifting heavy equipment or a cut from handling tools.
• Lost Wages: Workers’ comp can cover a portion of lost wages if the employee is unable to work during recovery.
• Employer Liability: This protects your business if you’re sued for negligence related to an employee’s injury.

Plumbing work often involves physical labor in hazardous environments, making workers’ comp a must-have for your business.

3. Commercial Auto Insurance

Whether you’re driving a personal truck or a fleet of work vans, Commercial Auto Insurance is essential for any plumbing contractor. This policy covers vehicles used for business purposes, offering protection for:

• Accidents and Repairs: If one of your vehicles is involved in an accident while driving to a job site, commercial auto insurance can pay for damages and repairs.
• Liability Coverage: If you’re at fault for an accident, this coverage can pay for the other party’s property damage and injuries.
• Tools and Equipment: Many policies also offer coverage for tools and equipment stored in your vehicle in case of theft or damage. This is a coverage that needs to be added on. It does not come with the commercial auto policy.

You need to carry a commercial auto policy when the 1) vehicle is owned in the business 2) employees are driving the work vehicle 3) you are transporting employees 4) you are carrying materials to a jobsite. Any of these are considered a commercial auto insurance risk. If you are working out of a personal auto policy and are involved with any of these operations, there is a very good chance that a claim will not be covered.

Why Comprehensive Insurance Matters

Each of these coverages—General Liability, Workers’ Compensation, and Commercial Auto Insurance—plays a vital role in protecting your plumbing business. When combined, they help safeguard you from financial loss and allow you to focus on what you do best: providing quality plumbing services to your customers.

At Ameriguard Insurance, we specialize in helping plumbing contractors find specific insurance solutions. We’ll work with you to understand your needs and ensure you have the right protection in place.

Get a Quote for Plumbers Insurance Today

If you’re looking for affordable and comprehensive insurance for your plumbing business, contact us today for a free quote 763-767-0522. We’re here to answer your questions and help you protect your business every step of the way. You can also fill out our short contact form listed below. We have a MN Plumbers Insurance program that offers up to 30% discount of your business insurance premiums. Protect your business with confidence. Call us or request a quote online to get started!