Wondering how much does plumber’s insurance cost?
- Want to get quotes so you can compare insurance rates?
- Want to know how to get the best coverage?
- Are you a plumbing contractor looking at a renewal increase and searching online for quotes?
- Or maybe just a second opinion on your business insurance?
- Want to find out if the costs you’re paying are in line with others?
- Or are you curious if you have the right coverage?
Let’s dig in.
It’s no secret that plumber’s insurance cost, especially in NY isn’t cheap.
After being in the insurance business for the past 40 years, I totally understand that insurance is not the favorite thing any business owner wants to buy or talk about. I get it. It’s confusing, time-consuming, and expensive.
Plumbing contractors that have never had a claim and see the costs go up every few years just get more and more aggravated.
So, many plumbers will turn to Google and start to search for quotes online. Here are my big takeaways from getting quotes online.
First, there are several online platforms that we call “insurtech” that have a very slick, easy-to-use method of getting quotes. Answer a few questions and boom a quote appears. GREAT, you say. Done in less than 10 minutes!
Unfortunately, this process of buying online in a totally automated environment without human interaction leaves you open to problems down the road.
Think of it this way, I don’t have the expertise you have. I can change a washer in a hose bib, but I’m pretty reluctant to sweat pipes and make solder connections.
I can do it, but I’m not always sure it’s totally right or will stand the test of time.
The same thing is true for insurance.
Look if you’re a one-person or small plumbing firm and don’t have a lot to lose, then maybe doing it entirely online in 5 minutes will be okay.
But if you’ve got several employees, trucks, mobile equipment, and your life sunk into your business, maybe the DIY deal isn’t such a good idea.
Another thing you’ll see online are a lot of insurance agents – like me – but they have these long forms for you to fill in.
I think you may expect that once you fill in that form, you’ll get a quote. But nope, in most cases, that info will go to that agent and then they’ll call you for more info before they can do a quote.
So what’s the solution?
In my opinion, it starts with a conversation. Don’t waste your time filling in forms, or trying to do it yourself.
I realize that most people are loathed to speak to a salesperson, or worse speaking to an insurance agent on the phone…. well, I get it… It’s not top of your to-do list things.
But here’s why I think that phone conversation is worth it. A skilled insurance broker can ask you the right questions, review your existing coverages, pinpoint problems, find opportunities for savings, and probably do all the shopping for you.
That saves you time, effort, hassle, and brain cells!
The problem, of course, is how do you find that skilled broker that can do all those things, plus has a great staff to help you with certificates, claims, billing questions, and renewals?
And provide you with ongoing risk control services to help reduce claims which will help better manage your premiums?
That’s going to take some research – some of it you can glean from insurance agent websites, sometimes you may need to make some calls.
I’m going to put in a shameless plug here and say that we can do all these things for you.
We have a great support team, we have a risk management system to help control claims, we represent the top insurers that WANT to write good plumbing accounts large and small, and we love working with plumbers.
Okay, enough of a sales pitch.
Let’s get into What Plumber’s Insurance Costs.
The factors that drive the premiums for general liability, workers compensation, auto insurance, and other common coverages that plumbers need are:
The size of your company. The number of employees, payroll, annual sales.
The type of work you do. A neighborhood plumber in Suburban New York will pay less per employee than a commercial plumber working in industrial settings in New York City.
Geography – as I just mentioned, suburban and rural areas will pay less than urban areas. Especially for business auto insurance.
Claims – if you compare two identical plumbers and one has had no claims in the last 5 years and the other has had 3 claims, the one with 3 claims will pay more. That only makes sense. And, in today’s world, depending on those claims, the contractor with 3 claims may even find it difficult to get coverage.
Safety – this applies especially to medium and larger plumbing contractor’s insurance – those firms with a firm commitment to safety and can demonstrate good policies and procedures will do better than a contractor that flies by the seat of their pants.
How Do You Reduce Your Plumbers Insurance Cost?
The first thing is to speak to a skilled insurance broker who can assess if your current coverage is accurate and with the right insurance company.
While I don’t recommend shopping for your insurance every year, taking a hard look at this every three years or so makes sense.
Second, if you have a solid risk control, safety, and compliance system – you and your insurance broker should be bragging about it to the underwriters who are quoting your account.
Third, have fewer claims. I know this can be challenging, especially with vehicles and how hard it is to find good employees. But training and reinforcement of good driving habits and work habits make a big difference.
As I mentioned earlier, the plumbing contractor with several claims will not only pay more for insurance but may find it difficult to get insurance.
Where Does My Firm Fall on The Price Spectrum?
That’s a good question. You want to make sure you’re working with a broker who can be competitive, and I think we rank high on this scale.
Why?
Because we represent most of the top-rated insurers and have access to specialty programs for plumbers we leave no stone unturned to get you the best quote possible.
So, that’s my advice on plumber’s insurance cost and how plumbing contractors should go about getting quotes, what insurance costs, and how you go about getting covered.
Have questions I didn’t cover here? Would you like to speak to me about your insurance?
Just click below to get started.
I love helping business owners like you solve problems with insurance and making sure they’re getting the best protection for the lowest cost.
I work across the country and would love to hear from you, so drop me a line.
Thanks!
